This Newsflash is part of our Health Omnibus Law Newsflash series with respect to the issuance of Law No. 17 of 2023 dated August 8, 2023 on Health (the "Health Law"). As noted in our previous Newsflash, the Health Law is issued using an omnibus method, revoking several laws and regulations in the health sector, including Law No. 36 of 2009 dated October 13, 2009 on Health (the "Previous Health Law").

The Health Law governs a wide range of topics in the health sector. This Newsflash focuses on key provisions relating to occupational health in workplace, as follows.

♦ Obligation for All Parties to Participate in Health Security Program

The Health Law stipulates the rights and obligations in relation to the health sector that shall be complied with by all parties (i.e., individuals and corporations). Among others, the Health Law requires that all parties to participate in the health security program in the national security system (i.e., the Health Social Security administered by Badan Penyelenggara Jaminan Sosial Kesehatan) in accordance with the applicable laws and regulations.

We note that the above obligation is in line with the provisions of Law No. 24 of 2011 dated November 25, 2011 on Social Security Administration Agencies as amended by Law No. 6 of 2023 dated March 31, 2023 on Stipulation of Government Regulation No. 2 of 2022 on Job Creation into Law.

♦ Obligation for Employers to Maintain Occupational Health in Workplace

In essence, the responsibility to maintain occupational health falls on the Central Government, Regional Governments, employers, and administrators or managers of workplaces. Such occupational health efforts (or in Indonesian, upaya kesehatan kerja) shall be carried out in conjunction with the occupational health and safety system for the purpose of improving knowledge, awareness, ability of live a health life and prevent sickness caused by work and work accidents, as well as health problems and bad effects caused by work.

Occupational health efforts shall be carried out in workplaces, both the formal and informal sectors, as well as the Health Service Facilities in accordance with occupational health standards. Further, employers and administrators or managers of workplaces shall comply with the occupational health standards and ensure a healthy working environment. Employers and administrators or managers of workplaces shall be responsible for work accidents in workplaces and sickness caused by work.

To ensure the health of employees, employers are required to carry out the promotive, preventive, curative, rehabilitative, and palliative efforts and bear all health care costs of the employees. Employers are also required to bear costs for work-related sickness, health issues, and injuries caused by work suffered by employees in accordance with the applicable laws and regulations. Similarly, the Central Government and Regional Governments shall provide support for the protection of the employees.

On the other hand, employees and all parties in a workplace are required to create and maintain a healthy working environment and comply with occupational health and safety regulations applicable in the workplace.

We note that generally the above provisions are similar to those of the occupational health governed under the Previous Health Law. We also note that the Health Law expressly stipulates that the provisions relating to occupational health are to be further governed by a Government Regulation.

Accordingly, the implementation of the above provisions relating to occupational health remains to be seen. We also anticipate that, considering the objections from the medical society with respect to certain provisions of the Health Law, it is possible the Health Law to be challenged by the medical society or other parties of interest to the Constitutional Court. We will monitor the development and will issue further updates as relevant.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.