Atlas Insights November: Indonesia's Stricter Immigration Policies, Saudi Labor Law Amendments, and Flood Response Updates
Indonesia – Enforces Stricter Immigration Policies
Recent updates to Indonesia’s Immigration Law (Law No. 6 of 2011) have introduced significant amendments aimed at tightening regulations while balancing national security and individual rights. Passed on September 19, 2024, these changes, encompassed in Law No. 63 of 2024, reshape the legal landscape for foreign nationals and local stakeholders.
Key Highlights of the Third Amendment
Accommodation providers are now obligated to share data on foreign nationals with law enforcement and immigration authorities electronically or manually, with penalties of up to three months' imprisonment or IDR 25 million in fines for non-compliance. This is equivalent to USD 1,575.94. The amendment limits exit bans to a six-month period, with a single extension allowed, ensuring adherence to constitutional mandates.
For entry bans, foreign nationals may face prohibitions of up to 10 years, with potential extensions or even lifetime bans for those deemed a threat to public order. Permanent stay permit holders experience streamlined re-entry processes aligned with permit validity, enhancing mobility. To bolster security, immigration officers are now permitted to carry firearms during law enforcement duties, and Indonesian passports and related travel documents are now formally classified as state-issued proof of citizenship.
Saudi Arabia - Key Changes in Labor Law Amendments
On August 6, 2024, Saudi Arabia's Council of Ministers approved significant amendments to the Saudi Labor Law, which are expected to be implemented 180 days after publication in the Legal Gazette. These changes reflect Saudi Arabia’s commitment to aligning with its Vision 2030 objectives, which emphasize creating a supportive work environment, enhancing job security, and investing in human capital development.
Key Highlights of the Amendments
Resignation is now explicitly defined as an employee’s written, voluntary termination of a fixed-term contract. New provisions allow employers to offer compensatory leave instead of overtime pay, subject to employee consent. Accommodation and transportation must now be provided by employers or equivalent allowances to employees. Clear procedures are outlined for resignations, especially for employees on fixed-term contracts, including automatic acceptance and timelines for withdrawal.
The probation period is clarified, including its duration, exclusions, and employee termination rights. Maternity leave is increased to 12 weeks with full pay, and parental leave is introduced for male employees. Bereavement leave is expanded to three days in the event of a sibling’s death. Bankruptcy is now a lawful reason for terminating an employment contract and, non-Saudi national contracts are now automatically renewed for one-year terms.
Poland and Spain - Flood Responses
Poland and Spain have both implemented labor and workplace regulations to address the impact of severe floods on businesses and employees. These measures aim to mitigate the effects of natural disasters on workers’ rights and employer obligations in affected regions.
In Poland, recent floods have triggered legal provisions allowing employees to take excused absences and employers to provide additional support. Similarly, in Spain, regulations responding to flooding in Valencia include provisions for paid leave, Social Security benefits, and temporary employment measures.
Key Considerations for Employers in Poland
Employee Absences - The Act of 16 September 2011 allows employees unable to work due to flooding to take excused absences. During this time, employees are entitled to a portion of the minimum wage for up to 10 working days. Employers must be notified of the absence and its expected duration, ideally by the second day.
Support Measures - Employees may use force majeure leave or leave on demand to address personal challenges caused by flooding. Employers can offer additional aid, including social Fund benefits or revolving loans, paid volunteer days and psychological support for affected employees.
Pending Legislation - Poland’s Sejm is working on a special flood law to further support employees and employers, ensuring flexibility and relief during disasters.
Key Considerations for Employers in Spain
Employee Protections - Employees in flood-affected areas are entitled to paid leave, ensuring income continuity during the disaster recovery period. Workers can access additional benefits, enhancing financial stability for those directly or indirectly impacted. Regulations impose limits on terminations, safeguarding employment for affected workers during this period.
Employer Flexibility - Employers are allowed to temporarily suspend employment contracts in cases where operations are significantly disrupted. Businesses can apply for subsidies and exemptions from Social Security contributions to offset financial losses caused by the floods.
How Atlas HXM Supports Employers
Navigating the evolving landscapes of labor and immigration laws in regions like Indonesia, Saudi Arabia, Poland, and Spain highlights the increasing complexity employers face. From stricter immigration policies and labor law amendments to natural disaster responses, businesses must remain vigilant and adaptable.
Atlas HXM provides expert guidance to help organizations stay compliant, manage workforce challenges, and implement tailored strategies. Whether adapting to legal changes or supporting employees during crises, Atlas offers innovative solutions to ensure your business remains resilient, agile, and aligned with global compliance standards.