Hiring Foreign Employees in Indonesia: Visa and Work Permit Requirements

Introduction

Introduction on how Indonesia’s dynamic economy is attracting global talent, and the key visa and permit requirements to be aware of when hiring foreign employees.

Types of Work Visas in Indonesia

Hiring foreign employees in Indonesia requires a valid work visa, which must be obtained before the employee begins working in the country. The two main types of visas are the KITAS (Temporary Stay Permit) and the IMTA (Expatriate Work Permit). Each visa serves a distinct purpose and is crucial to ensuring that foreign employees are legally employed in Indonesia.

1. KITAS (Temporary Stay Permit)

The KITAS is a temporary residence permit that allows foreign nationals to stay and work in Indonesia for a specific period. It is one of the most commonly used visas for foreign workers and is typically valid for six months to two years, depending on the job contract and visa category.

Who is eligible?

Foreign professionals working in skilled positions such as engineers, managers, or specialists are eligible for the KITAS. This visa is also required for individuals working for Indonesian companies, as well as for expatriates employed by foreign businesses with local operations in Indonesia.

How to apply:

The application process for the KITAS involves several steps, beginning with the submission of a Foreign Worker Utilization Plan (RPTKA) by the employer. Once the RPTKA is approved, the employer can apply for the work permit and KITAS on behalf of the foreign employee.

2. IMTA (Expatriate Work Permit)

The IMTA is the legal work permit that must be obtained before an expatriate can legally work in Indonesia. The IMTA is issued by the Ministry of Manpower and is linked to the foreign employee’s specific job role and employer. Without an IMTA, a foreign employee cannot work legally in Indonesia.

Who is eligible?

Similar to the KITAS, the IMTA is issued to foreign professionals in specialized roles. The applicant must demonstrate that they have the necessary skills and qualifications for the job, and the employer must show that the position cannot be filled by a local worker.

How to apply:

The employer must first obtain an approved RPTKA before applying for the IMTA. Once the IMTA is issued, the employee can proceed with the application for their KITAS.

Employer Responsibilities in Hiring Foreign Talent

Hiring foreign employees in Indonesia comes with specific responsibilities for employers. These responsibilities are designed to ensure that local workers are given priority, and that foreign workers are only employed when no suitable local candidate is available.

Submitting the RPTKA (Foreign Worker Utilization Plan)

The RPTKA is a critical document that every employer must submit before hiring a foreign employee. The RPTKA outlines the reasons for hiring a foreign worker and specifies the position, job description, and duration of the employment contract.

Why it’s necessary:

The RPTKA serves as a way for the Indonesian government to regulate the employment of foreign workers. Employers must demonstrate that the position being filled by the foreign employee cannot be filled by a qualified Indonesian candidate. The RPTKA must be approved by the Ministry of Manpower before the employer can proceed with the work permit and visa application process.

Requirements for the RPTKA:

To submit an RPTKA, the employer must provide details about the job role, the duration of the employment, and the skills required for the position. Additionally, the employer must commit to training a local employee to eventually take over the role in the future.

Applying for KITAS and IMTA

Once the RPTKA is approved, the employer can begin the process of applying for the KITAS and IMTA for the foreign employee. Both the KITAS and IMTA are essential documents that allow the foreign employee to legally reside and work in Indonesia.

Steps for application:

The employer submits the required documentation to the Ministry of Manpower, including proof of the employee’s qualifications, the employment contract, and the RPTKA approval. The application process typically takes several weeks, depending on the complexity of the case and the efficiency of the government agencies involved.

Employer’s role:

Employers are responsible for ensuring that the application process is completed correctly and that all necessary documents are submitted. They are also required to monitor the employee’s visa and work permit status and ensure that any renewals or extensions are processed before the documents expire.