What other things should be considered when hiring local and foreign employees in Indonesia?

  • InCorp Editorial Team
  • 16 June 2025
  • 1 minutes reading time

There are a few things to consider, such as:

  • Prohibit any form of discrimination and provide equal opportunity for Indonesians and expatriates
  • Increase the competence of workers by giving or encouraging job training.
  • Follow the termination procedures (Terminating an employee in Indonesia can be long, tedious, and expensive.
  • Observe working hours, holidays, and overtime regulations
  • Give mandatory employee benefits, including social security and health insurance
  • Withhold only the right amount of income tax on behalf of the employees
  • Follow the wages and other benefits outlined by the law
  • Process work permits for foreign employees

Verified by

Hotdo Nauli

Senior Legal & Delivery Manager at InCorp Indonesia

Hotdo heads the Legal and Delivery team at InCorp Indonesia, managing Product Registration, Legal Advisory, and Business Licensing. With over 8 years of experience, she focuses on compliance and integrity,... Read more

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