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Indonesia is a country in Southeast Asia, between the Indian and Pacific oceans. It is the world's largest archipelagic country, with more than 17,000 islands, https://en.wikipedia.org/wiki/Indonesia - cite_note-islands-12 and at 1,904,569 square kilometers (735,358 square ...
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Under Law No. 13 of 2003 Regarding Labor (March 25, 2003), as last amended by Law No. 6 of 2023 (March 31, 2023) (the “Labor Law”), and other prevailing labor laws and regulations, employment-at-will and termination upon simple notice are now recognized in Indonesia. ...
The basic regulation regarding minimum wage is stipulated in GR 36. Minimum wages are categorized into:
a. wages without allowances;
b. basic wage and fixed allowances. The amount of the basic wage shall be at least 75% of the sum of basic wage and fixed allowances.
The aggregate wage must be greater than ...
Employees are entitled to a minimum of 12 working days of paid leave after being employed for 12 consecutive months.
Full wages must be paid for the first four months of sick leave, 75% of the full wage for the second four months, 50% for the third four months, and 25% of ...
The Labor Law contains provisions which regulate the special protection of women, children, and disabled workers as follows:
1. Women
Women's work at night is regulated in Article 76 of the Labor Law, as follows:
a) ...
The Labor Law states that the employer shall do his or her best to prevent termination of employment. In order to dismiss an employee, the employer must first inform the employee of the purpose of and reason for the termination. If the employee rejects the termination, bipartite negotiation with the employee and, if applicable, ...
The two approaches suggested for workforce reduction are:
With the passage of Law No. 30 of 2000 Regarding Trade Secrets (December 20, 2000), employers enjoy protection of their trade secrets regarding: (a) methods of production; (b) methods of processing; (c) methods of sale; and (d) other information in the area of technology and/or business that has economic value and ...
"Wages" are defined as the rights of employee received and expressed in the form of money as a reward from the employer to the employee, including allowances for the employee and his family for a job and/or service that has been or will be performed.
Wages consist of the following components:
...
Aside from the broad constitutional right to privacy, personal data protection is governed under Law No. 27 of 2022 Regarding Personal Data Protection (the “PDP Law”), as well as under various industry-specific legislation concerning data privacy.
The PDP Law is the first comprehensive law in Indonesia to govern personal data protection ...
All employees in Indonesia, including expatriates who work in Indonesia for a minimum of six months, must participate in and be registered with the BPJS of Employment. All of the relevant government regulations, except for the relevant government regulation on pension security, clearly provide that expatriates that work in Indonesia for a minimum of six ...
The Pre-Employment Card program is a work competency development program aimed at job seekers, workers/laborers affected by termination of employment, and/or workers/laborers who must improve their professional skills. The Pre-Employment Card program provides two types of incentive: (i) incentive for finding a job, amounting to IDR600,000 per month ...
The regulatory framework for employee health and safety is based on Law No. 1 of 1970 Regarding Work Safety (the "Work Safety Law") and the Labor Law, which set out the basic principles for ensuring safety at work. MOM Regulation No. 5 of 2018 Regarding Health and Safety regulates the Threshold Value of Physical ...
The basic legislation governing labor unions in Indonesia is Law No. 21 of 2000 Regarding Labor Unions (the “Labor Union Law”), which was implemented by several MOM decrees and regulations. The Labor Union Law has significantly changed Indonesian law with respect to labor union issues. Prior to its enactment, Indonesia ratified ILO Convention ...
A local employer in Indonesia who wants to employ a foreign national must arrange a Work Permit for the foreign national, including a Foreign Worker Utilization Plan (Rencana Penggunaan Tenaga Kerja Asing or “RPTKA”). The expression “Work Permit” in this context involves ...
For further information regarding labor, employment, and immigration law in Indonesia, please contact:
Law Firm: SSEK Law Firm
Address: Mayapada Tower I, 14th floor,
Jl. Jend. Sudirman Kav. ...