Regulation of the Minister of Protection of Indonesian Migrant Workers Number 3 of 2026 Stipulates Employment Agreement Standards and Mandates a Computerized Protection System for Indonesian Migrant Workers

Introduction

On April 23, 2026, the Ministry for the Protection of Indonesian Migrant Workers/Board for the Protection of Indonesian Migrant Workers issued the Regulation of the Minister for the Protection of Indonesian Migrant Workers/Board for the Protection of Indonesian Migrant Workers Number 3 of 2026 on the Standard, Signing, and Verification of Employment Agreements for Indonesian Migrant Workers ("Regulation 3/2026"). Regulation 3/2026 regulates the standard, signing, and verification of employment agreements for Indonesian Migrant Workers (Pekerja Migran Indonesia, "PMI") to ensure the fulfillment of employment rights and legal certainty for PMI in the country of destination. In its considerations, Regulation 3/2026 was issued to implement the provisions of Law Number 18 of 2017 on the Protection of Indonesian Migrant Workers as last amended by Law Number 6 of 2023 on the Enactment of Government Regulation in Lieu of Law Number 2 of 2022 on Job Creation into Law.

Comparison

Regulation 3/2026 repeals the provisions of the Regulation of the Board for the Protection of Indonesian Migrant Workers Number 01 of 2020 on the Standard, Signing, and Verification of Employment Agreements for Indonesian Migrant Workers ("Regulation 01/2020") as amended by Regulation of the Board for the Protection of Indonesian Migrant Workers Number 5 of 2022 ("Regulation 5/2022"). The following is the comparison between Regulation 3/2026 and Regulation 01/2020 as well as Regulation 5/2022:

Key Provisions

General Standards for Employment Agreements

Article 2 stipulates that every placed PMI must have an Employment Agreement. The Employment Agreement must contain the rights and obligations of the parties as well as the terms of employment. The Employment Agreement shall at least contain:

1. The name, profile, and complete address of the Employer (including the company profile if the Employer is a legal entity);

2. The complete name and address, as well as the position or type of work of the PMI;

3. The rights and obligations of the parties and the terms of employment, which include working hours, wages and payment procedures, leave entitlements, rest periods, facilities, as well as Social Security and/or insurance;

4. The term of the Employment Agreement as well as security and safety guarantees during employment.

Classification of Employment Agreements Based on Placement Implementers

Regulation 3/2026 regulates the drafting of Employment Agreements based on the party placing the PMI. These provisions include:

1. Employment Agreements for PMIs placed by KP2MI/BP2MI are drafted based on an agreement between the Indonesian government and the government of the destination country or an Employer that is a legal entity, as set forth in Article 3;

2. Employment Agreements for PMIs placed by P3MIs refer to the draft contract contained in the PMI placement request that has been ratified by the Authorized Official, in accordance with Article 4;

3. For individual PMIs, Employment Agreements are prepared based on an agreement between the Employer and the PMI, as stipulated in Article 6.

Specific Standards for Seafarer Employment Agreements

Article 7 and Article 8 regulate Seafarer Employment Agreements for PMIs working as Commercial Vessel Crews and Fishing Vessel Crews. The said Seafarer Employment Agreements are drafted based on a Collective Labor Agreement. The Seafarer Employment Agreement shall at least contain:

1. Vessel identity, including the vessel's name, registration/IMO number, and vessel flag, as well as the sailing area;

2. Health protection on board, including medical care and emergency evacuation procedures;

3. Welfare rights, including recreational facilities, communication access, as well as the right to repatriation.

Exemptions for Independent Placement Companies

Businesses, including State-Owned Enterprises, Regionally-Owned Enterprises, or private companies that are not Indonesian Migrant Worker Placement Companies (Perusahaan Penempatan Pekerja Migran Indonesia, "P3MI"), may place PMIs for the company's own interests. The Employment Agreement is prepared based on mutual agreement between the company and the PMI as set forth in Article 5, and does not require ratification by the Authorized Official as stipulated in Article 13.

Document Duplication and Language of the Employment Agreement

The Employment Agreement or Seafarer Employment Agreement is prepared in 3 (three) original copies, each designated for the PMI, the Employer or Principal, and the Authorized Official, as set forth in Article 9. In addition, the Employment Agreement or Seafarer Employment Agreement must be prepared in Indonesian and English, and may be supplemented in the official language of the destination country or region.

Signing of Employment Agreements and P3MI Involvement

The signing of the Employment Agreement is conducted no later than during the Pre-Departure Orientation (Orientasi Pra Pemberangkatan, "OPP"), as stipulated in Article 11 paragraph (1). For PMIs who return to work in the same destination country in the same position before a maximum period of 2 (two) years calculated from their return and who possess a certificate of attending the OPP, the signing of the Employment Agreement may be conducted during data collection and/or biometric matching in accordance with Article 11 paragraph (3). For PMIs placed through a P3MI, the signing of the Employment Agreement is conducted with the knowledge of the P3MI and its business partners, as set forth in Article 11.

Verification Requirements for Legal Entity Employers

A legal entity Employer or Principal in an individual placement submits the Employment Agreement for ratification to the Representative of the Republic of Indonesia or the Indonesian Economic and Trade Office (Kantor Dagang dan Ekonomi Indonesia, "KDEI") as stipulated in Article 12, by attaching:

1. Company profile;

2. Additional supporting documents or other requirements mandated by the authority of the destination country.

Forms of Ratification and Digital Authentication

Upon verification, the Authorized Official grants ratification to the Employment Agreement in the form of a "Terverifikasi/Verified" wet stamp, an electronic signature, and/or an institutional barcode as stipulated in Article 14. The ratification format is stipulated in the Annexes, including an example of a wet stamp on behalf of the Ambassador or Consul General through the Labor Attaché, as well as an example of an electronic signature or barcode on behalf of the Minister for the Protection of Indonesian Migrant Workers or the Head of the Board for the Protection of Indonesian Migrant Workers.

Bankruptcy Mitigation, Addendums, and Contract Extensions

PMIs may transfer to another Employer in the same country if the previous Employer dies or is declared bankrupt, with the obligation to draft a new Employment Agreement and adjust Social Security as set forth in Article 15. Amendments to the clauses of the Employment Agreement are conducted through an addendum or amendment that is reported through the Computerized System for the Protection of Indonesian Migrant Workers and submitted for re-ratification in accordance with Article 16. The extension of an Employment Agreement without returning to Indonesia requires the fulfillment of documents such as visas, passports, old and new Employment Agreements, as well as Social Security participation as stipulated in Article 17 and Article 18. If the extension is carried out independently without a placement implementer, the obligations of the P3MI do not apply and the responsibility transfers to the PMI, in accordance with Article 17 paragraph (4).

Transitional Provisions

Employment Agreements and Seafarer Employment Agreements that were signed prior to Regulation 3/2026 remain valid until their expiration period as stipulated in Article 19. Furthermore, the electronic drafting of Employment Agreements through the Computerized System for the Protection of Indonesian Migrant Workers must be implemented no later than 2 (two) years from April 23, 2026.

Closing

Regulation 3/2026 regulates the standard, signing, and verification of PMI Employment Agreements, including the obligation to contain the identities of the parties, the work, rights and obligations, terms of employment, Social Security or insurance, as well as the term and protection during employment. The drafting of Employment Agreements is differentiated based on the party placing the PMI, including for the maritime sector which requires a Collective Labor Agreement as well as provisions regarding vessel identity, health protection, and repatriation. Employment Agreements must be printed in three original copies, drafted in Indonesian and English, and signed prior to departure or at specific stages for PMIs returning to work, with the involvement of Indonesian Migrant Worker Placement Companies for placements through companies. Ratification is conducted following verification by attaching supporting documents for legal entity employers and is provided in the form of a "Terverifikasi/Verified" wet stamp, an electronic signature, and/or a barcode. Contract amendments are conducted through addendums that are reported and submitted for re-ratification, and contract extensions require the fulfillment of documents as well as Social Security participation, with the responsibility transferring to the PMI if carried out independently. Employment Agreements that were signed prior to April 23, 2026, remain valid until expiration, and the electronic drafting of Employment Agreements through the Computerized System for the Protection of Indonesian Migrant Workers must be implemented no later than 2 (two) years from the said date.