P3HKI: Foreign Investment Must Not Neglect Workers' Social Security
The Indonesian Association of Labour Law Educators and Practitioners (P3HKI) has reminded that efforts to attract foreign investment must not be accompanied by tolerance for the neglect of workers’ basic rights, including the fulfilment of social security.
During the BIG Strategic Forum 2026 discussion in Jakarta on Tuesday, P3HKI Deputy Chairman Ahmad Ansyori stated that Indonesia does need to open space for incoming foreign investment. However, this effort must not become a reason to sideline companies’ obligations to fulfil workers’ rights as stipulated in laws and regulations.
According to Ahmad, incoming investment is sometimes followed by tolerance for the neglect of labour regulations. He noted that the government or local officials often grant leniency on the grounds that the company is still developing, even though workers who have been recruited are still entitled to social security.
He said such practices have the potential to create a paradox where the state, on one hand, seeks to attract investment, but on the other hand, neglects the protection of workers’ basic rights. Therefore, he believes the government needs to ensure that every company, including foreign investors, complies with the labour provisions applicable in Indonesia.
According to him, Indonesia needs to position law enforcement as an inseparable part of efforts to create a healthy investment climate. “We invite foreign investment, we welcome it, we celebrate it, but legal sovereignty must not be placed beneath investment,” Ahmad said.
He added that worker protection should not be viewed as an obstacle to investment. On the contrary, compliance with labour regulations can provide legal certainty for all parties, both workers and business actors. Ahmad expressed hope that the government can strengthen supervision of the fulfilment of workers’ rights in companies, including those with foreign capital investment, so that investment growth proceeds in tandem with improvements in workforce welfare.