Expats who are going to start long-term working period in Indonesia must comply with the newest permit regulations. The 2018 working permit in Indonesia addresses expatriates as “foreign workers”, and the details are based on Government Regulation (Peraturan Pemerintah) Number 35 Year 2015 about Manpower. This regulation provides details and requirements for expatriates in obtaining a working permit (IMTA). While the new regulation is straightforward enough, there are important details that you need to know.
Changes in Indonesia’s New Working Permit Regulations
Government Regulation Number 35 Year 2015 has several updates and changes compared to the previous one. Some of the changes include:
- No IMTA for nonresidents
The previous regulation required nonresident commissioners or directors to acquire IMTA, which included annual fees. The new regulation no longer requires these nonresidents to apply for IMTA, especially if they only occasionally visit Indonesia for business purposes.
- RPTKA requirement for foreign experts or consultants
Before the 2015 regulation, companies that hired foreign experts of consultants did not need to apply for foreign worker employment plan (RPTKA). This resulted in the trend of dubious agents that offered to make IMTA without employment requirements, which was a form of fraud.
The new regulation put a stop to this practice by requiring RPTKA from all companies that hire foreign experts and consultants. Each of these hired experts needs to apply for IMTA.
- A temporary working permit is no longer needed for training or seminar
In the old regulation, all expats who wanted to join or give seminars and training in Indonesia needed to apply for a temporary working permit. The new regulation no longer requires expats to make temporary permit if they only visit for a short time to join/give seminars or training.
These changes affect the details of securing IMTA in Indonesia. Make sure you review the shifts in requirements when applying for working permit.
Requirements to Get Working Permit Indonesia
Basic requirements for getting a working permit in Indonesia include having five years of experience, and there is no exact minimum age. However, certain industries may have different age requirements for securing a permit. For example, a person who works at oil and gas company must be between 30 and 55 years old to get a working permit. Make sure to check with the permit consultant about age restrictions in specific industries.
Indonesia’s Regulation of Human Resource Number 31 Year 2013 describes five areas where foreign workers are not allowed working permits: Legal, Human Resource, Supply Chain Management, Health, Safety and Environmental Affairs, and Quality Control. Any foreign workers who dabble in these fields are ineligible for IMTA, despite the levels of expertise and experiences.
Age restriction regulation does not apply to workers or expats who hold the highest positions at the appointed companies in Indonesia. The titles may be Commissioner, Chief of Representative Officer, Director, or Chairman, depending on the companies. Expats who have specific, important skills that are very important for the Indonesian companies are also free of age restriction.
In conclusion, the 2018 working permit details were based on the updated government regulation, which saw changes in IMTA application requirements. All foreign workers must rely on this new regulation before applying for working permit in Indonesia, and make sure to discuss the matter with trusted agents that comply with the regulation.