Penalties in the 1993 Manpower Law
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Manpower Law No. 13 Year 2003
Every employer that employs expatriate is under an obligation to obtain a written permission from the Minister or Government official appointed on behalf of the Minister.
Whosoever violates what is stipulated under subsection of article 42 shall be subjected to a criminal sanction in jail for a minimum of 1 (one) year and a maximum of 4 (four) years and/or a fine of a minimum of Rp. 100,000,000 (one hundred million rupiah) and a maximum Rp. 400,000,000 (four hundred million rupiah).
1. Employers who employ expatriates are under an obligation:
2. Stipulations as referred to under subsection (1) do not apply to expatriate who occupy the position of management (board of management) and/or the position of commissioner of the enterprise.
Whosoever violates what is stipulated under subsection (1) article 44, subsection (1) of article 45, shall be subjected to a criminal sanction in jail for a minimum of 1 (one) month and a maximum of 12 (twelve) months and/or a fine of a minimum Rp. 10,000,000 (ten million rupiah) and a maximum of Rp. 100,000,000 (one hundred million rupiah).
The criminal action as referred to under subsection (1) is a criminal action of infringement.
No expatriate is allowed to occupy positions that deal with personnel and/or occupy certain positions.
The certain positions as referred to under subsection (1) shall be determined and specified with a Ministerial Decree.
Employers are obliged to pay compensation to the state for employing expatriate that is employed.
The obligation to pay compensation as referred to under subsection (1) does not apply to government agencies, international agencies, social and religious undertakings and certain positions in educational institutions.
Provision concerning the amount of compensation and its use shall be determined and specified with a Government Regulation.
Employers who expatriate are under an obligation to repatriate to their countries of origin after their employment comes to an end.
Our thanks to Binka Consulting for sharing this information with us.
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