On October 28, 2026, the Indonesian Ministry of Manpower issued Minister of Manpower Regulation No. 16 of 2026 on the Second Amendment to Minister of Manpower Regulation No. 10 of 2022 on Guidelines for the Provision of Government Assistance in the Form of Wage/Salary Subsidies for Workers/Laborers (“MOM 16/2026”).
MOM 16/2026 updates provisions that are no longer aligned with legal developments, with the aim of maintaining workers’ purchasing power, strengthening economic resilience and supporting continued economic activity.
Increased Wage Subsidy Benefits for Eligible Workers
The new regulation makes several changes to the wage subsidy structure, the biggest being to the amount of assistance provided to recipients.
MOM 16/2026 increases the total wage subsidy from IDR 600,000 to IDR 900,000 per eligible worker. The assistance is calculated at IDR 300,000 per month for three months but continues to be paid in a single lump sum. This represents an increase of IDR 300,000 per recipient compared with the previous provisions.
Eligibility Requirements
To qualify, workers must be active participants in the government-run employment social security program (BPJS Ketenagakerjaan) through August 2026 and receive a wage of no more than IDR 3.5 million per month.
The exclusion terms have also been adjusted, with the new regulation explicitly stating that civil servants, TNI personnel and members of the Indonesian National Police (Polri) are ineligible for this assistance.
For regions where the monthly minimum wage exceeds IDR 3.5 million, the wage cap follows the district/city or provincial minimum wage, rounded up to the nearest hundred thousand. The annex to MOM 16/2026 has also been expanded to include minimum wage data for 30 provinces, compared to just nine under the previous regulation.
What the New Regulation Means
Overall, MOM 16/2026 represents an adjustment rather than a major overhaul. The mechanisms for determining recipients, disbursement through distributing banks and the post office, reporting, and monitoring still refer to the previous rules. The assistance provided will depend on the number of recipients and the speed of disbursement, which remain tied to the available budget.
Workers who want to confirm their entitlement should check their BPJS Ketenagakerjaan membership status. (4 November 2026)
