A significant rise in the level of minimum wages would have been a problem for entrepreneurs and investors. Last year, Jakarta's minimum wage had already been raised by 44% and implied a burden for entrepreneurs. Although the government provides a waiver for companies that cannot afford the higher minimum wage, it has been reported that there have been serious delays in these disbursements.

Indonesian workers across the country demanded for higher minimum wages due to the country's recent high inflation rate which curbs people's purchasing power. Yesterday (01/11), Statistics Indonesia announced that the country's inflation rate reached 8.32 percent (year-on-year) in October 2013.

Regional Minimum Wages in Indonesia:

Province  Minimum Wage 2013
 Minimum Wage 2014
DKI Jakarta        IDR 2.2 million        IDR 2.4 million
Central Kalimantan        IDR 1.6 million        IDR 1.7 million
West Kalimantan        IDR 1.1 million        IDR 1.4 million
Jambi        IDR 1.3 million        IDR 1.5 million
Southeast Sulawesi        IDR 1.1 million        IDR 1.4 million
West Sumatra        IDR 1.4 million        IDR 1.5 million
Bangka Belitung        IDR 1.3 million        IDR 1.6 million
Papua        IDR 1.7 million        IDR 1.9 million
Bengkulu        IDR 0.9 million        IDR 1.4 million
Nusa Tenggara Barat        IDR 1.1 million        IDR 1.2 million
Banten        IDR 1.2 million        IDR 1.3 million
South Kalimantan        IDR 1.3 million        IDR 1.6 million
Riau        IDR 1.4 million        IDR 1.7 million
East Kalimantan        IDR 1.8 million        IDR 1.9 million

Source: Investor Daily