On September 25, 2023, the President of the Republic of Indonesia, Joko Widodo, signed Presidential Regulation No.57 of 2023 regarding Mandatory Reporting of Job Vacancies, which repealed Presidential Decree No.4 of 1980 concerning Mandatory Reporting of Job Vacancies. This regulation was issued with the aim of improving the service of workforce placement within a unified labor market by ensuring the availability of accurate and suitable job vacancy information.

In essence, Presidential Regulation No.57 of 2023 not only serves as a replacement for Presidential Decree No.4 of 1980 concerning Mandatory Reporting of Job Vacancies, which is no longer in line with the current developments in the labor market, but it also aims to enhance workforce placement services by ensuring that job seekers can easily find job vacancies that match their qualifications and preferences.

This regulation sets out the obligation of employers to report job vacancies, both from within Indonesia and abroad, to the Minister through the Workforce Information System. In this reporting, the required information includes the employer's identity, the required job positions, the duration of the job vacancy, and job-specific details such as age, gender, education, skills, work experience, wages or salaries, work location, and other relevant information. Additionally, this regulation includes verification of job vacancy reporting by Workforce Facilitators or job placement officers through the Workforce Information System.

Job vacancy information reported is open and accessible to various parties, including job seekers, employers, the central government, and local governments. This is intended to ensure transparency and openness in the labor market. Job vacancy information can be used for various purposes, such as finding suitable employment, recruiting appropriate workers, workforce planning, labor market information reporting, job market analysis, job position analysis, training needs analysis, and implementing job loss insurance programs.

This regulation also stipulates the duties and responsibilities of the central government, provincial governments, and district/city governments. These tasks include managing job vacancy information, developing the Workforce Information System, verifying job vacancies, disseminating job vacancy information, providing guidance to Workforce Facilitators and/or job placement officers, and supervising and enforcing the law against employers who fail to report vacancies. This regulation grants authority to the Minister, governors, or regents/mayors to award employers who actively report job vacancies. These awards can be in the form of certificates or other forms. In cases where employers do not fulfil their obligation to report job vacancies, this regulation empowers the Minister, governors, or regents/mayors to impose administrative sanctions, in the form of written warnings.

With the issuance of this Presidential Regulation, it is hoped that a more open and organized labor market environment will be created in Indonesia. Parties involved in labor affairs, including employers, job seekers, and government agencies, are expected to work together to implement these rules for the welfare of workers and the economic development of the country.

If you, as a prospective client, have further inquiries about the topic discussed above, Schinder Law Firm is one of many corporate law firms in Indonesia that has handled numerous similar matters, with many experienced and professional corporate and civil lawyers in its arsenal, making it one of the top consulting firms in Indonesia. Feel free to contact us at info@schinderlawfirm.com for further consultation.

Author: Dewi Susanti