Guide for Working Permit in Indonesia
If you are planning to work in Indonesia, you should have known by now that you need a working permit. But sometimes, information on the Internet regarding working permit applications in Indonesia is only accurate at the time of writing.
Our first advice is to make sure that the information you have is up-to-date! Check on the date, period, and source of information is very important. We’re here to guide you for an overview steps of how to apply for work permits in Indonesia, particularly Jakarta. Screenshot, write down, or even save this article’s link so you don’t forget about the important details later on! So, here we go.
First of all, you should not confuse between KITAS and IMTA. Kitas or Kartu Izin Tinggal Terbatas is a residence permit for expatriates in Indonesia. So, it doesn’t cover your working permit. Indonesian working permit is known as IMTA (Izin Memperkejakan Tenaga Kerja Asing) or known as the temporary Expatriate Working Permit. This is the document you should apply to the Indonesian Immigration institution. After its approval, the government should issue your limited stay permit (VITAS) and KITAS.
Work Permit and Business Visa
There’s a lot of confusion here amongst expatriates regarding the difference between a working permit and a business visa. Indeed, both documents can be very tricky; either you work here as a self-employed architect or a part of a multinational company in Indonesia, it’s important to know the difference between these two documents.
The main difference between these two is that an Indonesian business visa is used for the purpose of business tasks; either for a Seminar, conference, unpaid training, or other similar activities that aren’t considered as working or gaining employment. However, a working permit is used for activities that are considered as working with wage and, or salary compensation.
Based on Article 5 and 6 of Minister Regulation 12 of 2013 in regards to the Procedure for the Use of Foreign Manpower, an employer in Indonesia who intends to recruit foreign employees needs to get a Foreign Manpower Utilization Plan or known as RPTKA. This document should be acquired by the company you are working for in Indonesia. To get this document, your employer or company you work for should apply to the Minister of Manpower in Indonesia
However, based on the general requirements of obtaining a work permit in Indonesia, according to Article 36, Government Regulation no. 35 in 2015, there are several points that you should comply with as an expats employee. Which are:
- Fulfill the qualified education for the position
- Have the competence certificates or a minimum of five years working in the related field or position
- Able to show a statement letter and training reports indicating why the transfer of knowledge and skills of expertise is mandatory and its influence on the employer or company in Indonesia
- Able to show the proof of insurance from an insurance company
- Possess a taxpayer registration number (NPWP) and have already registered in the National Social Security System if you have worked at least 6 months previously
Furthermore, based on Indonesian Immigration Law Article 4, Regulation No.3 in 2013, an expatriate is not eligible to work and obtain a working permit in Indonesia for the following categories:
- Human Resource
- Quality Control and Inspection
- Legal Entity
- Supply chain management
- Health, Safety and Environment Affairs
Process of securing a working permit
Here is the step-by-step guide to securing a working permit in Indonesia
- Your employer and/or company should receive an approval of the RPTKA for its proposal from the Indonesian Ministry of Man Power
- Then, your employer and/or company need to go through the Pre-IMTA or pre-working permit process and would be later notified the duration that you can stay and work in Indonesia
- After that, your employer and/or company should pay an advanced fee of USD 100 per month of your stay to the DKP-TKA (Development Funds in Exchange for hiring a foreign worker)
- With the approval of working permit or IMTA, you now have the legal paperwork to work in Indonesia
- With the approval of working permit or IMTA, the Indonesian immigration department will issue you a VITAS
- Once you have your VITAS with you, you should convert your VITAS into KITAS upon arriving in Indonesia
Want to know more about working permits for startup founders and employees in Indonesia? Click here!
The Validity of Working Permit
In general, the validity of the Indonesian working permit ranges from one to twelve-month. It depends on the condition of the proposal. The validation date depends on certain things. It depends on the type of industry you are working with and the type of employer and/or company’s RPTKA. Here are different conditions of working permit validity;
- Urgent or Emergency Working Permit
In order to prevent any detrimental consequences to the employer, company, or even to the society as a whole, this working permit has a validity of 1 month and it is for urgent jobs or jobs that require immediate action.
- Temporary Working Permit
With a validity between 2 up to 6 months, this temporary working permit is applicable for foreigners in several industries only (i.e. trading, service, and consulting).
- Long Term Work Permit
It is a normal working permit which is usually valid from 7 up to 12 months. In general, this working permit is issued for higher management levels such as managers, directors, and commissioners.
These are the general overview of guides to having a working permit in Indonesia. Please make sure that you have prepared the conditions in advance and follow the rule accordingly. It’s simply to avoid fines or even vis termination. After you are able to get your visa, you can check our blog. You can find further information about Jakarta in general, its lifestyle, and housings. We wish you good luck and hope to see you soon!
Find out more about working permits in Indonesia for Investors here!