Labor & Employment
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Ministry of Manpower Circular (Kemenaker)
Ministry of Manpower Releases Compliance Directives for Expatriate Work Permits (RPTKA) & Compensation Levies
Kemenaker Terbitkan Edaran Penegakan RPTKA Tenaga Kerja Asing dan Pembayaran Dana Kompensasi DKP-TKA
Executive Legal Takeaway
Kemenaker tightens verification on RPTKA approvals for foreign directors and technical advisors, reinforcing mandatory Indonesian counterpart mentoring and online proof of DKP-TKA compensation payments.
The Ministry of Manpower (Kemenaker) has issued an operational circular regarding the utilization of foreign workers (Tenaga Kerja Asing / TKA) under Government Regulation No. 34/2021 and Law No. 6/2023.
Key Regulatory Highlights:
1. **Expedited Digital RPTKA:** Online submission of RPTKA through the TKA Online portal now processes within 5 business days for strategic FDI investment projects and technical experts.
2. **Indonesian Companion Worker (TKI Pendamping):** Employers must register an Indonesian counterpart worker paired with each expatriate expert and submit biannual technological transfer mentoring reports.
3. **DKP-TKA Compensation Fee:** Non-tax state revenue (PNBP) payments of USD 100 per foreign worker per month must be remitted strictly via the integrated billing code before KITAS / stay permit endorsement.
4. **Exemptions for Board of Directors:** Expatriates serving as members of the Board of Directors or Board of Commissioners holding qualifying equity shares remain exempt from standard companion worker requirements, but still require formal corporate endorsement.
Business Utility Advice:
HR and legal teams in foreign-invested companies (PT PMA) should audit their active expatriate rosters, verify validity dates of work endorsements, and ensure TKI training documentation is up to date.
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