From Populist Policies to Reality-Based Policies: Reforming Indonesian Labour Law for the Prevention of Forced Labour, Exploitation, and Equitable Protection of Migrant Workers

Abstract

The development of Indonesia’s labour sector in recent years has revealed a growing disparity between the objectives of labour protection and the economic and political realities faced by the state. On the one hand, the government has sought to enhance workers’ protection through various labour policies. On the other hand, investment dynamics, global economic uncertainty, labour market transformation, and the increasing mobility of migrant workers necessitate a more adaptive and comprehensive regulatory framework. Following the enactment of Law Number 11 of 2020 concerning Job Creation, as subsequently amended by Law Number 6 of 2023, significant changes were introduced to numerous labour provisions previously governed by Law Number 13 of 2003 concerning Manpower. Nevertheless, Indonesia has yet to establish a new comprehensive labour statute that fully replaces the Manpower Law or integrates the protection of migrant workers as regulated under Law Number 18 of 2017 concerning the Protection of Indonesian Migrant Workers. This study aims to analyse the necessity of labour law reform in Indonesia in order to prevent forced labour, labour exploitation, and modern slavery, while maintaining a balance between workers’ protection, legal certainty for employers, and effective governance of Indonesian migrant worker placement agencies. The research employs a normative legal method using both statutory and conceptual approaches. The findings indicate that regulatory fragmentation following labour reforms has generated legal uncertainty, weakened oversight of exploitative labour practices, and hindered the optimal protection of Indonesian migrant workers. Accordingly, the study argues for the enactment of a comprehensive National Labour Law that is responsive and adaptable to the evolving realities of the modern world of work.