Overtime Provisions and Simulation

According to PP 35/2021

Overtime Work Wages are calculated by calculating an hourly wage, which is 1/173 (one
hundred seventy-three) times a month's wage (article 32 paragraphs (1) and (2) of PP
35/2021).

Overtime Working Hours Formula Remarks

6 Working Days per week (40 Hours/Week)
First 7 hours 2 times wages/hour 1 hour x 2 x 1/173 x
monthly wage
8th hour 3 times wage/hour 1 hour x 3 x 1/173 x
monthly wage
9th hour to 11th hour 4 times wage/hour hour x 4 x 1/173 x monthly
wage

Overtime Working Hours Formula Remarks

Official Holidays that fell on the shortest working day (e.g. Friday)
First 5 hours 2 times wages/hour 1 hour x 2 x 1/173 x
monthly wage
6th hour 3 times wage/hour 1 hour x 3 x 1/173 x
monthly wage
7th hour to 8th hour 4 times wage/hour hour x 4 x 1/173 x monthly
wage

Overtime Working Hours Formula Remarks

5 Working Days per week (40 Hours/Week)
First 8 hours 2 times wages/hour 1 hour x 2 x 1/173 x
monthly wage
9th hour 3 times wage/hour 1 hour x 3 x 1/173 x
monthly wage
10th hour to 12th hour 4 times wage/hour hour x 4 x 1/173 x monthly
wage
Simulation:

Staff X normally works for 8 hours/day or 40 hours/week. However, the company asks
him/her to come in on National Holiday for 6 hours of work.

Staff X's salary is Rp. 3,000,000/month which consists of basic salary, fixed allowances,
and non-permanent allowances.

Then, how much overtime should Staff X get for working for 6 hours on his day off?

If the overtime work time falls on a National Holiday for a working time of 5 days per week
(40 hours/week), then overtime pay is calculated at 2 times the wage/hour for the first 8
hours of work.

In accordance with the formula, Staff X's overtime wage is

= 6 working hours x 2 x 1/173 x Rp. 3,000,000 = Rp. 208,092.