Labor Cost Comparison

Central Java offers 30-50% lower labor costs compared to Greater Jakarta, with access to 38 million skilled workers and 2,400+ vocational schools.

30-50%
Lower Than Jakarta
$135-216
Monthly Wage Range
38M
Labor Pool
$145K+
Annual Savings/100 Workers
Domestic Comparison

UMK 2025: Central Java vs Other Provinces

Comparison of minimum wages (UMK/UMP) across major industrial regions in Indonesia for 2025.

Region / CityUMK (IDR)USD/Monthvs SemarangAnnual Cost (100 workers)
DKI Jakarta
Capital Region
5,396,760~337+56% higher$4,044,000
Bekasi
West Java (Jakarta satellite)
5,343,430~334+55% higher$4,008,000
Karawang
West Java (Industrial)
5,324,000~333+54% higher$3,996,000
Surabaya
East Java Capital
4,725,479~295+37% higher$3,540,000
Semarang
Central Java Capital
3,454,827~216Baseline$2,592,000
Kendal (SEZ)
Central Java SEZ
2,783,455~174-19% lower$2,088,000
Batang (KITB)
Central Java Industrial
2,534,383~158-27% lower$1,896,000

Annual Savings vs Jakarta

USD 1,452,000

Per 100 workers when operating in Semarang vs Jakarta

Annual Savings vs Bekasi

USD 1,416,000

Per 100 workers when operating in Semarang vs Bekasi industrial zone

Regional Comparison

Central Java vs ASEAN Competitors

How does Central Java compare to popular investment destinations in Southeast Asia?

Country / RegionMin. Wage (USD)vs Central JavaLabor SupplyMarket Access
🇹🇭 Thailand (Bangkok)
~340+57% higherTight70M
🇲🇾 Malaysia (Selangor)
~320+48% higherLimited33M
🇻🇳 Vietnam (Hanoi/HCMC)
~230+6% higherGood100M
🇮🇩 Central Java (Semarang)
~216BaselineAbundant275M
🇮🇩 Central Java (Kendal SEZ)
~174-19% lowerAbundant275M
🇵🇭 Philippines (Metro Manila)
~250+16% higherGood115M
Workforce Quality

Skilled & Trainable Workforce

Central Java offers not just competitive labor costs, but also access to a large pool of skilled and trainable workers. The province's extensive vocational education system produces workers ready for various industries.

🎓
2,400+ Vocational Schools
SMK graduates trained for industry needs
🏛️
74 Universities
Engineering, business, and technical graduates
🏭
Manufacturing Experience
Long history in textiles, furniture, and food processing

Workforce Statistics

Total Population38.23 Million
Working Age Population~25 Million
Labor Force Participation69%
Unemployment Rate5.2%
Vocational Graduate/Year~200,000
University Graduate/Year~150,000
Sector Wages

Industry-Specific Wage Ranges

Indicative monthly wages by industry sector in Central Java (excluding benefits).

👕 Textiles & Garment

OperatorUSD 150-200
SupervisorUSD 250-400
ManagerUSD 500-1,000

🪑 Furniture & Wood

CraftsmanUSD 180-250
SupervisorUSD 300-450
ManagerUSD 600-1,200

🍽️ Food Processing

Production WorkerUSD 160-220
QC TechnicianUSD 280-400
Plant ManagerUSD 700-1,500

Electronics / Manufacturing

Assembly WorkerUSD 170-230
TechnicianUSD 300-500
EngineerUSD 500-1,200

Note: Wages shown are indicative ranges and may vary based on experience, company size, and specific location. Benefits (BPJS, THR, etc.) add approximately 15-25% to total employment cost.

Total Cost

Total Employment Cost Breakdown

Monthly Cost per Worker (Semarang Example)

Base Salary (UMK)IDR 3,454,827
BPJS Kesehatan (Health) - 4%IDR 138,193
BPJS Ketenagakerjaan (Employment) - 5.74%IDR 198,307
THR (13th Month) - Prorated 8.33%IDR 287,787
Transport/Meal Allowance (Est.)IDR 300,000
Total Monthly CostIDR 4,379,114
Approximately~USD 274/month

Calculate Your Labor Cost Savings

Contact our investment team to get a detailed labor cost analysis for your specific industry and workforce needs.