Employment in Indonesia and Mandatory Manpower Report

What is a Mandatory Manpower Report and Which Companies Should Submit It?

  • InCorp Editorial Team
  • 1 September 2020
  • 3 minute reading time

Regarding employment in Indonesia, one of the many things not to be overlooked by companies is the mandatory manpower report. The mandatory manpower report has a great impact on a company. If an enterprise fails to comply with the requirements, they will be subject to penalties and sanctions.

What is Mandatory Manpower Report for Employment in Indonesia?

The Indonesian Ministry of Manpower issued a new regulation No. 18 of 2017 with effect from November 6, 2017. This regulation aims to simplify the registration process and to strengthen the legal protection for employees in Indonesia.

In other words, employers are required to comply with new reporting procedures, which include the mandatory manpower reports that have to be submitted online.

Mandatory Report Submission and Report Deadlines

Whether establishing, closing, dissolving, re-opening or transferring their business, every company in Indonesia is mandated to submit their mandatory manpower report online.

The manpower reports are categorised into three types, namely Event A Report, Event B Report, and Annual Report.

Companies must submit their report in the following deadlines per the type of report:

  • Event A Report: 30 days after the company set up or re-opening of the company and its operation; 30 days after or before a change of the company address or ownership
  • Event B Report: 30 days before the stopping, liquidation, or dissolution of a company
  • Annual Report: every December

 

One important note is that all companies in Indonesia must submit their reports online. In 2018, organisations that had submitted their manpower report manually had to resubmit due to the change of regulation.

Why Is It Important to Prepare and Submit a Mandatory Manpower Report?

There are three reasons companies should prepare and submit their mandatory manpower reports from the get-go:

  • The submission of mandatory manpower reports indicates that companies have implemented employee welfare programs to protect their employees appropriately.
  • Failure to comply with the submission of mandatory manpower reports, companies shall face criminal sanctions. These sanctions include imprisonment for three months and a fine of IDR 1 million.
  • A mandatory manpower report is also a compulsory requirement if a company wishes to hire foreign employees with a TKA permit. A company is not permitted to apply for a TKA permit if they do not submit a mandatory manpower report.

The Procedure of Submitting a Mandatory Manpower Report

The procedure of mandatory manpower report submission can be done through the official website of the Indonesian Ministry of Manpower:

1. Visit the website of the Indonesian Ministry of Manpower at www.wajiblapor.kemnaker.go.id.

2. Register an account with your company information on the website by clicking on ‘Company Registration’.
Fill out all required fields on the registration page.

3. Once your company is registered and you have an account, fill out all company information to submit your mandatory manpower report:

  • User profile
  • Company identity
  • Company status
  • Company legality
  • Labour and foreign workers
  • Job vacancies and employment opportunities
  • Social security in regard to BPJS
  • Training
  • Remuneration
  • And others

Employment in Indonesia with Cekindo

Cekindo is an employment and recruitment agency driven by the purpose of helping businesses grow and prosper.

We also want to change people’s lives for the better. Here we build long-term and meaningful relationships with companies recruiting employees or qualified candidates. We also help organisations to handle the paperwork and required report submission to be fully in compliance with the local legislations.

Our trusted employment experts will help you deal with employment paperwork and secure the best candidates cost-effectively and easily in Indonesia.

Let Cekindo empower your company and help you create a fulfilling business. Fill in the form below now.

Pandu Biasramadhan

Senior Consulting Manager at InCorp Indonesia

An expert for more than 10 years, Pandu Biasramadhan, has an extensive background in providing top-quality and comprehensive business solutions for enterprises in Indonesia and managing regional partnership channels across Southeast Asia.

Get in touch with us.

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Disclaimer: The information is provided by PT. Cekindo Business International (“InCorp Indonesia/ we”) for general purpose only and we make no representations or warranties of any kind.

We do not act as an authorized government or non-government provider for official documents and services, which is issued by the Government of the Republic of Indonesia or its appointed officials.

We do not promote any official government document or services of the Government of the Republic of Indonesia, including but not limited to, business identifiers, health and welfare assistance programs and benefits, unclaimed tax rebate, electronic travel visa and authorization, passports in this website.

Frequent Asked Questions

The sponsor must be a company for single and multiple-entry businesses and working visas. The sponsor company is the legal entity that invites you to a business meeting or the business you will be working for. Regarding social-cultural and retirement visas and KITAS & KITAP stay permits, the sponsor must either be an Indonesian legal entity or a citizen. If you need a visa sponsor, InCorp provides sponsorship via HR Outsourcing and manages payroll for your foreign employee.