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How Much Will Red and White Cooperative Managers Earn? Minister Reveals Wage Scheme Still Being Drafted

| Source: VIVA Translated from Indonesian | Economy
How Much Will Red and White Cooperative Managers Earn? Minister Reveals Wage Scheme Still Being Drafted
Image: VIVA

The controversy surrounding the salary levels for managers of the Red and White Village/Sub-district Cooperatives (KDKMP) remains in the public spotlight after complaints emerged from several managers claiming they received only tens of thousands of rupiah. Responding to this, the Ministry of Cooperatives has confirmed that the government is still drafting a remuneration scheme, particularly for the position of cooperative manager.

Minister of Cooperatives Ferry Juliantono explained that no nationally applicable salary figure has been set for all KDKMP managers. The government is currently only reviewing the salary scheme for the manager position, while employees or managers below that level will receive wages adjusted to the business capacity of each cooperative.

“What we are reviewing is the manager’s salary. For the employees, it is hoped that their wages can come from the business income,” Ferry stated at the DPR RI Building in Central Jakarta on Wednesday, 15 July 2026. Consequently, the salary amounts for KDKMP managers will not be set uniformly but will depend on the income generated by the cooperative in each region.

Deputy Minister of Cooperatives Farida Farichah further explained that the government will indeed only regulate the wage standard for the manager position. Meanwhile, employees below the manager level will receive wages according to their workload and the financial capacity of the cooperative where they work. “The fixed standard that will be regulated is for the manager. But for those below the manager, it will certainly be managed according to the workload,” Farida said.

She emphasised that this mechanism allows each KDKMP to have a different wage system, adjusting to the operational conditions and business income of each entity. Farida also explained that the operations of the Red and White Village/Sub-district Cooperatives are currently managed by PT Agrinas Pangan Nusantara. Therefore, the technical details regarding the payroll system and day-to-day operations fall under the authority of that company. Nevertheless, the Ministry of Cooperatives continues to monitor and supervise the programme’s implementation. “The operational governance is with Agrinas, so the details are certainly with Agrinas. But it is under the monitoring and supervision of the Ministry of Cooperatives,” she concluded.

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