Minister: Foreign worker compensation fund is largest contributor to non-tax state revenue

Minister of Manpower (Menaker) Yassierli has stated that the compensation fund from companies employing foreign workers (TKA) is the largest contributor to Non-Tax State Revenue (PNBP) for the Ministry of Manpower. “In 2025, the PNBP from the TKA compensation fund was IDR 2.1 trillion,” said Minister Yassierli in Jakarta on Monday during a working meeting with Commission IX of the Indonesian House of Representatives (DPR RI). Yassierli said the total PNBP for the Ministry of Manpower in 2025 reached IDR 2.24 trillion, or 144.8 percent of the IDR 1.54 trillion target. He explained that the ministry’s PNBP from the TKA compensation fund this year, as of 17 July 2026, had already reached IDR 1.17 trillion. Although it contributes the largest PNBP, Yassierli said his ministry still imposes quite stringent requirements for foreign workers, whereby if they do not meet the requirements, they will be refused entry to Indonesia. “Are we making it easier for them to work in Indonesia? The answer is still no. So we still refer to the negative list, determining which sectors they are allowed to work in Indonesia. If the proposed TKA does not comply, we usually reject them,” he stated. Furthermore, the Ministry of Manpower is also improving the existing system to make it transparent, so that the increase in PNBP aligns with the state’s objectives. Yassierli added that the ministry is also optimising assets and improving governance, as well as maximising the use of existing centres for testing, which serves as another source of PNBP. “We are also making certification permits more transparent, including optimising the use of public assets, and this is what increases our PNBP,” he said. Yassierli added that the Ministry of Manpower is also conducting a study regarding the amount of the TKA compensation fund, currently set at USD 100 per month, as this policy has been in place for decades. “We are still studying further whether it can be increased or not,” he added.