24 Mar 2020
Jakarta Manpower Office and Ministry of Manpower Issue Guidelines for Employers in Responding to Covid-19 Pandemic

Both the Jakarta Manpower Office and the Ministry of Manpower have recently issued circulars setting out guidelines for employers on how they should respond to the impacts of Covid-19 in the workplace. In this ABNR Legal Update, we briefly summarize the key points of each circular.

  1. Jakarta Provincial Manpower Office Circular No. 14/SE/2020 on Working from Home.

    2. This circular urges employers to implement working from home (WFH) procedures to help curb the spread of Covid-19. WFH may be applied using 3 different approaches, with the precise approach to be discussed with employees and/or labor union (if any) before being introduced.

    The said 3 approaches are as follows:

    1. temporary shutdown of business operations; or

    2. temporary reduction in business operations (reduction in number of employees working, reduction in working hours, reduction in number of operational facilities); or

    3. in the case of employers that are unable to curtail business operations, they should bear in mind the importance of their employees’ needs in relation to health services, essential household requirements, and fuel.

    The Circular also instructs employers to report the approaches they apply to the Manpower Office.

  2. Ministry of Manpower Circular No. M/3/HK.04/III/2020 on Protection of the Interests of Employees and Ensuring Business Continuity

    3. Separately, the Ministry of Manpower (“MOM”) has issued a circular instructing provincial governors to take action to protect the interests of employees and ensure business continuity during the course of the Covid-19 outbreak. In the circular, governors are specifically instructed to take measures to ensure:

    1. prevention of the spread of Covid-19 in the workplace and the treatment of casesthat arise; and

    2. protection of wages during the pandemic.

    In greater detail, the approachesto be applied include the following:

    1. Instructing employers to adopt measures to prevent the spread of Covid-19 among employees by, for example, encouraging healthy and hygienic practices and integrating these into workplace occupational health and safety programs, strengthening the role of workplace occupational health and safety committees, and optimizing the functions of workplace health services;

    2. Encouraging employers to immediately prepare Covid-19 contingencyplans;

    3. If people in the workplace are at risk of contracting Covid-19, or are suspected of having Covid-19, or are experiencing symptoms of Covid-19, the response procedures prescribed by the Ministry of Health should be adhered to;

    4. Full wages shall be paid to employees categorized as persons-under-monitoring (Orang Dalam Pemantauan / ODP) for Covid-19 who, pursuant to a medical certificate issued by a doctor, are unable to report for work for up to 14 days or in accordance with the guidelines issued by the Ministry of Health;

    5. Full wages shall be paid to employees categorized as suspected Covid-19 cases who, pursuant to a medical certificate issued by a doctor, have been placed in quarantine/isolation, and shall continue to be paid for so long as they remain in quarantine/isolation;

    6. In the case of employees with Covid-19 who are unable to work, as evidenced by a medical certificate issued by a doctor, their wages should continue to be paid in accordance with the provisions of the applicable laws and regulations;

    7. For employers that have to restrict business operations due to government policies for the prevention and control of Covid-19 in their respective regions, where such policies result in some or all of their employees not reporting for work, adjustments to wages and the manner of payment of wages may be implemented to ensure business continuity based on agreement between employer and employees.

Against the background of a rapidly evolving situation, please do not hesitate to contact any of the persons named below should you require further assistance or information as to how you can best protect your interests during this time of uncertainty.

Mr. Emir Nurmansyah (enurmansyah@abnrlaw.com)

Mr. Nafis Adwani (nadwani@abnrlaw.com)

Mr. Agus Deradjat (aderadjat@abnrlaw.com)

This ABNR News and its contents are intended solely to provide a general overview, for informational purposes, of selected recent developments in Indonesian law. They do not constitute legal advice and should not be relied upon as such. Accordingly, ABNR accepts no liability of any kind in respect of any statement, opinion, view, error, or omission that may be contained in this legal update. In all circumstances, you are strongly advised to consult a licensed Indonesian legal practitioner before taking any action that could adversely affect your rights and obligations under Indonesian law.

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24 Mar 2020
Jakarta Manpower Office and Ministry of Manpower Issue Guidelines for Employers in Responding to Covid-19 Pandemic

Both the Jakarta Manpower Office and the Ministry of Manpower have recently issued circulars setting out guidelines for employers on how they should respond to the impacts of Covid-19 in the workplace. In this ABNR Legal Update, we briefly summarize the key points of each circular.

  1. Jakarta Provincial Manpower Office Circular No. 14/SE/2020 on Working from Home.

    2. This circular urges employers to implement working from home (WFH) procedures to help curb the spread of Covid-19. WFH may be applied using 3 different approaches, with the precise approach to be discussed with employees and/or labor union (if any) before being introduced.

    The said 3 approaches are as follows:

    1. temporary shutdown of business operations; or

    2. temporary reduction in business operations (reduction in number of employees working, reduction in working hours, reduction in number of operational facilities); or

    3. in the case of employers that are unable to curtail business operations, they should bear in mind the importance of their employees’ needs in relation to health services, essential household requirements, and fuel.

    The Circular also instructs employers to report the approaches they apply to the Manpower Office.

  2. Ministry of Manpower Circular No. M/3/HK.04/III/2020 on Protection of the Interests of Employees and Ensuring Business Continuity

    3. Separately, the Ministry of Manpower (“MOM”) has issued a circular instructing provincial governors to take action to protect the interests of employees and ensure business continuity during the course of the Covid-19 outbreak. In the circular, governors are specifically instructed to take measures to ensure:

    1. prevention of the spread of Covid-19 in the workplace and the treatment of casesthat arise; and

    2. protection of wages during the pandemic.

    In greater detail, the approachesto be applied include the following:

    1. Instructing employers to adopt measures to prevent the spread of Covid-19 among employees by, for example, encouraging healthy and hygienic practices and integrating these into workplace occupational health and safety programs, strengthening the role of workplace occupational health and safety committees, and optimizing the functions of workplace health services;

    2. Encouraging employers to immediately prepare Covid-19 contingencyplans;

    3. If people in the workplace are at risk of contracting Covid-19, or are suspected of having Covid-19, or are experiencing symptoms of Covid-19, the response procedures prescribed by the Ministry of Health should be adhered to;

    4. Full wages shall be paid to employees categorized as persons-under-monitoring (Orang Dalam Pemantauan / ODP) for Covid-19 who, pursuant to a medical certificate issued by a doctor, are unable to report for work for up to 14 days or in accordance with the guidelines issued by the Ministry of Health;

    5. Full wages shall be paid to employees categorized as suspected Covid-19 cases who, pursuant to a medical certificate issued by a doctor, have been placed in quarantine/isolation, and shall continue to be paid for so long as they remain in quarantine/isolation;

    6. In the case of employees with Covid-19 who are unable to work, as evidenced by a medical certificate issued by a doctor, their wages should continue to be paid in accordance with the provisions of the applicable laws and regulations;

    7. For employers that have to restrict business operations due to government policies for the prevention and control of Covid-19 in their respective regions, where such policies result in some or all of their employees not reporting for work, adjustments to wages and the manner of payment of wages may be implemented to ensure business continuity based on agreement between employer and employees.

Against the background of a rapidly evolving situation, please do not hesitate to contact any of the persons named below should you require further assistance or information as to how you can best protect your interests during this time of uncertainty.

Mr. Emir Nurmansyah (enurmansyah@abnrlaw.com)

Mr. Nafis Adwani (nadwani@abnrlaw.com)

Mr. Agus Deradjat (aderadjat@abnrlaw.com)

This ABNR News and its contents are intended solely to provide a general overview, for informational purposes, of selected recent developments in Indonesian law. They do not constitute legal advice and should not be relied upon as such. Accordingly, ABNR accepts no liability of any kind in respect of any statement, opinion, view, error, or omission that may be contained in this legal update. In all circumstances, you are strongly advised to consult a licensed Indonesian legal practitioner before taking any action that could adversely affect your rights and obligations under Indonesian law.