Working Permit Application Process in Indonesia

Background.

The process of applying for work permits in Indonesia can be challenging as the Indonesian Government is stringent on its workforce regulations. Although some changes have been made to entice foreign investments in Work Permit Regulation (No. 16/2015) and October 2015 update (No. 35/2015), local and foreign companies are still recommended to hire external companies with experience and expertise in the field. That said, we will list and discuss the abridged version of the working permit application process in Indonesia inclusive of Presidential Regulation (No. 20/2018) comes in effect in November 2018. Bear in mind that contrary to other countries system, Indonesia separates its working permit and staying permit. A working permit is known as the Notification (formerly IMTA) while staying permit is ITAS. Although both now are handled by Ministry of Manpower instead of previously separately by Ministry of Manpower and subsequently Department of Immigration respectively.

 

Current Process as of Presidential Regulation (No. 20/2018).

  1. Apply for RPTKA – Companies need to seek approval from the Ministry of Manpower to hire a foreign worker in that specific role. Recent changes, however, does not require shareholders with the director and/or commissioner title to proceed with RPTKA;
  2. Receive “Notification” – this will include your stay period in Indonesia;
  3. Government Levy Payment – Payment in advanced to Ministry of Manpower including USD 100 monthly payment.
  4. TELEX – notification to proceed with the Visa Collection to the desired Indonesian Embassy;
  5. Collect Visa from the nearest Indonesian Embassy – applicant only need to go to their nearest Indonesian Embassy before arriving in Indonesia and after receiving TELEX to collect the visa;
  6. E-ITAS (Electronic Stay Permit) – After the collection of visa at the Indonesian Embassy abroad, a foreign worker will enter Indonesia to obtain the E-ITAS.

Discussions.

Prior to Presidential Regulation (No. 20/2018), payment was required before IMTA (now Notification) was issued.

In addition, due to the most recent changes, foreign workers with TELEX no longer required to immediately report to the Department of Immigration & Ministry of Manpower offices. Instead, now they only need to travel to Indonesia to have their ITAS valid.

These changes certainly made it easier for both companies to invite & expatriates to work in Indonesia. Ultimately further boosting the foreign investment overall in Indonesia benefiting all.

That being said, it is still recommended for companies intending to hire expatriates to support their businesses to contact professionals & experts like Global Expandia. Even though the system has been streamlined – written regulation & implementation can be different in reality. In addition, we understand how to go through these systems within Indonesia, so we give you a peace of mind while you focus on your core business.



Leave a Reply