On 29 June 2015, a new regulation on the procedure for employing foreign manpower (ie Minister of Manpower Regulation No. 16 of 2015) entered into force, revoking the previous regulation, Minister of Manpower Regulation No. 12 of 2013. Some important provisions in the new regulation include the following:
• In general, an employer of foreign manpower must employ at least ten Indonesian workers for every one foreign worker.
• Associations (Usaha Bersama –“UB”) and Cooperatives are now prohibited from employing foreign manpower unless permitted under the prevailing laws and regulations.
• There are now 7 types of Foreign Manpower Employment Plans (Rencana Penggunaan Tenaga Kerja – “RPTKA”) and 8 types of Foreign Manpower Employment Permits (Izin Menggunakan Tenaga Kerja Asing – “IMTA”), some of which are new: a) a general RPTKA and an IMTA;
b) a RPTKA and an IMTA for Emergency and Urgent Work;
c) a RPTKA and an IMTA for Temporary Work;
d) a RPTKA and an IMTA for employment in Special Economic Areas (Kawasan Ekonomi Khusus – “KEK”) and Free Trade and Free Port Areas (Kawasan Perdagangan Bebas dan Pelabuhan Bebas – “KPBPB”);
e) a RPTKA and an IMTA to Work in Maritime Areas;
f) a RPTKA and an IMTA for Entertainment Work;
g) a RPTKA and an IMTA for Karaoke Guides; and
h) an IMTA for Permanent Resident Card Holders
• Under the previous regulation, Foreign Directors and Commissioners are not required to have Indonesian assistants/understudies. This also now applies to foreign Patrons (Pembina), Supervisors (Pengawas), Executives (Pengurus) in foundations (yayasan); foreign manpower engaged in emergency or urgent, temporary or entertainment work; as well as foreigners with a Temporary Work RPTKA approval and a Temporary Work IMTA.
• A Temporary Work RPTKA approval and a Temporary Work IMTA are now required for: |