MINIMUM WAGE
Ensuring fair compensation and supporting decent living standards through minimum wage compliance
AEP Nusantara Plantations ensures all workers receive wages equal to or exceeding legal minimum wage requirements, supporting fair compensation and decent living standards.
According to the International Labour Organization (ILO), minimum wage is defined as the minimum amount of remuneration that an employer is required to pay wage earners for work performed during a given period. This amount cannot be reduced by collective agreement or individual contract.
Address unduly low pay and reduce wage inequality
Mandatory compliance with national and regional regulations
Support minimum acceptable standard of living (KHL)
All workers receive wages equal to or exceeding the legal minimum wage requirements as mandated by Indonesian regulations.
Continuous monitoring and adjustment of wage scales according to local minimum wage variations across different regions.
In Indonesia, minimum wages are determined by the government through three main systems:
District/City Minimum Wage
Regional Minimum Wage
Provincial Minimum Wage
Wages are adjusted according to the "Living Wage" required for a minimum acceptable standard of living, ensuring workers can meet basic needs for themselves and their families.
Skilled harvesters receiving fair compensation for their agricultural expertise
Manuring teams maintaining plantation health with proper compensation
Husband-and-wife harvesting teams supporting family livelihoods
Spraying teams ensuring crop health with fair wage compensation
Ensuring all workers receive wages that reflect their skills, experience, and contribution to operations
Continuous monitoring of wage structures to maintain compliance with changing regulations
Clear communication of wage structures and payment schedules to all employees
Ensuring wages support minimum acceptable standards of living for workers and their families
Reduced turnover and increased loyalty through fair compensation
Higher productivity and quality work from motivated employees
Improved family stability and community economic development
Enhanced reputation as an ethical employer and community partner
"At AEP Nusantara Plantations, we believe that fair wages are fundamental to human dignity and sustainable business operations. Our commitment to minimum wage compliance goes beyond legal requirements—it reflects our respect for workers' contributions and our dedication to supporting decent living standards. By ensuring fair compensation, we invest in our workforce, strengthen our communities, and build a foundation for long-term success and mutual prosperity."
