In the industrial relations which is built upon tripartite system, minimum wage arrangement has always become a reflection of employment dynamics in Indonesia. This thesis specifically analyzes the role of APINDO as the employers' representative in the process of minimum wage determination, DKI Jakarta Province 2014. By using case study method, the study explores the process of wage arrangement, interaction among the actors involved and the strategies applied by APINDO. This study mostly uses secondary data in the form of APINDO reports, government regulations, as well as relevant articles in newspapers and magazines. The data are then analyzed critically. The analysis result shows mat the wage determination process is very arduous and several times experiencing deadlock and demonstrations by labor unions. It is due to the different point of view of decent living standards (KHL) as the basis for the minimum wage arrangement During the process, the interaction among the actors involved in this case APINDO, workers, and the government was heating up tinged with the workers walked out during the last plenary meeting with the result that the minimum wage is decided only between government and APINDO. Other result shows that as the business stakeholders' representative, APINDO plays a very strategic and important role in the employment relations, especially in terms of minimum wage determination. Through system approach, APINDO has succeeded in pushing the government to issue various systematic and structured policies, including social security, and regulations governing the implementation of the wage setting mechanism which is impactful to reduce the components of decent living standards (KHL) that should be borne by employers. |