Indonesian Political, Business & Finance News

KP2MI Revokes One P3MI Licence, Sanctions Two Other Firms

| Source: ANTARA_ID Translated from Indonesian | Social Policy
KP2MI Revokes One P3MI Licence, Sanctions Two Other Firms
Image: ANTARA_ID

The Ministry for the Protection of Indonesian Migrant Workers (KP2MI) has imposed sanctions on three Indonesian Migrant Worker Placement Companies (P3MI), including the revocation of one firm’s business licence, as part of efforts to strengthen oversight and ensure the protection of Indonesian migrant workers is carried out according to regulations.

Director of Supervision, Enforcement, and Prevention at KP2MI, Commissioner Guritno Wibowo, emphasised that these measures are a form of the government’s commitment to ensuring the placement process for migrant workers is conducted safely, procedurally, and guarantees workers’ rights.

KP2MI will not tolerate any violations that harm prospective or current Indonesian migrant workers. The enforcement of these rules represents the state’s presence in ensuring the placement process is safe, procedural, and guarantees the rights of Indonesian migrant workers, Guritno stated in Bekasi, West Java, on Wednesday, citing a KP2MI press release.

One of the sanctioned companies is PT Pandu Abdi Pertiwi. The firm was hit with a three-month suspension of business activities after being proven to have recruited without a valid placement company licence (SIP2MI), failed to fulfil migrant workers’ rights, and did not resolve the problems of workers already placed.

KP2MI is also handling complaints from 14 prospective and failed-departure migrant workers demanding a refund of placement fees totalling 927 million rupiah. The decision was made based on sufficient evidence, including the fact that the violating party was registered in the company’s structure, the existence of detailed placement fee transfers to the company, and an official minutes of clarification between KP2MI and the company, Guritno explained.

According to the KP2MI, this negligence caused uncertainty over workers’ departures for nearly two years. In addition, the company failed to register prospective migrant workers as participants in the Social Security Administrator for Employment (BPJS Ketenagakerjaan). Protection for prospective and current Indonesian migrant workers is a non-negotiable obligation. Every placement company must ensure the entire recruitment and placement process complies with regulations and provides certainty and protection guarantees to Indonesian migrant workers, he asserted.

Meanwhile, the KP2MI took a firmer step against PT Putra Timur Mandiri by revoking its Migrant Worker Placement Company Permit (SIP3MI) based on Decree of the Minister of P2MI/Head of BP2MI Number 882 of 2026. The revocation was carried out after the company failed to fulfil its obligations following the imposition of administrative sanctions and did not respond to various communication attempts made by the KP2MI.

The company was also found to have placed migrant workers in a country that remains closed to the placement of Indonesian migrant workers without the required permits and failed to carry out the placement stages according to procedure.

During the sanction period, PT Pandu Abdi Pertiwi and PT Reang Noto Bersama are prohibited from processing new placements. Both are also required to fulfil a number of administrative obligations and settle their responsibilities towards the migrant workers. As for PT Putra Timur Mandiri, it is banned from carrying out all Indonesian migrant worker placement activities and may only reapply for a business permit after a five-year grace period.

Concluding his statement, Guritno reminded the public to be more careful in selecting migrant worker placement companies. We urge the public to be more discerning in choosing an Indonesian migrant worker placement company and to verify its legality and track record, he concluded.

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