3 min read
Paid Leave Entitlements for Indonesian Workers
Stay informed about the latest rules on paid leave entitlements for Indonesian workers. Find out how these regulations can benefit both employers and employees.
Updated Jul 22, 2024
Paid Leave Entitlements for Indonesian WorkersUnderstanding paid leave regulations in Indonesia is crucial for both employers and employees. Our article delves into the specifics of sick leave, important leave, and maternity leave, highlighting how employees can benefit from these provisions.
Stay informed about the latest rules and ensure compliance with government regulations. Read more to discover how these leave policies can impact your workplace and support your employees' well-being.
What Constitutes Paid Leave?
Leave is a mandatory facility that must be provided by companies to every employee. Regulations regarding leave can vary from one company to another. However, the basic rules about employee leave in Indonesia are governed by the Government through Law Number 13 of 2003.
Paid leave means that the company will continue to pay wages or salaries to employees even though they are on leave or not working. It’s only applicable to employees who apply for sick leave, important leave, maternity leave, leave for employees who have to fulfill state duties, or carry out company assignments. Meanwhile, leave that will not be paid includes annual leave for employees who do not have leave balances.
Implementation of Paid Leave
Generally, paid leave has its own regulations depending on the company. In principle, the salary provided to employees is the same as the monthly salary including allowances, except for allowances that are calculated based on attendance such as meal allowances, transportation allowances, and others.
Sick Leave
Employees receive full salary (100%) for the first 4 months of sick leave. If they are still ill, they will be paid 75% for the next 4 months, 50% for the following 4 months, and 25% thereafter until the employment contract ends.
This leave covers illnesses due to work-related accidents, serious conditions requiring extended hospital care, and sudden minor illnesses like fever. Female employees are also entitled to paid menstrual leave for up to 2 days if they are unable to work.
Important Leave
Important leave is granted for significant life events:
- Marriage: Up to 3 days of paid leave.
- Child’s Milestones: Up to 2 days for events like marriage, circumcision, or baptism of a child.
- Spousal Events: Up to 2 days if a wife gives birth or has a miscarriage.
- Family Bereavement: Up to 1 day of paid leave for the death of a family member.
Maternity Leave
Female employees can take maternity leave starting 1.5 months before the estimated delivery date and extending 1.5 months after giving birth, totaling 3 months. During this period, they receive full salary and allowances, including additional support for the newborn child in the third month.
By familiarizing yourself with these regulations, you can ensure compliance and support your employees effectively. Whether dealing with illness, personal milestones, or maternity, knowing the details of paid leave helps maintain a fair and supportive work environment. For a comprehensive understanding of how these leave policies apply, refer to the detailed sections of this article.
FAQ About Paid Leave in Indonesia
How much annual leave is provided in Indonesia?
Provisions regarding annual leave are outlined in Article 81 Number 25 of the Job Creation Regulation, the regulation states:
"Leave referred to in Paragraph (1) Letter b, which must be provided to employees/workers, namely annual leave, must be at least 12 (twelve) working days after the employee/worker concerned has worked for 12 (twelve) continuous months."
Can leave be taken before completing 1 tear of work?
Annual leave can only be taken by employees who have worked for at least 12 continuous months. Therefore, companies are authorized to deny leave requests from employees who have not yet completed 1 year of employment.
Are companies required to provide leave?
In essence, employers are required to provide annual leave to employees after the employees have worked for 12 continuous months.
Elevate your team with talented Indonesian professionals using Epicareer for Employers. Begin your search now!
Uncover new information:
Visit the Career Guide for essential HR tools and resources.
Lavtania
Digital Marketing Executive at Epicareer
Topic tags
Share this article
Related Articles
Share this article