Hiring foreign workers can bring valuable skills and global perspectives to your business in Indonesia. However, the process of sponsoring a foreign worker requires an understanding of immigration regulations, legal obligations, and visa options. This article outlines the essential steps for employers to sponsor foreign nationals legally and efficiently, helping businesses stay compliant while expanding their talent pool.
Why Companies Hire Foreign Workers in Indonesia
Indonesia’s fast-growing economy and strategic location in Southeast Asia attract global business interests. To stay competitive, many companies look for professionals with specific expertise, especially in sectors like:
- Technology and IT
- Engineering and infrastructure
- Education and training
- Energy and resources
- Financial services
However, the government applies strict regulations to ensure foreign workers complement—not displace—local talent. That’s why it’s essential to follow proper legal procedures when hiring and sponsoring foreign employees. For businesses needing assistance, professional immigration services in Indonesia are available to simplify the process.
Legal Requirements to Sponsor Foreign Workers
Employer Eligibility
To sponsor a foreign worker, the company must:
- Be legally registered and operating in Indonesia
- Have a valid business license (NIB and other sectoral licenses)
- Fulfill the ratio of local to foreign employees (as regulated)
- Be approved to hire foreign workers under the Rencana Penggunaan Tenaga Kerja Asing (RPTKA)
If your business hasn’t been formally registered yet, CPT Corporate also provides support for company registration in Indonesia to get you started.
Foreign Worker Eligibility
Foreign nationals must:
- Possess education or work experience that matches the job role
- Hold required qualifications recognized by the Indonesian Ministry of Manpower
- Be at least 25 years old (with some exceptions depending on the sector)
Key Steps to Sponsor a Foreign Worker in Indonesia
Step 1 – Apply for RPTKA
The RPTKA is an employer-submitted plan detailing the roles, qualifications, and number of foreign workers to be hired. Submit through the Ministry of Manpower’s online system.
Step 2 – Obtain Notification Letter
This serves as the work permit. Employers must also pay the DKPTKA fee of around USD 100/month per foreign worker.
Step 3 – Process VITAS and KITAS
Once the notification is issued, apply for the Limited Stay Visa (VITAS) and follow with the KITAS upon the worker’s arrival. This allows the foreigner to legally work and reside in Indonesia.
Need help with this step? CPT Corporate offers KITAS sponsorship services for foreign professionals and investors.
Types of Work Visas in Indonesia
1. VITAS for Work
Issued for skilled employment and followed by KITAS, valid 6–12 months.
2. Investor KITAS
For foreign investors who also hold executive roles in Indonesian companies. Learn more about the process in our dedicated guide: Investor KITAS in Indonesia.
3. Short-Term KITAS
Used for consultancy, audits, or training assignments under 6 months.
Common Mistakes to Avoid
- Not applying for an RPTKA
- Hiring for restricted job roles
- Late renewals
- Ignoring DKPTKA payment
- Not meeting the ratio of local vs. foreign employee.
Post-Arrival Obligations
After the KITAS is granted, the company must:
- Register for SKTT (Temporary Resident Certificate)
- Report to Immigration and Police
- Provide tax registration (NPWP) and insurance
- Submit labor usage reports
Businesses new to the legal framework in Indonesia may benefit from corporate secretarial services to ensure compliance with these administrative duties.
Renewals, Transfers, and Exit Process
- Renewals should begin at least 30 days before KITAS expiry
- Transfers require a new RPTKA and approval process
- Exits require filing for an Exit Permit Only (EPO)
Is Sponsorship Right for You?
If you’re hiring international talent in Indonesia and navigating immigration complexity, outsourcing this process to professionals can save time, money, and legal risks.
Conclusion
Sponsoring foreign workers in Indonesia is a strategic move, especially for businesses requiring specialized international expertise. While it comes with legal responsibilities, the process is manageable with the right understanding and expert assistance. Whether you’re just starting your company or scaling operations, ensuring compliance with immigration laws is vital to long-term success.
Navigating the process of sponsoring foreign workers can be overwhelming—but you’re not alone. CPT Corporate offers comprehensive immigration solutions, including RPTKA processing, VITAS & KITAS management, and post-arrival reporting. Let our experts handle the complexities so you can focus on growing your business.
