The revision of the Labour Law is an initiative of the House of Representatives. Minister of Labour Yassierli said that the ministry supports drafting the revised law and will assist in several technical matters. The follow-up plan for the revision of the Labour Law includes the revision of government regulations and the drafting of ministerial labour regulations. The Director General of Industrial Relations and Social Security at the Ministry of Labour, Indah Anggoro Putri, said a global draft structure had already been set up to support the process of revising the Labour Law. The Ministry of Labour is proposing points of regulation that affirm the norm to avoid multiple interpretations, including on foreign workers, specific time work agreements (PKWT), outsourcing, leave, wages, termination of employment and severance pay.
Deputy Chairman of Commission IX, Yahya Zaini, in a joint meeting with the Legislative Body (Baleg) of the House of Representatives on 11 November 2024, emphasised the urgency of revising the Labour Law given the Constitutional Court's decision No. 168/PUU-XXII/2024, one of which mandates that the labour cluster in the Job Creation Law be separated in a separate law. Yahya suggested that priority be given to revising the labour law with six clusters of revision, namely foreign workers, specific time work agreements, outsourced workers, wages, termination of employment (PHK), and severance pay, compensation and long service awards. If the opportunity is given, Commission IX will propose other priority national legislative programmes, namely the revision of the National Social Security System Law. In addition, for the medium-term National Legislation Programme 2024-2029, it is proposed to revise the Work Safety Law, the Social Security Board Law, the Industrial Disputes Settlement Law, the Domestic Workers Protection Law and the Migrant Workers Protection Law.
