Law Number 2 of 2026 Regulates the Protection of Domestic Workers, Mandates Domestic Workers’ Rights and Prevents Exploitation

Introduction

On 30 April 2026, President Prabowo Subianto enacted Law Number 2 of 2026 on the Protection of Domestic Workers (“Law 2/2026”), which took effect on that date. This Law aims to provide clear legal certainty, prevent all forms of discrimination and exploitation, and improve the welfare and skills of Domestic Workers (“DWs”) in Indonesia. In addition, this regulation balances rights and obligations in order to create harmonious employment relationships between DWs and Employers.

The Government recognizes that every citizen is entitled to employment and a decent standard of living in a humane manner. However, in practice, DWs have not yet fully obtained recognition and protection as workers. Domestic work has unique characteristics, as it takes place within a private sphere (households), making it difficult to reach through labor supervision mechanisms. To date, DWs have frequently faced various serious issues, ranging from unpaid wages by Employers, excessive working hours, to harassment and physical or psychological violence. Therefore, Law 2/2026 recognizes the domestic worker profession, protects the rights of DWs, and prevents arbitrary treatment while continuing to respect the living customs and cultural values within society.

 

Key Provisions

Definition and Scope of Domestic Workers

According to Article 1 point 1, a DW is a person who works for an employer to perform domestic work in exchange for wages. Domestic Work is defined as work carried out within the household sphere, which pursuant to Article 10 includes:

1. cooking; 
2. washing and ironing clothes; 
3. cleaning the house; 
4. cleaning the yard and/or garden; 
5. caring for children; 
6. caring for sick persons, elderly persons, persons with special needs, and/or persons with disabilities; 
7. driving; 
8. guarding the house; 
9. taking care of pets; and/or 
10. other Domestic Work agreed upon by the Employer and the DW. 

However, pursuant to Article 4 paragraph (2), not all persons assisting with household work are categorized as DWs under Law 2/2026. Persons assisting based on customs, kinship/family relationships, educational arrangements, or religious arrangements, such as abdi dalem, ngenger, and nyantrik, are excluded from the definition of DWs under Law 2/2026. Furthermore, Article 9 classifies DWs into two categories based on working time, namely full-time DWs, being DWs who work and reside full-time at the Employer’s residence; and part-time DWs, being DWs who work at least 2 (two) hours per day and do not reside at the Employer’s residence.

Recruitment Mechanism and Requirements for Prospective DWs

Article 4 paragraph (1) stipulates that Employers may recruit DWs directly or indirectly through a Domestic Worker Placement Company (“DWPC”). According to Article 5, prospective DWs recruited must fulfill the following requirements:

1. at least 18 (eighteen) years of age; 
2. possess an electronic identity card (KTP-el); and 
3. possess a health certificate issued by a healthcare facility. 

Direct recruitment as regulated under Article 6 is conducted directly by the Employer based on an Agreement. Meanwhile, indirect recruitment through a DWPC pursuant to Article 7 may be conducted either offline or online and must be set forth in a Placement Cooperation Agreement containing at least:

1. identities of the parties; 
2. rights and obligations of the parties; 
3. scope of Domestic Work; 
4. number of DWs required; 
5. amount of wages; and 
6. guarantee of DW placement. 

After passing the selection process conducted by the DWPC, the prospective DW must sign a Placement Agreement containing at least the identities of the parties, rights and obligations of the parties, placement period, work location, Working Hours, scope of Domestic Work, and Wages.

Employment Relationship and Employment Agreement

According to Article 11, the Employment Relationship between the DW and the Employer is based on an Agreement or Employment Agreement. The Employment Agreement must be made in writing in the Indonesian language and contain at least:

1. identities of the parties; 
2. work address; 
3. commencement date and validity period of the employment agreement; 
4. scope of Domestic Work; 
5. rights and obligations of the parties; 
6. working conditions; 
7. amount and procedure for payment of Wages; 
8. place and date of execution of the Employment Agreement; and 
9. signatures or fingerprints of the parties. 

Employment Agreements involving a DWPC must be made in 2 (two) originals, affixed with stamp duty, and copies thereof must be provided to the DWPC and the neighborhood administrative heads (RT/RW). In addition, Article 13 affirms that Employment Agreements are made based on the capacity or competence of the parties to enter into agreements, mutual consent binding upon the parties, the existence of agreed work, and that such work does not conflict with prevailing laws and regulations.

The Employment Relationship may also terminate pursuant to Article 14, among others, due to:

1. the intention of both parties; 
2. failure of one party to implement the Agreement or Employment Agreement; 
3. the DW or the Employer committing a criminal act against one another; 
4. the DW being absent from work for 7 (seven) consecutive days without clear reasons; 
5. the death of the DW or the Employer; 
6. expiration of the term of the Agreement or Employment Agreement; and/or 
7. relocation of the Employer where the DW is unwilling to continue the Employment Relationship. 

Rights and Obligations of DWs

Article 15 regulates the rights of DWs, including:

1. practicing worship in accordance with their religion and beliefs; 
2. working under humane Working Hours (namely fair, reasonable, and non-exploitative working hour arrangements); 
3. obtaining rest periods (including breaks during working hours, daily and weekly rest, rest before and after childbirth, or miscarriage); 
4. obtaining Leave in accordance with the Agreement or Employment Agreement; 
5. receiving Wages and religious holiday allowances in the form of money in accordance with the Agreement or Employment Agreement; 
6. receiving health social security and employment social security; 
7. receiving social assistance from the central government; 
8. receiving healthy meals; 
9. receiving proper accommodation for full-time DWs; 
10. terminating the employment relationship; and 
11. obtaining a safe and healthy working environment. 

With respect to health social security, the contributions are borne by the Central Government or Regional Government as contribution assistance recipients (PBI). If the DW is not included as a PBI recipient, the contributions shall be borne by the Employer pursuant to the Agreement or Employment Agreement, and such arrangement must be acknowledged by the RT/RW. On the other hand, for employment social security, the contributions are borne by the Employer pursuant to the Agreement or Employment Agreement, which at minimum includes work accident insurance (JKK) and death insurance (JKm).

The obligations of DWs are regulated under Article 17, requiring DWs to:

1. provide clear and accurate information regarding identity, work skills, and health conditions to the Employer and/or DWPC; 
2. comply with and implement all provisions under the Agreement or Employment Agreement; 
3. request permission from the Employer when unable to perform work; 
4. perform work in accordance with proper and safe working procedures; 
5. notify the Employer of resignation at least 1 (one) month prior to ceasing work; and 
6. maintain the good name and reputation of the Employer and the Employer’s family. 

Rights and Obligations of Employers

Article 18 regulates the rights of Employers, including:

1. obtaining clear and accurate information regarding the identity and health condition of the DW; 
2. obtaining information regarding the DW’s work skills; 
3. granting approval or rejection of leave requests submitted by DWs who are unable to work; 
4. obtaining work results from the DW in accordance with the Agreement or Employment Agreement; 
5. receiving notice of resignation from the DW at least 1 (one) month in advance; 
6. terminating the Employment Relationship if the DW fails to implement the Agreement or Employment Agreement; and 
7. obtaining a replacement DW guarantee from the DWPC in accordance with the Placement Cooperation Agreement. 

Article 19 stipulates the obligations that must be fulfilled by Employers, namely:

1. paying Wages and religious holiday allowances in the agreed amount and time; 
2. complying with and implementing all provisions under the Agreement or Employment Agreement; 
3. granting the DW’s rights in accordance with the Agreement or Employment Agreement; 
4. providing rest periods and Leave; 
5. providing a safe and healthy working environment; 
6. providing opportunities for DWs to practice worship in accordance with their religion and beliefs; 
7. providing clear and accurate information regarding the identity of the Employer, family members, and work procedures; and 
8. reporting the presence of DWs working at the residence to the RT/RW head. 

Licensing, Obligations, and Prohibitions of DWPCs

Article 26 requires every DWPC to possess a DWPC Business License issued by the Central Government. The DWPC Business License consists of a Business Identification Number (NIB) and a Standard Certificate issued through the electronically integrated business licensing system management institution (OSS). Pursuant to Article 27, such licensing remains valid as long as the DWPC conducts business activities and does not violate prevailing laws and regulations. The implementation of such licensing is carried out in accordance with risk-based business licensing provisions.

Article 28 stipulates prohibitions for DWPCs along with the applicable sanctions. DWPCs are prohibited from:

1. deducting Wages and/or collecting fees in any form and under any reason from prospective DWs and DWs; 
2. withholding original personal documents and/or restricting communication access of prospective DWs and DWs; 
3. placing DWs with business entities or other institutions that are not individual Employers; and/or 
4. forcing prospective DWs and DWs to remain continuously bound by Placement Agreements after the expiration of the agreement period. 

DWPCs violating such prohibitions or the obligations under Article 21 shall be subject to administrative sanctions in the form of reprimands, written warnings, business activity restrictions, suspension of business activities, temporary or total cessation of business activities, and/or revocation of licenses.

Pursuant to Article 21, DWPCs are obligated, among others, to:

1. provide information to prospective DWs regarding Employers; 
2. provide information to Employers regarding the identity, skills, and health conditions of prospective DWs; 
3. issue written statements affixed with stamp duty regarding DW qualifications and DWPC accountability; 
4. conduct pre-placement orientation for prospective DWs (including knowledge concerning Employment Relationships, occupational safety and health, work culture, and human rights); 
5. provide replacement DWs if the DW or Employer is unwilling to continue the Employment Relationship; 
6. become a party to the Employment Agreement between the Employer and the DW; and 
7. periodically report recruitment and placement data through the integrated employment information system. 

Settlement of Employment Disputes

Article 31 stipulates that any dispute arising between Employers and DWs, DWPCs and Employers, DWPCs and DWs, or among all three parties simultaneously, must first be resolved through deliberation for consensus. Such deliberation process must be conducted within a maximum period of 7 (seven) days calculated from the date of the request for deliberation submitted by one of the parties. If deliberation for consensus fails, Article 32 regulates Mediation as the next dispute resolution mechanism. Mediation between Employers and DWs shall be conducted by the RT/RW head or other equivalent authority in the place where the DW works. Meanwhile, mediation involving DWPCs shall be conducted by mediators at the governmental institution administering manpower affairs, and the mediator must handle and resolve the dispute no later than 7 (seven) days after receipt of the complaint. Article 32 paragraph (5) affirms that mediator decisions concerning Wage Disputes between Employers and DWs are final and binding and must be implemented in good faith.

 

Transitional Provisions

Article 35 regulates transitional provisions granting an adjustment period for affected parties. All DW placement institutions that do not possess business licenses and/or have not fulfilled the provisions of Law 2/2026 are required to comply with the provisions of this Law no later than 30 April 2027.

In addition, DWs under 18 (eighteen) years of age who are married and who worked or had worked as DWs before 30 April 2026 are exempted from the minimum age requirement and shall continue to have their rights recognized as DWs under Law 2/2026.

 

Closing

The enactment of Law 2/2026 marks a milestone in the official recognition and comprehensive protection of the domestic worker profession in Indonesia in order to prevent exploitation within the private sphere. This regulation mandates fulfillment of requirements for prospective DWs, including the minimum age limit of 18 years, as well as legal certainty through written Employment Agreements binding the rights and obligations of both parties in a balanced manner, including guarantees relating to wage certainty, religious holiday allowances, humane working hours, and health and employment social security. In addition, the Government has strengthened regulations governing DWPCs through mandatory business licensing requirements and prohibitions against document retention practices and wage deductions, supported by prompt employment dispute resolution mechanisms through deliberation and mediation.