Investors as well as foreign and local shareholders are free to select the members of their management and supervisory boards. Hiring directors, managers, technicians, foreign experts, and even foreign skilled laborers by foreign companies is allowed as long as Indonesian workers are unavailable or do not meet the job requirements.
The Department of Manpower and Transmigration issues regulations with a list of professional positions in each sector open to foreign staffing. Nevertheless, the department has loosened the list. Foreign workers who intend to work or remain in Indonesia must get a work permit. Foreign workers who serve as directors also need to obtain a work permit.
How to apply for a Work Permit in Indonesia
If a company wants to hire foreigners, it must propose a Foreign Worker Utilization Plan (RPTKA) to the Ministry of Manpower. Directors or department heads must state the skills of the foreigners clearly because the government has rules governing foreign worker recruitment.
Due to the high rate of domestic unemployment, a company must prove domestic workers do not have the skills foreign workers offer. A “dependent/husband/wife” must be sponsored and have a work permit to work in Indonesia. A Work permit issued for a foreigner is not intended to grant working privileges to his or his family.
RPTKA Approval – The Latest Update
In March 2021, the Indonesian Government issued The Ministry of Manpower (MOM) Regulation No. 8/2021 that revoked MOM Regulations No. 10/2018 Concerning The Employment of Foreign Workers. The recent regulation stipulates that RPTKA approval now serves as the basis for the authority to grant a limited stay visa (VITAS). Once you have received a VITAS, the immigration in Indonesia will issue your limited stay permit (KITAS/ITAS).
VITAS (VBS Limited Stay Visa/Temporary Stay Visa)
The application of VITAS for the employed husband or wife and the dependent must take place at the Indonesian Immigration Office in the city of intended residence. Applicants can enter Indonesia once they have the visa and don’t need to get approval from the embassy.
The VITAS stamp grants permission to enter Indonesia. The main applicant who obtains working ITAS can get the permit at the airport. However, the dependants must go to the Immigration Office. The visitation acts as a report of their arrival to provide biometric data and completes the necessary documents within 10 – 14 working days once the visa is submitted to the immigration office
The paper is valuable and must be carefully safeguarded. Once all documents have been completed, the foreigner will be granted a Limited Stay Permit Card, known as a KITAS card. The KITAS card grants a permit to stay in Indonesia for one year and can be renewed annually, up to 5 years without leaving Indonesia.
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