Is it required to hire Indonesian staff in the PMA company?

Frequently Asked Questions

What are the shareholder rights in a PMA company?

Shareholders of a PMA Company in Indonesia have various rights, including voting rights in general meetings, entitlement to dividends and liquidation proceeds, and access to information.
They must approve significant matters through general meetings of shareholders with specified quorums, such as:

• Amending articles of association
• Changing share capital
• Appointing or dismissing directors and commissioners
• Approving major transactions, dividends, and financial statements
• Company reorganization
What duties do investors have when they own shares in a company that has been liquidated?

Shareholders must appoint a liquidator during the shareholders’ meeting approving liquidation. If no liquidator is appointed, the Board of Directors assumes the role. Creditors can submit claims within two years of the liquidation announcement, provided there are proceeds available. If proceeds have been distributed, shareholders must return them proportionally to settle creditor claims. Whereas employee termination packages vary based on employee status, service years, and reason for liquidation.

How does InCorp’s recruitment outsourcing mechanism work?

As a professional executive search agent, InCorp helps promote job vacancies, screen, and shortlist applicants, conduct pre-interviews, and arrange final interviews with applicants. This can also be topped up with an employee background check.

What are the standard regulations regarding employment in Indonesia?

The standard regulations state:

• Minimum salary of IDR 3.9 mil for the Jakarta region
• 12-day annual leave (minimum)
• BPJS coverage
• Holiday allowance