Minimum wage hike in Indonesia leads to wage increase but job losses.
The study looked at how raising the minimum wage in Indonesia in the 1990s affected wages and jobs. They found that the wage increase led to a small rise in average wages (around 5-15%) and a slight decrease in urban job opportunities (0-5%). The impact on jobs varied depending on the size of the company: small businesses saw a drop in employment, while some larger companies actually hired more workers. Overall, employees in these larger companies benefited the most from the minimum wage increase.