Understanding Employee Leave Policies in Indonesia

Indonesia's labor regulations provide comprehensive leave entitlements for workers, balancing employee welfare with business operational needs. As global HR professionals, understanding these provisions is essential for effective workforce management in this diverse market.

Annual Leave Entitlements

After completing twelve months of continuous service, employees become eligible for a minimum of twelve days of paid annual leave. During probationary periods, leave is typically unavailable, with any absence treated as unpaid. Unused annual leave may be carried forward to the following year, subject to employer policies—often with a March 31st deadline. However, employees must utilize their annual leave within six months of entitlement, or risk forfeiture.

Notably, employees with six years of continuous service qualify for an extended two-month leave in their seventh and eighth years. Upon termination, employers must compensate for unused annual leave at 100% of daily wages. Indonesia also observes "Cuti Bersama," collective leave days designed to promote domestic tourism, typically deducted from annual leave balances.

Sick Leave Provisions

Indonesian labor law does not impose specific limits on sick leave duration. Employees requiring medical absence receive paid leave with proper medical certification. Compensation follows a graduated scale:

Duration	Compensation Rate
Months 1-4	100% of average daily wage
Months 5-8	75% of average daily wage
Months 9-12	50% of average daily wage
Month 13 onwards	25% of average daily wage

Extended illness beyond twelve months may constitute grounds for employment termination.

Maternity and Parental Leave

Female employees receive three months of fully paid maternity leave, typically divided equally before and after childbirth. Paternity leave offers two days of paid leave for fathers following childbirth or miscarriage. In cases of miscarriage, female employees receive six weeks of paid leave for recovery.

While comprehensive parental leave beyond these provisions isn't mandated, progressive employers often implement additional support policies.

Special Circumstance Leaves

Indonesia recognizes various life events through specific leave categories:

Menstrual Leave: Some employers provide paid leave for the first two days of menstruation
Marriage Leave: Three days for personal marriage; two days for children's weddings
Bereavement Leave: Two days for immediate family; one day for other relatives
Religious Ceremony Leave: Two days each for child's baptism or circumcision

Public Holidays in Indonesia 2025

Indonesia's diverse cultural landscape is reflected in its public holiday calendar:

Holiday	Date
New Year's Day	January 1
Isra Mi'raj	January 27
Chinese New Year	January 29
Hari Raya Nyepi	March 29
Eid al-Fitr	March 31-April 1
Good Friday	April 18
Easter Sunday	April 20
Labor Day	May 1
Vesak Day	May 12
Ascension Day	May 29
Pancasila Day	June 1
Eid al-Adha	June 6
Islamic New Year	June 27
Independence Day	August 17
Prophet's Birthday	September 5
Christmas Day	December 25

For multinational companies navigating Indonesia's complex labor landscape, SailGlobal offers comprehensive support in implementing compliant leave management systems tailored to local requirements.

Indonesia Employee Leave Guide 2025: Annual, Sick, Maternity Leave Policies