New Regulation: Companies Violating Outsourcing Limits to Face Sanctions!
JAKARTA, KOMPAS.com - Companies that violate regulations on the limitations of outsourcing manpower may be subject to sanctions under the newly enacted Ministerial Regulation on Employment (Permenaker) No. 7 of 2026 on Outsourcing Work.
According to an official copy of the Permenaker distributed by the Ministry of Manpower on Thursday (30/4/2026), companies may delegate part of their work execution to outsourcing companies or through written outsourcing agreements.
Article 3 of the regulation specifies that the partial execution of work permitted to be outsourced is limited solely to supporting activities:
Cleaning services
Provision of food and beverages
Security
Provision of drivers and worker/labourer transportation
Operational support services
Supporting work in the fields of mining, oil, gas, and electricity.
As per the same regulation, companies violating the outsourcing limitations may face administrative sanctions in the form of written warnings and restrictions on business activities.
Article 8 paragraph (2) of Permenaker 7/2026 states that the imposition of administrative sanctions is carried out in stages.
The sanctions are enforced by the authorised agency issuing permits, based on recommendations from Labour Supervisors.
Permenaker 7/2026 also regulates the obligations and sanctions for outsourcing companies.