Regulation of Foreign Manpower (Expatriate) in Indonesia*based on Major Labour Laws of Indonesia:Law No.13 of 2003 on Manpower, andRegulation of the Ministry of Manpower and Transmigration of the Republic of Indonesia Number 12 of 2013 concerning Foreign Manpower Employing ProceduresThe Indonesian Netherlands AssociationJakarta, March 5th 2015Presented by Umar Kasim

Indonesian Laws Related to the use of Foreign ManpowerAct Number 13 of 2013 concerning ManpowerRegulation of the Presiden of Republic of Indonesia Number 72 of 2014 concerning Using of Foreign Manpower and Implementation of the Education and Training of Indonesian Human ResourceRegulation of the Ministery of Manpower and Transmigration of the Republic of Indonesia Number 12 of 2013 concerning Foreign Manpower Employing Procedures [Permen 12/2013]

The Philosophy using Foreign ManpowerThe reasons Foreign Manpower can work in Indoneaia:As an Investor (owners)As experts (skilled worker) for the transfer of knowledge.Those reason is based on:economic globalization demands (WTO, AFTA, Chafta)improvement of National Economy (: increased foreign investment)expansion of Employment (new job opening)transfer of knowledge;

Term - Foreign ManpowerForeign worker , Expatriate (Tenaga Kerja Asing)Foreign worker, is visa holder of foreign citizenship with in the intension to work in Indonesias territory .[Article 1 point 13 Act No.13 of 2003 on Manpower].

Foreign Manpower, are foreigners holding visa with the aim of working in regions in Indonesia [Regulation of the Ministery of Manpower and Transmigration of the Republic of Indonesia Number 12 of 2013 concerning Foreign Manpower Employing Procedures]Foreign Manpower, Expatriate, a person who lives outside their native country, settle oneself abroad.

Foreign Manpower, can be employed in Indonesia in employment relations for certain positions and for certain period of the time only [Article 42 (4) Act No.13 of 2003 on Manpower].Foreign Worker is not allowed to accupy position that deal with personal and/or occupy certain positions.the certain positions shall be regulated with a Ministrial Deccision [article 46 Law No.13 of 2003]Foreign Manpower Tenaga Kerja Asing (Foreign worker)

Requirement for Foreign WorkerMandatory requirement for foreign worker that given work from the employer (sponsor) :having education to held positions;having certificate of competence or experience at list 5 (five) years according to held position;willing to make statemets to delegate their skills to Indonesian Human Resource (IHR), especially assisting IHRbeing able to communicate in bahasa Indonesia [Indonesian Language].[article 26 & 27 Menaker Reg.No.12 of 2013]

*Provisions Requirements for the position they will be excluded : members of the Board of Commissioners / members of the Board of Directors ; Impresario service business ; and Temporary employment [ Article 26 ( 2 ) ]

Employment Foreign WorkerEvery foreign worker employer that employs foreign worker is under an obligation to obtain written permission from Minister (is the minister of responsible for manpower affairs) [Article 42 (1) Act No.13 of 2003]An employer who is an individual person is prohibited from employing foreign worker [Article 42 (2) Act No.13 of 2003]Indonesia adheres to the principles of sponsorship in the form of corporation / entity.

General Condition of using Foreign workerGeneral condition of using Foreign workerEvery employer that employs foreign manpower is under an obligation to obtain written permission from Minister of Human Resource (IMTA) [Article 42 (1) Act No.13 of 2003]The requirement to obtain permission for the use of foreign worker is indead to ensure selective employment of foreign worker so that Indonesian manpower can be used and developed optimally [Explanatory Notes of Article 42 (1) Act No.13 of 2003]

Sponsorship Policy

Foreign worker-EmployerEmployer Foreign worker, includes:Government agencies, International agencies, representative office of foreign countries;Foreign trade representative office, foreign company representative office, or foreign news representative;foreign private companies;Legal entity established base on laws in Indonesia, or foreign firm registered in the outhorized institution in Indonesia;social, religious, educational and cultural institutionsImpresariat service business[Article 1 point 3 jo article 3 Ministery Decree No.12 of 2013]

Exceptions IMTAThe obligation to obtain permission from Minister of Human Resource does not apply to representative office of foreign countries in Indonesia that employ foreign citizen as their diplomatic and consuler employes.[Article 42 (3) Act No.13 of 2003]

Employer Foreign Worker and Prohibited JobAn employer, who form a civil partnership (Maatschap, Associate), Venootschap onder Firma (Fa), Comanditaire Venootschap (CV) and Trade Enterprises (UD), is not allowed to employ foreign workers, unless regulated by law. [Article 4 Ministry of Labor Regulation 12/2013]Positions prohibited for foreign workers is a job in charge of personnel and / or certain positions specified in negative list.[Article 46 Ministry of Labor Regulation 12/2013]

Online SystemApplication of foreign worker use and its service, since RPTKA, recommendations by visa approval to work and till IMTA published, should be done online through the web Ministry of Labour [Article 34 Per-12/2013]

RPTKAForeign Manpower Employing PlanRPTKA (Foreign Manpower Employing Plan) is plan of Foreign worker employment on certain position made by Foreign worker employers for certain terms validated by Minister of Manpower or appointed officials (competent authority: Director General of Human Resource Placement Development)

Various Types of RPTKAEmployers of Foreign Manpower must have plan concerning the utilization of Foreign Manpower that are legalized by the Minister (Minister of Human Resource) or appointed official (Director of Foreign Manpower Employing Control or Director General of Human Resource Palcement Development) [Article 43 (1) Act No.13 of 2003]General RPTKA (standard, regular) [Regulation of the Ministry*, Article 6-7]RPTKA for temporary employment [Article 8-11];RPTKA for emergency work (RPTKA for emergency job) [Article 12-15]; RPTKA in Special Economic Area, KEK [Article 16]; andRPTKA for Impresariat Service [Article 17].*vide Regulation of the Ministry of Manpower and Transmigration of the Republic of Indonesia Number 12 of 2013 concerning Foreign Manpower Employing Procedures.

RPTKA(Foreign Manpower Employing Plan)Employer (Foreign worker-Employer) to hire Foreign worker (foreign manpower) shall process RPTKA, contain :alasan penggunaan Foreign worker;Jabatan / kedudukan Foreign workerJangka waktu mempekerjakan Foreign workerPenunjukan TK-WNI sbg pendamping Foreign workerException of RPTK:Government Institution;International Agencies (WHO, UNHCR, IMF);Representative of foreign countries -in hostcountry- (Ps.43(1)-UU);RPTKA is the base of getting permission (IMTA) [article 3 paragraph (4)-Permen-No.12 of 2013]

Procedurees of RPTKA Validation ProposalTo obtain RPTKA validation, Foreign worker-employer shall give proposal written (or on-line system) and equipped with Foreign worker Employment by attaching:reasons for the use of foreign manpower; RPTKA Forms having been complited;Business Authorization Letter (from authorized institution).establishment act as legal firm having been validated by authorized officials; companys residence acknowledgement from local governments;companys organizational structure scheme;Assignment letter as hired Foreign worker assistant;a statement of willingness to implement education and training for workers of Indonesia in accordance with the qualifying position occupied Foreign workerCopy of employment report obligation still valid based on Law Number 7 Year 1981 regarding Employment Report Obligation at CompaniesRecommendation of Position to be held by the Foreign worker from certain institution if needed.[vide Regulation of the Ministry of Manpower and Transmigration of the Republic of Indonesia Number 12 of 2013 concerning Foreign Manpower Employing Procedures, hereIndonesiafter referred as Regl.of Ministery, Article 7].

Record entry in RPTKA formRecord entry in RPTKA form :Name and address of the sponsor (An employer);Name of the head of the company;jobs and job descriptions Foreign worker;The number of foreign workers;Work location Foreign worker;Wages / salaries Foreign worker;Duration Foreign worker;Start date employed;The number of migrant workers employed in the company concerned. and the employment opportunities that are created;TKI companion and training program)(Article 7 paragraph (2) Minister Regulation 12-2013)

Application RPTKA for Temporary EmploymentTypes of Temporary Works, are:that once the work is completed; andWork related to*:mounting machine (installer);electrical (electrical, electricity);after-sales services (after-sales service);product that still business assessment period (i.e. launching product) [Article 8 Ministry Regulation-12/2013].* how about corporate intra transfer?. It's not done is set.

Form RPTKA for Temporary EmploymentSubmitted a written request to the Director PPTKA, with attachment : Written Reason;Form entry:ID Foreign worker Sponsor;Job and job disc and requirements Foreign worker;The number of foreign workers;Term of useLicensedeed Of EstablishmentDomicile LetterThe organizational structure of the companyAppointment companion TKIReport ObligatoryCopy Job Contract [Article 9 Ministry Regulation-12/2013].

Ratification RPTKAFor temporary employmentRatification of RPTKA for temporary employment, includes:Reasons for the use of foreign workers;Position and / or status of Foreign worker;The number of foreign workers;Work location Foreign worker; andPeriod of its use *.[Article 10 Ministry Regulation-12/2013].

Application of RPTKA for Emergency WorkThe jobs that categorize as emergency, it is urgent work that when ill dealt a fatal result in losses for the company and / or the general public [Ps. 1 a7 Per-12/2013]RPTKA Emergency Application (written) with attach:Reasons for the use of foreign workers;complete a form (al: ID sponsors; job and job-disc Foreign worker Total Foreign worker period of use of foreign workers.License (sponsor) of the institution concerned.Statement of Sponsor regarding the Emergency.Emergency RPTKA, granted only for a period of 1 (one) month and can not be extended.RPTKA issue 1 (one) working days after the request comes.(Ps.12 and 13 and 15 Ministry Regulation-12 Th.2013)

RPTKA of KEK (Special Economy Area)KEK, is the area defined in the Homeland For organizing functions that are specific economic and acquire certain facilities [Article 1 paragraph 10 Per-12/2013].

RPTKA of KEKWritten Application submitted to the officer who was appointed in KEK, along with reasons for the use of foreign workers and attach terms (mutatis mutandis) in accordance with the regular;Officials at KEK, is representative of the Head Office"Exceptions, only on the authority of officials related to the number of foreign workers (50 people or less)(Article 16 jo 21 Per-12/2013)

Application RPTKA ImpresariatImpresario Services, is the management of the organization of entertainment activities in Indonesia, either bring or repatriate foreign workers in the field of art and or are temporary. (Ps.1 9s Ministry Regulation-12/2013)Application requirements and RPTKA, as regular application, with the exception of:Appointment Letter Foreign worker Companion [Article 22 (2) Per-12]In a form, do not need: job Foreign worker; Appointment of TKI companion and training program.There is a special form, in appendix (Article 17 Per-12/2013)

Feasibility Assessment RPTKA*especially for RPTKA which are general and u / these jobs are temporary (Article 7 (1) and Article 9 (1) Ministry Regulation-12), namely:Research the documents RPTKAIf its not completed, restored with telling shortcomings that must be completedIf completed, feasibility assessment based on the list of positions specified by the Minister to consider the needs of the national labour market.If deemed necessary to do field verification.Procedures for feasibility assessment established by the Director General of Penta (Ps.18 Per-12/2013)

Ratification RPTKAIn matters eligibility assessment was appropriate terms and conditions, in 4 (four) working days DG / Director publish endorsement, respectively:Decrees For 50 people / moreSK PPTKA Director for approximately 50 org (Ps.20-21 Per-12/2013)SK Endorsement RPTKA, includes:Reasons for the use of foreign workers;job Foreign workerThe number of foreign workers and WagesLocation of work;Time periodTotal companionThe number of migrant workers who are employed (Ps.22 (1) Per-12/2013)

Term and Renewal of RPTKADuration of RPTKA = 5 years, and can be extended For the same time period with attention to labour market conditions DN (Ps.23 Per-12/2013)Application for renewal, mutatis mutandis with RPTKA application (Ps.24 (1) Per-12/2013);RPTKA extension request, addressed to:Director General if across the provincial, and when there are changes in the job; work location; number and / or Citizenship;Institution Province (if internal provinces) and that there was no change in the job; number and location of works in the relevant province. (Ps.24 (2) Per-12/2013)Application for renewal is attached with:Report on the implementation of trainingCopy: SK RPTKA which is still valid, IMTA, the evidence "DPKK"And recommendation of office [Article 24 (3) Per-12/2013]

PRTKA worker as basis of IMTA extensionTo extend the IMTA, can be carried out in accordance with the period of validity of RPTKAIMTA is renewed every year(Article 31 (3) Per-12/2013)

Changes in RPTKAApplication changes RPTKA (addressed to the Director / Director), carried out before the expiration of written RPTKA, include:Change the name of the company (sponsor)Change of address of the sponsor (company)Change of position;Change work location;Increasing the number of foreign workers; and/orCitizenship changes(Ps.25 (3) Ministry Regulation -12/2013)

IMTA (Foreign Manpower Employing Permit)IMTA given by Minister of Human Resource or appointed officials (competent authority: Director General of Human Resource Placement Development) to Foreign worker-employers (Article 1 point 5 Reg.of Minister of Human Resource No. 12 of 2013)IMTA is given by Director of Foreign Manpower Employing Control)IMTA extension is given by : Director of Foreign Manpower Employing Control,Head of the Provincial Department of LaborHead of Department of Labor Regents / Mayors (local). [vide Article 29 Reg.Minister No.12 of 2013]

Application (Recommendations) VisaApplication filed by "Sponsor" to the Director PPTKA to get Recommendation Visa (TA.01), with attachmentsCopy SK Endorsement RPTKA (sponsor);Copy of Passport Foreign worker concerned;Curriculum Vitae;Experience Letter diploma or foreign workers concerned, or certification of competenceCopy of letter of appointment TKI companion;Pas-photo (4x6)If the requirements have been met Dir.PPTKA published Recommendation Visa and submit to the Director Lantaskim (Traffic Immigration) no later than the next day, with a copy sponsors.Recommendation Visa valid for 2 (two) months from the issue (Ps.23)

Application IMTA For Foreign worker Mixed MarriagesLimited stay permit and the holder of a permanent stay permit can do the job and/or effort to make ends meet and/or his family[Article 61 IIL No.6 of 2011]Therefore, for foreign workers who work for mixed marriages, is not required:Recommendation through the visa approval, andRecommendation through delivery to general director Lantaskim [Article 30, paragraph 3 Per-12/2013]

Application and Issuance IMTAAfter the director general of Immigration granted Visa and issues a Notice of approval Visa, Work Permit Sponsor file an application, with attachments :Copy draft PK (legal relations);Proof of Payment "DPKK" DKP-Foreign worker;Copy of Insurance Policy;Copy of Notice of Approval Visa;Photo (4x6) 2xOnce the requirements are met , director PPTKA published IMTA (at least 4 (four) working days.

Term and Renewal IMTAPeriod of validity of the IMTA maximum of 1 (one) year, then can be extended [Ps.31 (3) Minister regulation-12/2013]IMTA extension request, filed to / and published by: Director of PPTKA to work sites more than 1 (one) ProvinceHead of Provincial, cross-district / city within 1 (one) Prop.Head of District / City, in one (1) District / City [Ps.35 (2) Minister Regulation-12/2013].IMTA extension request, no later than 30 working days before the IMTA ends [Ps.35 (3) Minister Regulation-12/2013];

Term and Renewal IMTAThe procedure, fill out and attach Form:Copy IMTA (which is still valid);Evidence "DPKK"Copy of Insurance Policy(evidence) reports realization TKI training companion;Copy SK RPTKA (valid)Photo 4x6 (2x)Recommendations for specific sectors (Art. 36 (1) Minister Regulation-12/2013)

Extension IMTAOnce all requirements are met, then each authorized (Director of PPTKA), Head (Prop / Regency / City) published the IMTA (Extension)IMTA interchangeable extended in accordance with RPTKA for period of 1 (one) year, except for the office of member of the Board of Directors / Commissioners.For the post of member of the Board of Directors / Commissioners, extension 2 (two) years [Article 37 (3)]IMTA Extension, used as a basis for extending Permit (ITAS) (Ps.37 (4) Minister Regulation -12/2013)

Work Permit To Work TemporaryApplication to the Director PPTKA, by attach :SK Endorsement RPTKA;Copy of Insurance Policy;Copy of Passport foreign workers concerned;Photograph, 4x6 = 3 pieces;Proof of payment DPKKIMTA (temporary work) issued not later than 6 (six) months.In the case of complete, published in four (4) working days [Article 38 Per-12/2013]

IMTA For Emergency WorkThe work as an emergency, is urgent work that if not dealt with promptly, can result in fatal loss for the company and / or the public (Art. 1 point 7 Per-12/13)Application filed with attaching the terms specified (Ps.40 (1) Per-12/2013)Duration IMTA Emergency Works awarded a maximum of 1 (one) month of [Article 40]

IMTA for Emergency WorkForeign worker-employer who shall hire Foreign worker for emergency work shall submit IMTA proposals to Director Foreign Manpower Employing Control (Director of PPTKA), by attaching:statement emergencies;Passport copy of Foreign worker;Foreign workers photographs, three pieces of 4x6 sizedEvidence DPKKAfter meeting the requirements, Director of PPTKA published IMTA than 1 (one) working day (Article 40 (2) Per-12/2013)

IMTA for KEK (Special Economy Area)Foreign worker-employers shall submit written proposals to appointed officials (competent outhority) at Special Economy Areas (KEK) .Procedure of IMTA obtainment at KEK (special economy areas) follow as meant in Article 29-32.29: authorized institution to issued of IMTA: Head of the Provincial Departement of Labour.30: Applying for IMTA to the Director of Foreign Manpower Employing Control.31: attach the terms of IMTA32: Paying compensation fund (DPKK)(Article 42 Reg.of Minister No.12 of 2013)

IMTA for Impresario(Singer Lead/ Karaoke) the Impresario , is the management of the organization of entertainment activities in Indonesia, both who bring in and who repatriate foreign workers in the field of arts and sports that temporary foreign workers (.9 Ps.1 Per-12/2013)Impresario services are also required to have a permit (IMTA) and apply for a Work Permit submitted to Director PPTKA, attach:copy Karaoke location permit;RPTKA;evidence "DPKK"copy of the insurance policyPK with the employer [Article 43 Per-12/2013].The period is longer than 6 months, can not be extended [Ps.44]Comparison between Foreign worker with migrant workers in the workplace = 5: 1 (a fellow guide karaoke) [Ps.45]

IMTA For KITAP HolderApplication for a Work Permit Holder submitted to Dir.PPTKA KITAP, attach:copy RPTKAITAP copy;Curriculum Vitae;copy of diploma / work experience;evidence "DPKK"copy of the insurance policyPhoto, 4x6 (3x)After all equipped, Dir.PPTKA published IMTA.(vide Article 46 Per-12/2013)

Changes in Sponsor NameIf Sponsor renamed, Dir.PForeign worker submit recommendation for change Permits / KITAP, with attach : Copy RPTKA changesCopy Permits / KITAPCopy IMTA;Proof of name change from the relevant authorities.Previously, Sponsor apply changes to Dir.PPTKA RPTKA.Director PPTKA issuing recommendations to the Director General of Immigration For changing Permits / KITAP.Permits / new KITAP as basis of change IMTA(Article 47 Per-12/2013)

Changes in Work LocationIn the case of an extension of the validity period IMTA pp ends and there is a change of work location, Foreign worker employer shall submit changes IMTA and pay "DPKK" / retribution in accordance with the Act. [Article 48 Per-12/2013]

Revocation IMTAIn the case of An employer hiring foreign workers who are not in accordance with the work in the IMTA, then PPTKA Director, Head of the Provincial / District / Municipal authority to revoke IMTA of the respective sponsors appropriate authority (Article 51 Minister Regulation 12/2013)

Dual PositionsAn employer is prohibited to employ foreign workers dual position, both within the same company, or the company (sponsor) other;Similarly Foreign worker employer is prohibited to employ foreign workers who are already employed by the employer other Foreign worker.Exempted from the prohibition double post, is a member of the Board of Directors or the Board of Commissioners [Article 33 Per-12/2013]

repatriation of foreign workersEmployers who employ foreign worker are under an obligations to repartiase the foreign worker to their countries of origin after their employment comes to an end [article 48 Act No.13 of 2003]

Obligation of Employer of Foreign WokerPaid Expertise and Skill Development Fund DPKK or DKP-Foreign worker (Artic.47 UUK); Continue to exclude in the programs of Social Insurance [Candy-02/2004]Return foreign workers after the end of the legal relationship (Article.48 Labor Law)

Obligation "DPKK" - DKP-Foreign workerOne of the obligations (Employer) Foreign worker, is "DPKK" or DKP-Foreign worker (Foreign worker Usage Compensation Fund) prepaid (Ps.32 (1) Per-12/2013);Article 47 (1) and (4) Labour Law, that An employer (sponsor), is obliged to pay compensation for any employment of foreign workers in the amount set by the PPThe amount of DKP-Foreign worker has been set in Appendix PP 65 Thn.2012 about the type and Tariffs on non-tax revenues Applicable within the Ministry of Manpower (this PP revoke PP 92 TH.2000)Payments "DPKK" at least 1 month and is non-tax revenues (Ps. 32 (2) - (4) Per-12/2013)

Conditions "DPKK" or DKP-Foreign workerThe type of PNBP prevailing at Manpower includes income derived from:Job training services;Expertise and Skill Development Fund (DKP-Foreign worker)Testing and Inspection Services K3 (Healt and Safety);K3 Training Services; andEducation and training services.At the time of this regulation applies (July 30, 2012), KP-Foreign worker For IMTA extension that works locations across districts / cities in one province, and its location in one district / city still remains a PNBP s / d 31 December 2012 (its already clear enough). (see Article 1 and 6 PP 65 Th. 2012)

Rates "DPKK" In ANNEX

Obligation exception "DPK-Foreign workerForeign worker employer exempt payment in DKP-Foreign worker, forGovernment Agencies;Representatives of Foreign Countries;International Agencies (WHO, ILO, UNICEF);Social institutions;Religious institutions; andCertain positions in educational institutions, which is:Principal and Teachers (Foreign worker) at the Institute of Education an embassy (in the host country)Lecturers and / or researchers in the PT based K.S. PT Overseas(Article 47 paragraph (2) and (3) in conjunction with Article 4 Minister Regulation 223 / Men / 2003)

Conclusion

Thank youSee you in other eventUmar KasimPhone number : +628129570502Email : markas.umar@yahoo.com

This content is for general information purposes only, and should not be used as a substitute for consultation with professional advisors. 2015 [Umar Kasim]. All rights reserved.The following material is for the training purpose only and its not allowed to be copied or distribute to others.

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