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No Need for Double Payment of Training Stipend

Bali Manpower Clarifies Training Compensation Fund for Expatriate Workers in Bali

(2/23/2013) On January 20, 2013, Balidiscovery.com published the [High Cost of Playing by the Rules in Bali] , which stated: "The Bali provincial administration will soon be charging a Rp. 1 million (US$100) monthly fee when extending working permits for expatriate workers in Bali. To be charged on a yearly basis (US$1,200), the fee will apparently be paid in addition to another US$1,200 fee already charged as a contribution to a training fund by the department of Manpower when renewing work permits each year.”

The Head of the Bali Provincial Department of Manpower, I Wayan Suasta, SH, has written to Bali Update seeking to make the following clarification:

  1. The statement is not correct; only one payment would be made either for a new working permit or renewal, not a double payment as stated in the article.
  2. Compensation funds for new working permits still have to be paid to the designated State bank (BNI Bank) at a rate of US$100 per month for each expatriate. 
  3. Renewal of working permits retribution fee processed at the Investment Licensing Board (BPMP) for Bali (for working location in more than one region of the Bali province) will be paid to the regional bank to be appointed base on regional regulations and determined to be US$ 100 per month for each expatriate (converted to Indonesian Rupiahs at Rp. 1 million).
  4. Prior to the determination of regional regulations, expatriate employers may still process renewals at the BPMP Bali provincial office without the bank payment receipt attached.
  5. The obligation to pay the retribution fee for working permit renewals have already been renewed must be paid immediately by the expatriate employees after the regional regulation is announced. Payment will be due on the remaining months of the subject working permit’s period of validity.
Balidiscovery.com thanks I Wayan Suasta of the Bali Manpower Office for taking the time to issue a clarification in this matter.