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Find out how Remote can guide you through the complexities of managing cross-border hiring, payroll, taxes, and compliance.

 

Employing in Indonesia

Indonesia’s Labour Law of 2003 is the principal labour regulation that defines provisions for employee protections and workers’ rights at the federal level which are applicable to Indonesia’s workforce of 4.2 million.

Employees in Indonesia enjoy protections against discrimination based on age, religion, gender expression, and race.

Common questions that could come up during the hiring process include the minimum wage, overtime rates, and guaranteed paid time off. Remote can help you offer a complete, competitive, and compliant benefits package to your employees in Indonesia.

Minimum Wage

For 2025, the minimum wage in Indonesia is IDR 5,396,760.

Payroll Cycle

For customers of Remote, all employee payments will be made in equal monthly instalments on or before the last working day of each calendar month, payable in arrears.

Onboarding Time

We can help you get a new employee started in Indonesia fast. The minimum onboarding time we need is only 14 working days.

Our team ensures your employees are onboarded and paid as quickly as possible while keeping your business compliant with all local employment legislation. The minimum onboarding time begins after the employee submits all required information onto the Remote platform. The onboarding timeline is also dependent upon registration with local authorities.

For all non-nationals of the country of employment, the Right to Work assessment (if applicable) will add three extra days to the total time to onboard. There may be extra time required if we need to follow-up on the right to work assessment.

Please note, payroll cut-off dates can impact the actual first day of employment. Remote has a payroll cut-off date of the 10th of the month unless otherwise specified.

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17 Public holidays

Competitive benefits package in Indonesia

health_insurance
Health Insurance
dental_insurance
Dental Insurance
vision_insurance
Vision Insurance
mental_health_support
Mental health support
pension_or_401(k)
Pension or 401(K)
life_and_disability_insurance
Life and Disability Insurance

Facts & Stats

Officially the Republic of Indonesia, Indonesia is a conglomerate of 17,000 islands, and is simultaneously the world’s 4th most populous nation and Southeast Asia’s most powerful economy, with a GDP valued at over $3.5 trillion.

Home to over 1,300 ethnic groups and 700 languages, Indonesia hosts one of the world’s most ethnically diverse population, its second-most biologically diverse, and a history of record economic growth over the past two decades.

Capital City
Jakarta
Currency
Indonesian rupiah
Languages
Indonesian
Population size
267,670,543
Ease of doing business
Easy
Payroll frequency
Monthly
VAT - standard rate
10%

Grow your team in Indonesia with Remote

Want to employ workers in Indonesia? Companies hiring in Indonesia are typically required to either own a local legal entity or work with a global employment platform like Remote that can legally provide employment services in the country.

Remote can employ team members in Indonesia and keep you compliant. Remote can hire, onboard, and pay your Indonesia team so you don't have to set up local HR services in the region. Remote also makes it easy to pay contractors in Indonesia. Sign up now to get started or talk to an expert for more details.

Risks of misclassification

Indonesia, like many other countries, treats self-employed individuals or contractors and full-time employees differently. Misclassification of contractors in Indonesia may lead to fines and penalties for the offending company.

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Transparent Pricing in Indonesia

Payroll

43

per employee/month
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  • Powerful, transparent international payroll
  • Simple self-service platform
  • Personalised support from dedicated specialists
  • Adhere to local payroll regulations in every country
  • Integrated payroll, expense management, and HRIS solution
Contractor Management

44

per contractor/month
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  • Only pay for contractors you actively work with
  • Work with international contractors
  • Create, edit, and sign tailored, localised contracts
  • Approve contractor invoices with one click or auto-pay
  • Transparent payments with complete visibility
Employer of Record

1069 915

per contractor/month
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  • Hire without opening a local entity
  • Guided onboarding
  • Local payroll paid on time, every time
  • Built-in security and compliance
  • Flexible, localised benefits
  • Offer equity incentives with tax assistance
  • Dedicated experts for local support
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