Indonesia’s Whistleblower Protection Laws: A Review

Whistleblower protection in Indonesia primarily focuses on criminal matters, with the main legislation being the Witness and Victim Protection Law. However, companies often inquire about whistleblowing rules under the Indonesian Employment Law (Law No. 13 of 2003).

Protection for Employees Who Report Criminal Acts

Despite the absence of explicit provisions on whistleblowing in the Employment Law, two articles provide certain protections for employees who report criminal acts by their employers:

• Article 153(1)(h) states that an employer cannot terminate an employee for reporting a suspected criminal offense by the employer to the relevant authority.
• Article 169 paragraphs (1) and (2) allow employees to terminate their employment relationship and still receive severance pay if they are ordered to commit an act contrary to laws and regulations.

Data Security

While there is no specific regulation in Indonesia governing the security or transfer of data in the context of employee whistleblowing, Article 21 of the Human Rights Law provides that individuals have a right to privacy. The ITE Law (Law No. 11 of 2008 regarding Electronic Information and Transactions) prohibits the transmission or use of personal data through electronic media without an individual’s consent.

In practice, employers in Indonesia regulate employee data privacy through:

• Unilateral employee consents
• Employment arrangements
• Company regulations
• Collective labor agreements

These agreements are justified by the freedom of contract principle under the Indonesian Civil Code.

Sanctions for Retaliation

The Witness and Victim Protection Law provides certain sanctions for employers who retaliate against whistleblowers:

• Article 39 stipulates that anyone causing a witness or victim to lose their job can be imprisoned for up to seven years and fined IDR 500 million.
• If the violation is committed by a company, the sanctions can be tripled.

Vicarious Liability

There is no specific reference to vicarious liability for retaliation by co-workers under Indonesia’s prevailing laws and regulations governing whistleblowing. However, Article 1367 of the Indonesian Civil Code recognizes vicarious liability, stating that employers are responsible for damage caused by their servants and subordinates in the course of duties assigned to them.

Conclusion

This article provides general information on whistleblower protection laws in Indonesia and is not intended as legal advice. If you require legal guidance, please consult with a qualified lawyer in your jurisdiction.