Mechanical damage is the damage most often encountered in induction motors. The survey proved 41% of the damage to the induction motor occurred in bearing damage. Therefore, it is necessary to make a system that is able to identify the damage to the bearing in the induction motor so that the damage can be handled earlier before a larger disturbance occurs. In this study, we discussed the technique of detecting damage to bearings on an induction motor especially on the outer race bearing using stator current analysis in transient conditions. The approach method used is based on wavelet decomposition transformation as signal processing to get the motor in a healthy or damaged condition. load variations are carried out on the motor to get detailed analysis results. while for the level of bearing damage is to provide holes with variations of 1BB, 2BB, 3BB with each diameter of 2mm. The test results prove that the wavelet transform decomposition is able to detect differences in normal or faulty induction motor conditions through analysis of outer race bearing damage.