Turns out, this is the salary of Indonesian Migrant Workers in Germany and South Korea, 4 times the salary of employees in Jakarta

Dream - Forex heroes, that's the nickname for Indonesian Migrant Workers or PMI. They contribute to the national economy through remittances, money sent from the country where they work to their homeland.

Based on data from Bank Indonesia (BI), remittances in the second quarter of 2022 reached US$2.39 billion or equivalent to IDR 35.8 trillion.

Accumulatively, PMI's money transfers to their families in Indonesia throughout the first semester of 2022 even reached US$4.73 billion or equivalent to IDR 71 trillion, growing 4.32 percent (YoY) compared to the first semester of last year.

So, how much is the salary of Indonesian migrant workers or formerly known as Indonesian workers (TKI)?

Salary of Indonesian Migrant Workers

Director of Non-Government Placement for Asia and Africa at the Indonesian Migrant Workers Protection Agency (BP2MI), Sri Andayani, noted that the salary received by PMI in Germany can reach IDR 40 million per month, while in South Korea it can reach IDR 38 million.

"Currently, the highest salary is for nurses in Germany, up to IDR 40 million. Then for welders in South Korea, the initial salary is IDR 29 to IDR 32 million, and if they work overtime, it can reach IDR 38 million," she said at the DANA office on Tuesday, June 27, 2023.

Furthermore, in the Government to Government (G to G) program to South Korea, the salary can reach IDR 22 to IDR 40 million, where last year the number of PMI to the Land of Ginseng reached 12,000 people.

"For nurses and free workers to Japan, it is also a G to G program, ranging from IDR 22 to IDR 40 million, and if they already have a registerness, it can reach IDR 35 million," she added.

According to Sri, the direction is no longer about fulfilling living needs, but about investment. A worker can bring home IDR 600 million if the money is not used recklessly.

Looking at the data, PMI's salary can be 4 times higher than office workers in Jakarta who have a Provincial Minimum Wage (UMP) of IDR 4.9 million per month. 

The prospect of remittances is still considered significant, considering the placement of Indonesian migrant workers continues to increase until the end of 2022, reaching 590 percent (formal sector) and 52 percent (informal sector).

On this occasion, to facilitate the transfer of money from PMI to Indonesia quickly, easily, and safely, DANA collaborates with RIA Money Transfer, an international money transfer company, in providing Inward Remittance or Incoming Remittances services.

"Many PMI families do not have bank accounts yet, so the alternative of sending money to DANA can be a solution at this time. The ease of financial access provided by DANA also benefits the increase in financial inclusion," added Sri Andayani.

Currently, remittance services that enter through DANA and RIA Money Transfer can be done by Indonesian migrant workers all over the world, including Malaysia, Saudi Arabia, Singapore, Hong Kong, and Taiwan.

Indonesian migrant workers who are RIA Money Transfer customers or beneficiaries can send money to their homeland by depositing money through RIA Money Transfer services by simply entering their phone number. Then, the recipient of the remittance is required to have an account and use the DANA application to receive the funds according to the deposited amount.

Through its extensive network and open ecosystem, DANA also allows remittance recipients' families to withdraw cash (Over the Counter or OTC) at several DANA partner outlets spread across various regions in Indonesia. Cash withdrawal can be done through Alfamart, Pegadaian, and Lawson. 

"The hope is that the efficiency offered by digital wallets like DANA can stabilize remittance performance in the future and contribute to improving financial literacy and inclusion in society," said Rangga Wiseno, Chief of Product at DANA Indonesia.