Gibson Watts Global: PEO & EOR Services


Hire in Indonesia without a local entity today

As a Global PEO & EOR service provider, we pride ourselves on our global reach, in-country knowledge, and ability to swiftly and efficiently mobilize workers around the world. Our robust PEO/EOR covers everything from global HR, payroll, compliance, in-country support, immigration, visas, and more.

Get started and hire in Indonesia today with Gibson Watts Global.

  • Indonesia is one of the most diverse countries in the world, with over 600 ethnic groups across the country
  • Indonesia is the largest country in Southeast Asia, spanning abut 3,200 miles across
  • Indonesia is the largest archipelago in the world, and the country is made up of over 18,000 islands

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Working in INDONESIA

Employment Information

Indonesia’s working hours generally equate to 40 hours per week, on a normal pattern of Monday to Friday. Employees are entitled to 12 working days of annual leave per year, and 7 days of sick leave.

Maternity leave in Indonesia is usually 1.5 months before the time of birth, and 1.5 months following the birth. Indonesia also provides 3 days for marriage leave, 2 days for an employee’s child’s marriage, 2 days for bereavement and a range of other paid leaves for employees.


Taxes in Indonesia are competitive, and progressive from 5% to 35%. They work in the following manner:

  • IDR 1 – 60 Million = Income tax rate of 5%
  • IDR 61 Million – 250 Million = Income tax rate of 15%
  • IDR 251 Million – 500 Million = Income tax rate of 25%
  • IDR 501 Million – 5 Billion = Income tax rate of 30%
  • Above IDR 5 Billion = Income tax rate of 35%

Workers who have a residential status in Indonesia can access a Taxpayer Registration Number. Non-residents in the country, who lack this Tax ID, will have a 20% higher tax rate than those who have it.


The Visas available for expats in Indonesia are the following:

  • Single Entry Visa, Business Visa, or Social Visa
    • These are primarily used for social purposes, mainly family visits. These types of Visa are valid for 2 months and can be extendable
  • Work and Stay Permit (Work ITAS)
    • This allows an expat to work and stay in Indonesia
  • Investor Visa (Investor ITAS)
    • This Visa can be applied for by foreign investors, however it has a minimum IDR requirement
  • Spouse Visa (Spouse KITAS)
    • This Visa is sponsored by a spouse via marriage into Indonesia
  • Retirements Visa (Retirement ITAS)
    • This Visa allows foreigners over the age of 55 to stay in Indonesia, however they are not allowed to do business or work in the country

Cultural Information

Indonesia’s national language is Bahasa, but each province also has its own local language (Javanese, Padang, Sunda, Bugis, Bajar, Ambon, Batak, and more).

In terms of religion, Indonesia has the largest Muslim majority in the world. Indonesia also has a range of other religions, which live in peace with one another. Some of Indonesia’s main religious groups include Islam, Protestantism, Catholicism, Buddhism, Hinduism and Confucianism.

Indonesia has an official motto of ‘Bhineka Tunggal Ika’ which champions respect diversity and inclusiveness among genders, races, tribes and religions.

Indonesia has a young workforce, Gen X make up 42% of the work force, Millenials make up 30%, and Gen Z make up 28% of the country’s total job applicants.

Impacts from COVID-19

Indonesia was initially hit hard by the COVID-19 pandemic, and it continues to have substantial restrictions in each province, in cities and surrounding areas. As of September 2021, Indonesia’s COVID impacts have dramatically reduced, and some of the restrictions started the process of lifting.

Because of the pandemic, Indonesia has adapted significantly in digital transformation and the Internet of Things. Many staff now work remotely from home, education has moved online, and online shopping / cashless transactions have grown on a large scale.

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