The Minister of Manpower and Transmigration issued Circular No.
SE.04/MEN/VIII/2013 on 26 August 2013 regarding Guidelines on
Regulation of the Minister of Manpower and Transmigration Number 19
of 2012 on Requirements for the Assignment of Part of Work to Other
Companies ("Circular Letter No.
04/2013"). Circular Letter No. 04/2013 is just the
implementation of Minister of Manpower and Transmigration
Regulation Number 19 of 2012 which provides a more detailed
explanation of the requirements for work which can be outsourced,
the definition and steps in the flow of work processes, the
procedure as well as the standard form for reporting outsourcing to
the relevant manpower office, the requirements for outsourcing
companies and outsourcing agreements, and the sanctions for
violations. Please note that these outsourcing requirements and
restrictions become fully effective on 19 November,
2013. Companies should ensure that their outsourcing
arrangements are fully compliant.