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Leading individuals

Hadiputranto, Hadinoto & Partners is ‘excellent’ at advising foreign clients on regulatory and industrial relations issues, and recently acted in various termination of employment disputes and outsourcing matters. Practice head Susan Beaumont’s ‘particular strength is the commercial manner in which she looks at issues, combined with a thorough understanding of the intricacies of industrial relations legislation’.

Makarim & Taira S. advises employers on a range of labour issues, and recently acted in a mass termination case that resulted in a severance payout of Rp16.6bn, and a dispute brought by outsourced employees claiming violation of the Manpower Act. Richard Cornwallis and Rahayu Ningsih Hoed lead the team.

Mochtar Karuwin Komar predominantly advises multinationals and foreign clients such as Tata, Veritas and HSBC on contractual and other labour law matters. M Sukrisman Husein is the key contact.

Soemadipradja & Taher’s practice is jointly led by Hafzan Taher and Rahmat Soemadipradja and handles the full spectrum of employment law matters. Clients include Orica Services, Newmont Nusa Tenggara, National Australia Bank and Research in Motion.

Brigitta I. Rahayoe & Partners’ track record includes acting for individuals and advising on industrial relations disputes.

Christian Teo Purwono & Partners focuses on white-collar employment issues, including executive employee terminations. Representative clients include Dell, Michelin Asia and Trisula CBM Energy.

Hiswara Bunjamin & Tandjung’s Santi Darmawan advises international clients such as Hewlett Packard and Diageo on labour law issues.

Hutabarat Halim & Rekan acts for foreign clients such as G4S Security Services and Easecox on various issues, including mass termination schemes. Nini Halim has ‘great business acumen and industry knowledge, and also leads a very reliable team’. Peter Fanning is another key contact.

KarimSyah’s strong disputes expertise underpins its employment law practice, which recently advised employers on settling claims related to redundancies. It also advises on drafting company policies and advising on regulatory matters. Mirza Karim heads the practice.

Soewito Suhardiman Eddymurthy Kardono handles general employment law issues for international corporate clients such as FiFPro Asia, PepsiCo and Kohler Group.

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Legal Developments in Indonesia

Legal Developments and updates from the leading lawyers in each jurisdiction. To contribute, send an email request to
  • New BKPM Regulation on Investment Licenses and Non-License Facilities

    Indonesia's Investment Coordination Board ("BKPM") issued Regulation No. 5 of 2013 on the Guide and Procedure of Investment Licenses and Non-Licenses (" Regulation 5/2013 "). The regulation replaces its predecessor Regulation No. 12 of 2009 (" Regulation 12/2009 ") and serves as the principal regulation that governs the procedure on investing in Indonesia and obtaining tax and other facilities. Regulation 5/2013 comes into force 30 working days after 12 April 2013. This newsletter will highlight important changes under Regulation 5/2013.
  • Implementation of the 40-30-20 Bank Ownership Rule

    In July 2012, Bank Indonesia issued Regulation No. 14/8/PBI/2012 on Shareholding in Retail Banks (" Regulation "). The Regulation caps single ownership in a retail bank for banks, non-bank entities, and individuals at 40-30-20% respectively (the so-called "40-30-20 Rule"). BI issued the Regulation as part of its policy to break up concentrated shareholding, diversify shareholders and improve bank governance.
  • REDD+ Implementation and Deforestation Moratorium Status

    Efforts to implement REDD+ in Indonesia first began with President Susilo Bambang Yudhoyono’s speech at the G20 Leaders Summit in Pittsburgh, USA on 25 September 2009, to reduce emissions from LULUCF (Land Use, Land Use Change and Forestry) by 26% by 2020 and by 41% with international support. The President’s commitment to reduce emissions was followed by Letter of Intent between the Government of the Republic of Indonesia (“GoI”) and the Government of the Kingdom of Norway on Cooperation on Reducing Greenhouse Gas Emissions from Deforestation and Forest Degradation (“LoI”), signed on 26 May 2010. This LoI also includes partnership to implement REDD+ and financial contribution from Norway to finance the efforts of REDD+ implementation in Indonesia.
  • Sarulla Business Viability Guarantee Issued

    On 11 April 2013 the Ministry of Finance issued a Business Viability Guarantee Letter (BVGL) for the Sarualla geothermal power project company pursuant to Minister of Finance Regulation No. 139/PMK.011/2011 on PLN’s Business Viability. Following the signing of the Energy Sales Contract (ESC) and Joint Operation Contract (JOC) on April 4 this allows the Sarulla project to proceed with implementation, having been initiated on 27 February 1993 but later stalled due to the 1997 financial crisis.
  • Latest Banking Law Draft

    The DPR is currently discussing the Draft Banking Law (“Draft Law”), which will repeal the current Banking Law (Law No. 7 of 1992 as amended by Law No. 10 of 1998 “Banking Law”) upon enactment. The most important changes that the Draft Law will introduce are:
  • Green Shoe Option Concept in Indonesian IPOs

    A . Introduction
  • Acquittal in an AGO-prosecuted Corruption Case Sets Out the Limits of the Law

    The Jakarta Corruption Court, a court of first instance for corruption crimes, acquitted former Merpati Airlines Director Hotasi Nababan of corruption charges. Mr. Nababan was charged over an aircraft lease agreement that went awry. Under the agreement, Merpati leased two airplanes from a US-based corporation - the two aircraft were never delivered despite Merpati having paid the security deposit. At this time, the Attorney General’s Office (AGO) has decided to appeal the decision.
  • Indonesia Under Review - March 2013

    Politics
  • US IRSs FATCAs Effects on Indonesian Financial Institutions

    What Is FATCA?
  • New Bank Indonesia Regulation on Customer Due Diligence

    Bank Indonesia has issued Regulation No. 14/27/PBI/2012 (“PBI 14/2012”) on the Implementation of the Anti Money Laundering and Prevention of Terrorism Funding for Banks to replace Bank Indonesia Regulation No. 11/28/PBI/2009. PBI 14/2012 was issued on 28 December 2012, with immediate effect, and applies to commercial banks, sharia banks and branches of foreign banks.

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