In industrial relations practice in Indonesia, it is not uncommon for companies to convert employees working under a Fixed-Term Employment Agreement (Perjanjian Kerja Waktu Tertentu or “PKWT”) into employees under a Permanent Employment Agreement (Perjanjian Kerja Waktu Tidak Tertentu or “PKWTT”) before the expiration of their contract period. This step is generally taken due to the company’s business needs or as a form of appreciation for employees whose performance is considered satisfactory…

The Indonesian Government, through the Ministry of Public Works, is currently intensifying its supervision of construction service business entities in Indonesia, particularly concerning the ownership of and compliance with Business Entity Certificates (Sertifikat Badan Usaha or “SBU”), Work Competency Certificates (Sertifikat Kompetensi Kerja or “SKK”), Business Identification Numbers (Nomor Induk Berusaha or “NIB”), Standard Certificates, and other construction-related licenses…

Beyond questions of ownership and commercialization discussed previously, artificial intelligence deployment also raises significant legal concerns regarding the use of copyrighted materials in training datasets.

Artificial intelligence systems rely heavily on large datasets to develop predictive and generative capabilities. These datasets frequently contain text, images, software code, audio, video, and other forms of copyrighted material collected from online platforms, databases, or third-party repositories…

One day before International Workers’ Day (“May Day”), which is commemorated annually on May 1, the Indonesian Minister of Manpower issued Minister of Manpower Regulation No. 7 of 2026 concerning Outsourcing Work (“Permenaker 7/2026”). This regulation was enacted to implement Article 64 paragraph (2) in conjunction with Article 81 point 18 of the Job Creation Law, as well as to follow up on Constitutional Court Decision…

While termination of a construction contract may formally end the working relationship between the parties, it often represents the beginning of a more complex legal and financial process. This is particularly true where termination arises from non-payment or lack of cooperation by the project owner…

One day before International Workers’ Day (“May Day”), which is commemorated annually on May 1, the Indonesian Minister of Manpower issued Minister of Manpower Regulation No. 7 of 2026 concerning Outsourcing Work (“Permenaker 7/2026”). This regulation was enacted to implement Article 64 paragraph…

Indonesia continues to strengthen its Domestic Component Level (Tingkat Komponen Dalam Negeri or “TKDN”) policy as part of the government’s broader strategy to develop local industries, encourage sustainable foreign direct investment, and increase domestic manufacturing capacity. For foreign investors entering the Indonesian market…

Construction projects in Indonesia are becoming larger, more complex, and subject to tighter delivery schedules. At the same time, developers and contractors are facing growing operational challenges, including financing constraints, supply chain disruptions, regulatory compliance issues, and changing project requirements. In this environment, the termination of construction contracts has become an increasingly common outcome…

The ongoing digitalization of Indonesia’s financial services sector has accelerated the emergence of platforms that aggregate financial products and services from multiple providers. These platforms enable consumers to access, compare, and manage a range of financial products through a single digital interface, thereby enhancing market accessibility and consumer convenience…

Indonesia has introduced a significant reform to its Domestic Component Level (Tingkat Komponen Dalam Negeri or “TKDN”) regime through the issuance of Minister of Industry Regulation No. 35 of 2025 (“Permenperin 35/2025”). The regulation reflects the Government’s effort to create a more flexible and investment-friendly approach toward local content requirements in Indonesia…