Key Facts: Indonesia vs Palestine Wages
- Indonesia Minimum Wage
- Rp33,058/hr ($1.85 USD)
- Palestine Minimum Wage
- ₪1,880/mo ($667.73 USD)
- Indonesia Avg. Gross Monthly Salary
- Rp3,500,000 /mo ($196.24 USD)
- Palestine Avg. Gross Monthly Salary
- ₪3,200 /mo ($1,136.57 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), Palestinian Central Bureau of Statistics (PCBS) / ILO (2026-02-25)
Indonesia
Palestine
Updated 2026-05-04
The minimum wage in Indonesia is roughly 360 times lower than in Palestine in USD terms, reflecting the gap between a upper-middle-income and a lower-middle-income economy. Average gross salaries diverge further: $196/mo in Indonesia versus $1,137/mo in Palestine, a 5.8:1 ratio. GDP per capita (PPP) in Indonesia is 3.8x that of Palestine, underscoring the structural economic divide.
Indonesia has higher GDP per capita ($16,448 vs $4,371). Indonesia's unemployment rate is 3.2% compared to Palestine's 24.4%.
Detailed Comparison
| Metric | Indonesia | Palestine |
|---|---|---|
| Minimum wage /hr | Rp33,058 $1.85 | — |
| Minimum wage /day | — | ₪86 $30.55 |
| Minimum wage /mo | Rp5,729,876 $321.27 | ₪1,880 $667.73 |
| Minimum wage /yr | Rp68,758,512 $3,855.26 | — |
| Avg. gross salary /mo | Rp3,500,000 /mo $196.24 | ₪3,200 /mo $1,136.57 |
| Avg. net salary /mo | Rp3,150,000 /mo $176.62 | N/A/mo |
| Median individual income /yr | Rp24,000,000 /yr $1,345.67 | N/A/yr |
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.
- Palestine
-
45 hrs/wk standard
Max 54 hrs/wk
Overtime : 1.25x pay
Palestinian Labour Law sets 45 hours/week maximum ordinary time (8 hours/day, 6 days). Overtime payable at 1.25x. Friday is the weekly rest day. Workers employed in Israel work under Israeli labour law (which has different provisions). The conflict beginning October 2023 has fundamentally disrupted normal labour conditions across the territory.
What This Means for Workers
A minimum wage worker in Indonesia earns 35925% less per hour in USD terms than one in Palestine. Standard work weeks differ: Indonesia mandates 40 hours while Palestine mandates 45 hours. A minimum wage worker's weekly earnings in Indonesia are $74 vs $30,048 in Palestine.
See this comparison from Palestine's perspective: Palestine vs Indonesia
Compare Indonesia with...
Frequently Asked Questions
Is the minimum wage higher in Indonesia or Palestine?
In Indonesia, the minimum wage is Rp33,058/hr ($1.85 USD). In Palestine, it is ₪1,880/mo ($667.73 USD). Palestine has the higher rate by 35925% in USD terms. That nominal gap does not account for local prices; see the purchasing power comparison below for a cost-of-living-adjusted view. Workers in Indonesia may retain a larger share of their earnings if prices there are lower.
How much less does the average worker earn in Indonesia compared to Palestine?
The average gross salary in Indonesia is Rp3,500,000/mo ($196.24 USD), compared to ₪3,200/mo ($1,136.57 USD) in Palestine. In USD terms, workers in Indonesia earn approximately 479% less. Average salaries reflect the full labor market, not just the minimum wage floor. The gap between Indonesia and Palestine is shaped by differences in industry composition, labor productivity, and the overall cost of living in each country. Workers in Palestine 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 Palestine?
Palestine has a longer standard work week at 45 hours, compared to 40 hours in Indonesia. Workers in Indonesia work 40 hours per week by law. Longer mandatory hours can offset a nominally higher wage; a worker in Indonesia working fewer hours may have comparable or better effective hourly earnings depending on the wage levels of each country. Total annual compensation depends on both the wage rate and the number of hours required.
What is the cost of living difference between Indonesia and Palestine?
While direct cost of living data varies by source, GDP per capita (PPP) gives a useful proxy for overall economic level. Indonesia has the higher GDP per capita at $16,448, which is 3.8x that of Palestine at $4,371. From Indonesia's perspective, this means goods and services are priced at a higher 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.