Navigating employee leave entitlements in Indonesia requires a clear understanding of the country's labor laws. These regulations are designed to protect employee welfare and ensure fair treatment across various employment scenarios. Employers operating in Indonesia, or those employing Indonesian residents, must adhere to these statutory requirements to maintain compliance and foster positive employee relations.
Understanding the nuances of different leave types, from mandatory annual vacation to specific provisions for sick leave and parental responsibilities, is fundamental for effective workforce management. Compliance with these regulations is not only a legal obligation but also contributes to a stable and productive work environment.
Annual Vacation Leave
Indonesian labor law mandates a minimum entitlement for annual leave. Employees are eligible for this leave after completing a specific period of service with the same employer.
- Minimum Entitlement: Employees are entitled to a minimum of 12 working days of paid annual leave after completing 12 consecutive months of service.
- Accumulation and Usage: This leave is typically taken collectively by employees, often during specific periods determined by the employer, though individual requests must also be considered. The timing and implementation of annual leave can be further regulated by company policy or collective agreements, provided they do not offer less than the statutory minimum.
- Forfeiture: If the leave is not taken within a certain period (often within 6 months after the entitlement arises, though this can vary based on company policy or agreement), it may be forfeited, unless otherwise agreed upon.
Public Holidays and Observances
Indonesia observes a number of national public holidays throughout the year. These days are typically paid days off for employees. The government officially announces the list of public holidays and any designated collective leave days (known as cuti bersama) annually.
While the official 2025 calendar is announced closer to the year, the following table lists common national public holidays typically observed in Indonesia:
| Holiday | Typical Month/Date Range |
|---|---|
| New Year's Day | January 1 |
| Chinese New Year | January/February |
| Isra Mi'raj (Ascension of Prophet Muhammad) | February/March |
| Nyepi (Balinese Day of Silence) | March |
| Good Friday | March/April |
| Easter Sunday | March/April |
| Eid al-Fitr (Lebaran) | April/May |
| International Labor Day | May 1 |
| Ascension of Jesus Christ | May |
| Vesak Day | May/June |
| Eid al-Adha (Feast of Sacrifice) | June |
| Islamic New Year | July |
| Independence Day | August 17 |
| Prophet Muhammad's Birthday | September |
| Christmas Day | December 25 |
- Collective Leave (Cuti Bersama): The government often designates additional collective leave days, usually around major holidays like Eid al-Fitr and Christmas, to create longer holiday periods. These days are typically deducted from the employee's annual leave balance.
- Working on Public Holidays: If an employee is required to work on a public holiday, they are generally entitled to higher rates of pay as stipulated by labor law.
Sick Leave Policies and Pay
Employees in Indonesia are entitled to paid sick leave when they are unable to work due to illness. The duration of paid sick leave and the percentage of salary paid decrease over time.
- Requirement: Employees must typically provide a doctor's certificate to validate their absence due to illness, especially for longer periods.
- Pay Entitlements: The law specifies the minimum percentage of wages that must be paid during sick leave:
- First 4 months: 100% of wages
- Next 4 months: 75% of wages
- Next 4 months: 50% of wages
- For subsequent periods: 25% of wages before employment termination can be considered according to legal procedures.
- Prolonged Illness: For illnesses requiring extended recovery, the employer cannot terminate employment solely based on the illness for a certain period, provided the employee follows the required procedures (e.g., providing medical certificates).
Parental Leave
Indonesian law provides specific leave entitlements for employees related to childbirth and adoption.
- Maternity Leave: Female employees are entitled to 1.5 months of paid leave before the expected date of childbirth and 1.5 months after childbirth. This totals 3 months of paid maternity leave. In cases of miscarriage, female employees are entitled to 1.5 months of paid leave.
- Paternity Leave: Male employees are entitled to 2 working days of paid leave to accompany their wife during childbirth or miscarriage.
- Adoption Leave: Employees who adopt a child are entitled to 2 months of paid leave.
These parental leave entitlements are designed to support employees during significant family events.
Other Types of Leave
Beyond the standard annual, sick, and parental leave, Indonesian labor law also provides for other specific types of leave, typically for significant personal or family events.
- Bereavement Leave: Employees are entitled to paid leave in the event of the death of a family member. The duration depends on the relationship:
- Death of a spouse, parent, parent-in-law, child, or child-in-law: 2 working days
- Death of a family member residing in the same household: 1 working day
- Circumcision Leave: Male employees are entitled to 2 working days of paid leave for their circumcision.
- Marriage Leave: Employees are entitled to 3 working days of paid leave for their own marriage.
- Study Leave/Sabbatical: Leave for study or sabbatical purposes is generally not a statutory entitlement under Indonesian labor law. Such leave is typically granted based on company policy, collective bargaining agreements, or individual employment contracts. If offered, the terms, duration, and whether it is paid or unpaid are determined by the employer's policy.
