COVID-19 Pandemic: Updates on the Issuance of Working Permit for Foreign Workers in Indonesia
After months of restriction for foreigners to enter Indonesia, the Government through the Investment Coordinating Board/Badan Koordinasi Penanaman Modal (“BKPM”), the Ministry of Manpower (“MoM”) and the Ministry of Law and Human Rights (“MoLHR”) have made a joint covenant related to procedures for bringing in foreign worker within the COVID-19 pandemic period. As such, on 11 June 2020, BKPM has circulated an announcement letter as the follow-up of such covenant.
Legal Frameworks: Our below executive summary refers to BKPM Announcement No. 8/PENGUMUMAN/A.5/2020 regarding the Procedures to Request Support for the Visit of Representative(s) of Foreign Investment Company and/or Expert Expatriates during the COVID-19 Pandemic Period (“BKPM Announcement”).
Main Keys on the BKPM Announcement: We provide the following main keys on the BKPM Announcement.
Compulsory of Support Letter issued by BKPM (“Support Letter”): We note Support Letter is a mandatory document to be submitted in order to obtain foreign worker working permit namely Rencana Penggunaan Tenaga Kerja Asing (RPTKA) during the COVID-19 pandemic period.
The BKPM through the Support Letter issuance will convey to the relevant authorized agencies in MoM and MoLHR in relation to providing approval and permission for the relevant company to bring in its foreign workers.
Detailed Application Letter: We note that the company shall submit an application letter addressed to the Head of BKPM for the issuance of the Support Letter. BKPM requires the application letter to contain the following:
- Mobile phone number of the person in charge (PIC) of such application;
- The purpose of hiring the relevant company representatives and/or expatriate amidst COVID-19 pandemic;
- The details of the relevant company’s total investment and project locations in Indonesia;
- Hiring plan for Indonesian workers;
- The identity of relevant expatriate which are: name, passport number, citizenship, job title; and
- Statement of willingness to comply with COVID-19 health protocols.
Please note the application letter shall be signed by the applicant company’s highest executive, such as President Director, Executive Director, Director, or Chief Executive Officer (CEO).
Submission of Application Letter: We note that the hardcopy of the complete application letter shall be submitted to BKPM Administration Office/Tata Usaha BKPM that is located in BKPM Office, Ismail Saleh Building Level 2, Jl. Gatot Subroto Kav. 44, South Jakarta to be further reviewed by the authorized officials.
The Flow of Support Letter Issuance: We note that the application letter will be further reviewed by the BKPM Evaluation Team. The Support Letter will be issued and the copy form can be collected by the company/applicant at the BKPM Administration Office. Otherwise, provided that such application does not fulfill BKPM requirement, the BKPM will contact the PIC and return such application.
Time Frame of Support Letter Issuance: We note that the letter did not mention any specific time frame for the Support Letter issuance process. Hence, we encourage the relevant applicant to be more proactive in following up on its application.
The article above was prepared by Marshall S. Situmorang (Partner) and Aniendita Rahmawati (Associate).