A significant change introduced by Regulation 16/2015 is an expansion to the types of work that require a temporary Expatriate Manpower Utilization Plan (Rencana Penggunaan Tenaga Kerja Asing or RPTKA) and temporary Expatriate Work Permit (Izin Mempekerjakan Tenaga Kerja Asing or IMTA).
While local legal practitioners have differing opinions, we believe that the requirements to obtain the temporary RPTKA and IMTA for the types of work provided in Regulation 16/2015 will only apply to employment of expatriates by Indonesian companies. This is in line with Regulation 12/2013, which clarified that temporary RPTKA and IMTA were required for Indonesian companies to employ expatriates for a short period.
Under Regulation 16/2015, a temporary IMTA may be granted for the following activities:
- providing guidance, counselling, and training in implementation of and innovations in industrial technology to enhance the quality and design of industrial products, and in international marketing cooperation;
- producing commercial films (with a permit from the competent authority);
- giving lectures;
- participating in meetings with the head office or representative office in Indonesia;
- conducting audits, quality control on production, and inspections of Indonesian branches;
- taking work competency tests;
- performing one-off work; and
- performing work related to machinery and electrical installation, after-sales service, and product testing in the market.
In our view, the above activities of expatriates will be subject to the temporary RPTKA and IMTA requirement only if the activities are carried out by the expatriate in Indonesia while employed by an Indonesian company.
Temporary RPTKA and IMTA are generally valid for up to one month, except for work undertaken under points (2), (7) and (8) above, where the period may last up to six months (and is not extendable).