UNNES Ensures Fair Pay and Living Wage for All Employees, with Remuneration Above the Local Wage Benchmark

Universitas Negeri Semarang > Sustainable Development Goals Universitas Negeri Semarang > News > News > UNNES Ensures Fair Pay and Living Wage for All Employees, with Remuneration Above the Local Wage Benchmark

Universitas Negeri Semarang (UNNES) is committed to promoting decent work, fair compensation, living wage fulfillment, and employee welfare as part of its contribution to Sustainable Development Goal 8 (SDG 8): Decent Work and Economic Growth. This commitment is supported by the university’s remuneration framework, which integrates Government Regulation (PP) Number 5 of 2024 as the foundational structure for basic salary scales and UNNES Rector’s Regulation Number 37 of 2023 concerning the Remuneration System at Universitas Negeri Semarang.

To assess its commitment to fair pay and a decent living wage, UNNES uses the Semarang City Minimum Wage (Upah Minimum Kota or UMK)—regulated under the Governor of Central Java Decree—as its official local living wage benchmark. In 2025, the Semarang City UMK was IDR 3,454,827 per month (exceeding the Central Java Provincial Minimum Wage/UMP of IDR 2,169,349). Based on the hourly wage conversion formula stipulated in Article 32(2) of Government Regulation Number 35 of 2021, the monthly wage is divided by 173 standard working hours, resulting in an hourly living wage benchmark equivalent of approximately IDR 19,970 per hour.

Based on official internal remuneration data, all UNNES faculty members (academic staff) and administrative/support personnel (non-academic staff) receive comprehensive compensation comprising basic salary, family allowances, position/functional allowances, meal and transportation allowances, holiday allowances (THR), year-end allowances (13th-month salary), health and social security insurance (BPJS), and workload/performance-based remuneration incentives that consistently exceed this set local living wage benchmark. This assessment covers 100% of employees across the university, including academic and non-academic personnel and all other relevant employee categories (PNS, PPPK, permanent university staff, and contract staff) within the scope of the university’s remuneration system. The findings demonstrate UNNES’s commitment to ensuring that even the lowest-paid employees receive fair compensation that exceeds both the monthly (IDR 3,454,827) and hourly (IDR 19,970/hour) benchmarks.

UNNES also promotes fairness and accountability through its remuneration policies and regular mechanisms for reviewing compensation arrangements. These efforts support a working environment that values employee welfare, equitable treatment, and responsible employment practices.

Through the implementation and monitoring of its remuneration framework, UNNES continues to strengthen its commitment to decent work and inclusive economic growth, contributing to the achievement of SDG 8.

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