Worker Protection Against Recruitment Fees in Outsourcing Under Indonesia’s Job Creation Law

Abstract

Paid recruitment practices carried out by several outsourcing companies remain a significant concern within Indonesia’s industrial relations system because they place job seekers in a vulnerable position and expose them to economic exploitation. This study aims to examine the conformity of labor recruitment mechanisms in outsourcing arrangements with Indonesian labor regulations and to assess paid recruitment practices from the perspective of worker protection principles. The research employs a normative legal method using statutory, conceptual, case, and comparative approaches. Primary legal materials consist of Law Number 13 of 2003 concerning Manpower, Law Number 6 of 2023 concerning Job Creation, and implementing regulations governing outsourcing and labor placement. The findings reveal that Indonesian labor law recognizes workers as legal subjects entitled to protection from the recruitment stage onward, indicating that any financial charges imposed on prospective employees are inconsistent with the principles of equal employment opportunity and non-discrimination. Furthermore, paid recruitment practices contradict the principles of worker protection, justice, and good faith because they impose economic burdens before an employment relationship is formally established. Accordingly, stronger supervision mechanisms and more effective law enforcement are required to prevent exploitative recruitment practices within the outsourcing system.