The Much Anticipated Regulation on Outsourcing Limitation

Mahinda Arkyasa

Minister of Manpower and Transmigration (“Menakertrans”) has issued the much anticipated Regulation on Requirements for Outsourcing, under the Official Gazette is was registered as Regulation No. 19 of 2012 (“Regulation”).

The Regulation was issued to create a harmonized and fair industrial relationship and to replace Minister of Manpower and Transmigration Decree No. KEP.101/MEN/VI/2004 on Licensing Procedures for Outsourcing Companies (“ 101/2004 Decree”) and Minister of Manpower and Transmigration Decree No. KEP.220/MEN/X/2004 on Requirements to Partly Outsource Works (“ 220/2004 Decree”).