Indonesia Omnibus Bill – Changes To Labor-Related Sectors

(16 October 2020) The Indonesian House of Representatives (DPR) recently passed the Omnibus Bill on Job Creation (the "Omnibus Bill"). The stated aim of the Omnibus Law is to bolster investment and create jobs by streamlining regulations and simplifying the licensing process to improve the ease of doing business in Indonesia.

The Omnibus Bill revises various provisions in cross-sectoral laws, including the labor-related Law No. 13 of 2003 on Labor ("Law 13/2003"), Law No. 40 of 2004 on the National Social Security System ("Law 40/2004"). Law No. 24 of 2011 on the Social Security Administrating Body (BPJS) ("Law 24/2011") and Law No. 18 of 2017 on the Protection of Indonesian Migrant Workers ("Law 18/2017").