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Key Facts: Indonesia vs Italy Wages

Indonesia Minimum Wage
Rp33,058/hr ($1.85 USD)
Italy Minimum Wage
No statutory minimum wage
Indonesia Avg. Gross Monthly Salary
Rp3,500,000 /mo ($196.24 USD)
Italy Avg. Gross Monthly Salary
€2,600 /mo ($3,027.83 USD)
Data Sources
Ministry of Manpower (Kementerian Ketenagakerjaan); 2026 DKI Jakarta UMP verified via Keputusan Gubernur DKI Jakarta No. 1142 Tahun 2025 (jdih.jakarta.go.id/dokumen/detail/14763) (2026-05-04), Ministry of Labour and Social Policies (Ministero del Lavoro e delle Politiche Sociali) (2026-02-24)

Indonesia flag Indonesia Italy flag Italy

Updated 2026-05-04

Indonesia flag Indonesia

Minimum Wage

Rp33,058 /hr

$1.85 USD

Avg. Gross Salary

Rp3,500,000 /mo

Italy flag Italy

No statutory minimum wage

Avg. Gross Salary

€2,600 /mo

Avg. salary: -94% Indonesia vs Italy

Unlike Italy, which has no statutory minimum wage, Indonesia mandates a wage floor of $2/hr. Average gross salaries diverge further: $196/mo in Indonesia versus $3,028/mo in Italy, a 15.4:1 ratio. GDP per capita (PPP) in Italy is 3.8x that of Indonesia, underscoring the structural economic divide.

Indonesia has lower GDP per capita ($16,448 vs $62,014). Indonesia's unemployment rate is 3.2% compared to Italy's 6.4%.

Detailed Comparison

Detailed wage comparison between Indonesia and Italy
Metric Indonesia Italy
Minimum wage /hr Rp33,058 $1.85 None
Minimum wage /mo Rp5,729,876 $321.27 None
Minimum wage /yr Rp68,758,512 $3,855.26 None
Avg. gross salary /mo Rp3,500,000 /mo $196.24 €2,600 /mo $3,027.83
Avg. net salary /mo Rp3,150,000 /mo $176.62 €1,850 /mo $2,154.42
Median individual income /yr Rp24,000,000 /yr $1,345.67 €22,500 /yr $26,202.40

Percentage differences are based on USD equivalent values. Positive means Indonesia is higher.

Work Week

Indonesia

40 hrs/wk standard

Max 40 hrs/wk

Overtime : 1.5x pay

Manpower Law sets 40 hours/week: either 7 hrs/day for 6 days, or 8 hrs/day for 5 days. Overtime limited to 4 hrs/day, 18 hrs/week. First hour of overtime: 1.5x; subsequent hours: 2x. Rest day overtime starts at 2x rate.

Italy

40 hrs/wk standard

Max 48 hrs/wk

Standard workweek is 40 hours (Legislative Decree 66/2003). Maximum average weekly hours including overtime is 48 hours over a 4-month reference period, per EU Working Time Directive. Overtime compensation is regulated by collective agreements, typically 15-30% surcharge depending on hours and sector.

See this comparison from Italy's perspective: Italy vs Indonesia

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Frequently Asked Questions

Is the minimum wage higher in Indonesia or Italy?

In Indonesia, the minimum wage is Rp33,058/hr ($1.85 USD). In Italy, it is no statutory minimum wage.

How much less does the average worker earn in Indonesia compared to Italy?

The average gross salary in Indonesia is Rp3,500,000/mo ($196.24 USD), compared to €2,600/mo ($3,027.83 USD) in Italy. In USD terms, workers in Indonesia earn approximately 1443% less. Average salaries reflect the full labor market, not just the minimum wage floor. The gap between Indonesia and Italy is shaped by differences in industry composition, labor productivity, and the overall cost of living in each country. Workers in Italy earn more in nominal terms, though how far that income stretches depends on local prices in Indonesia.

How do work hours compare between Indonesia and Italy?

Both Indonesia and Italy mandate a similar standard work week of 40 hours. When work hours are equal, the country with the higher minimum wage delivers proportionally higher weekly earnings. Standard work week rules set the baseline; actual hours worked often differ based on industry norms and individual employment contracts.

What is the cost of living difference between Indonesia and Italy?

While direct cost of living data varies by source, GDP per capita (PPP) gives a useful proxy for overall economic level. Italy has the higher GDP per capita at $62,014, which is 3.8x that of Indonesia at $16,448. From Indonesia's perspective, this means goods and services are priced at a lower economic level. A higher GDP per capita generally correlates with higher wages, higher consumer prices, and greater availability of goods and services. Workers moving between these two countries should expect significant differences in rent, food, and transportation costs.