Indonesia

Freedom of Association Indicator

The Labour Rights Index 2024 (LRI 2024) is a de-jure index covering 145 economies and structured around the working lifespan of a worker. In total, 46 questions or evaluation criteria are scored across 10 indicators. The overall score is calculated by taking the average of each indicator, with 100 being the highest possible score. The Index uses a rating system, ranging from “Total Lack of Decent Work” to “Decent Work”. The Labour Rights Index aims at an active contribution to the Sustainable Development Goals, by providing necessary (complementary) insights into de jure provisions on issues covered in particular by SDG8 (Decent Jobs), SDG 5 (Gender Equality), SDG 10 (Reduced Inequalities) and SDG 16 (Strong Institutions). The Index is based on national labour legislation, applicable on 1 January 2024.

Indonesia’s overall score is 62.5 out of 100. The overall score for Indonesia is lower than the regional average observed across South East Asia (65). Within the South East Asian region, the highest score is observed for Viet Nam (77.5).

Indonesia ratified Convention No. 87 on Freedom of Association and Protection of the Right to Organise (1948) in 1998 and Convention No. 98 on the Right to Organise and Collective Bargaining (1949) in 1957.

Question

Answer

Score

Legal Basis

More Info

Does the law allow workers to form and join unions of their own choice?

No

0

§28E (3), Indonesian Constitution 1945; §01 & 104, Manpower Act, 2003; §14 & 29 of the Trade Union Act, 2000; CEACR C87 Obs 2023

Does the law allow workers to bargain collectively with employers through their representative unions?

No

0

§119 of the Manpower Act, 2003

Does the law provide for the right to strike?

No

0

§1(23), 137-145 of the Manpower Act, 2003; Minsiterial Decree No. 232 of 2003; CEACR C98 Obs 2023; USDOS CRHRP 2023 (Indonesia)

Does the law prohibit imposing of excessive sanctions against striking workers?

No

0

§ 137,138, 144 & 186 of the Manpower Act 2003; ITUC Global Rights Index 2024 (Indonesia Profile)

Textual sources

A : National Law

National Labour Legislation

B : CEACR

CEACR: ILO Committee of Experts on Application of Conventions and Recommendations (latest report)

C : ITUC

ITUC: ITUC Global Rights Index

D : USDOS

USDOS: US Department of States' Country Reports on Human Rights Practices

LRI Country Score
The Labour Rights Index has 10 indicators and 46 sub-indicators. The LRI Country score averages 10 indicators and ranges between 0 and 100. The lowest and highest scorers are Nigeria (29/100) and Belgium/Greece (96/100). https://labourrightsindex.org/  

Freedom of Association Indicator
The Freedom of Association indicator is composed of 4 sub-indicators. Scoring is done through the binary method (0 or 1). The score ranges between 0-100. 

Trade union density rate (%)
The trade union density rate conveys the number of union members who are employees as a percentage of the total number of employees in the country. For updated statistics on trade union density, please check ILOSTAT

Collective bargaining coverage rate (%)
The collective bargaining coverage rate conveys the number of employees whose pay and/or conditions of employment are determined by one or more collective agreement(s) as a percentage of the total number of employees in the country. For updated statistics on collective bargaining coverage, please check ILOSTAT

SDG indicator 8.8.2
SDG indicator 8.8.2 measures national compliance with fundamental labour rights (freedom of association and collective bargaining or FACB). It ranges from 0 to 10, with 0 being the best possible score (indicating higher levels of compliance with FACB rights) and 10 the worst (indicating lower levels of compliance with FACB rights). It is based on six ILO supervisory body textual sources and national legislation.
For an updated assessment on SDG indicator 8.8.2, please check ILOSTAT. 

ITUC Global Rights Index 2024 Ratings
The ITUC Global Rights Index depicts the world’s worst countries for workers by rating 148 countries on a scale from 1 to 5+ on the degree of respect for workers’ rights. Violations are recorded each year from April to March.  For a detailed description of ratings and methodology, please follow the link

Information

Source: §28E (3), Indonesian Constitution 1945; §01 & 104, Manpower Act, 2003; §14 & 29 of the Trade Union Act, 2000; CEACR C87 Obs 2023

A : National Law

National Labour Legislation

"Article 14 (1) A worker/ laborer is not allowed to have membership in more than one trade union/ labor union at one enterprise. (2) In case a worker/ laborer at an enterprise turns out to have been registered as a member in more than one trade union/ labor union, he or she must make a written declaration stating the trade union/ labor union in which he chooses to retain his membership."

B : CEACR

CEACR: ILO Committee of Experts on Application of Conventions and Recommendations

"Article 2 of the Convention. Right to organize of civil servants. The Committee had previously expressed trust that the Government would adopt the implementing regulations to give effect to the right of civil servants to form and join organizations of their own choosing. The Committee notes the Government’s indication that the Trade Union Act applies to private sector workers while civil servants are covered by Law No. 5 of 2014 concerning Civil Servants. Moreover, the Constitution (Article 28 E) grants civil servants, in their capacity as citizens, the right to join any professional organization of their choosing. The Committee further notes that the Government refers to an obligation imposed on civil servants, depending on their status, to join respective professional organization of Functional Positions (JF) or KORPRI, a professional forum of which civil servants became members automatically upon their admission to service. The Committee observes that these organizations do not appear to be organizations in the sense provided for by the Convention or equivalent to organizations of workers of the private sector. The Committee once again requests the Government to take necessary measures to ensure the right of civil servants to form and join organizations of their own choosing, as is their right under the Convention, and to provide information on all steps taken to that end."

Information

Source: §119 of the Manpower Act, 2003

A : National Law

National Labour Legislation

"Article 119 (1) In the case of a company having only one workers/labor union, the workers/labor union shall entitle to represent workers/labor in negotiation about the making of collecting working agreement with the entrepreneur if the number of its members is more than 50% (fifty percent) or the total workers/labor in the said company. (2) In the case of a company having only one workers/labor union as meant in paragraph (1) but the number of its workers not exceeding 50% of the total workers/labor in the said company, the workers/labor union can represent workers/labor in negotiation with entrepreneur if the said workers/labor union gains support from more than 50% (fifty percent) of the total workers/labor in the company through voting. (3) In the case of the support as meant in paragraph (2) being not achieved, the said workers/labor union can re-apply for negotiating collective working agreement with entrepreneur after elapsing the 6 (six) months period as from the date of execution of the voting by following the procedure as meant in paragraph (2)."

Information

Source: §1(23), 137-145 of the Manpower Act, 2003; Minsiterial Decree No. 232 of 2003; CEACR C98 Obs 2023; USDOS CRHRP 2023 (Indonesia)

B : CEACR

CEACR: ILO Committee of Experts on Application of Conventions and Recommendations

"Article 4. Promotion of collective bargaining. The Committee had previously urged the Government to review sections 5, 14 and 24 of Law No. 2 of 2004 concerning the Industrial Relations Dispute Settlement Act (IRDS Act), to ensure that compulsory arbitration during collective bargaining can only be invoked under exceptional circumstances. The Committee notes that according to the Government, the IRDS Act promotes the resolution of disputes through the negotiation of the involved parties. Ministerial regulation No. 31/2008 requires the holding of bipartite negotiations before resorting to mediation and conciliation; should these procedures fail, the Industrial Relations Court may settle the dispute as a last resort. The Government further indicates that the arbitration procedure must be based on written agreements between the parties involved (section 32 of the IRDS Act), before repeating its previous assertion that there is therefore no strong reason to amend the above-noted sections. The Committee notes this information and observes, additionally, that the settlement of disputes through arbitration is established by sections 29-54 of the IRDS Act. The Committee recalls, however, that sections 5, 14 and 24 of the IRDS Act allow one of the parties to an industrial dispute to file a legal petition to the Industrial Relations Court for final settlement of the dispute, if conciliation or mediation fails. The Committee highlights in this respect that the possibility for a single party to collective bargaining to submit the resolution of the dispute to the decision of a court has the same restrictive effect on the principle of free and voluntary collective bargaining as compulsory arbitration mechanisms. In this sense, unilateral recourse to a court to settle a collective bargaining process is only acceptable: (i) in essential services in the strict sense of the term; (ii) in the case of disputes in the public service involving public servants engaged in the administration of the State; (iii) when, after protracted and fruitless negotiations, it becomes obvious that the deadlock will not be broken without some initiative by the authorities; and (iv) in the event of an acute crisis. Accordingly, the Committee once again urges the Government to take measures to amend sections 5, 14 and 24 of the IRDS Act to ensure that the unilateral recourse to compulsory arbitration or to a tribunal to settle a collective bargaining process may only occur in the limited set of situations mentioned above. The Committee requests the Government to provide information on any progress in this respect."

D : USDOS

USDOS: US Department of States' Country Reports on Human Rights Practices

" Although the constitution granted all citizens the right to join any professional organization of their choice, the law placed restrictions on civil servants’ right to organize. All were required to join a state-regulated employee association (KOPRI) with no right to strike. Efforts to organize other employee associations, for example, a teachers’ union, were rejected on the grounds that the teachers were civil servants, not “workers.” Employees of state-owned enterprises could form unions, but because the government treated most such enterprises as essential national interest entities, their right to strike was limited. ..... The right to strike was legally restricted. By law workers had to give written notification to authorities and the employer seven days in advance for a strike to be legal. Before striking, workers were required to engage in mediation with the employer or risk having the strike declared illegal. In the case of an illegal strike, an employer could make two written requests within a period of seven days for workers to return. Workers who did not return to work after these requests were considered to have resigned. Unions noted that fulfilling the many legal requirements to strike made striking legally very difficult. All strikes at “enterprises that cater to the interests of the general public or at enterprises whose activities would endanger the safety of human life if discontinued” were deemed illegal. Regulations did not specify the types of enterprises affected, leaving this determination to the government’s discretion. Presidential and ministerial decrees enabled companies or industrial areas to request assistance from police and the military in the event of disruption of or threat to “national vital objects” in their jurisdiction. The International Labor Organization reported the definition of “national vital objects” imposed overly broad restrictions on legitimate trade union activity, including in export processing zones. Human rights activists and unions alleged the government labelled companies and economic areas as “national vital objects” to justify the use of security forces to restrict strike activity."

Information

Source: § 137,138, 144 & 186 of the Manpower Act 2003; ITUC Global Rights Index 2024 (Indonesia Profile)

A : National Law

National Labour Legislation

"Article 137 Labor strikes as the basic right of workers/labor and workers/labor unions shall be held legally, in orderly manner and peacefully as a result of the failure of negotiation. Article 138 (1) Workers/labor and workers/labor unions planning to invite workers/labor to stage labor strikes when the labor strike is underway shall be done by means not violating the law. (2) Workers/labor invited to stage the labor strike as meant in paragraph (1) can meet or deny the invitation. Article 186 (1) Whoever violating the provision as meant in Article 35 paragraphs (2) and (3), Article 93 paragraph (2), Article 137 and Article 138 paragraphs (1) shall be subjected to a criminal sanction in the form of imprisonment for one month at the minimum and 4 (four) years at the maximum and/or a fine of Rp. 10,000,000.00 (ten million rupiahs) at the minimum and Rp. 400,000.000,00 (four hundred million rupiahs) at the maximum. (2) The crime as meant in paragraph (1) shall be a criminal action. "

C : ITUC

ITUC Global Rights Index (country legal profile)

"Article 81 of the General Law adopted in 2020 gives the police significant discretion to classify legitimate trade union activities, including the right to organise strikes, as criminal acts. If a strike is deemed illegal, workers and organisers can be sentenced to a prison term of between one month and four years and a fine of at least ten million rupees and a maximum of four hundred million rupees."