The number of foreign workers in Buleleng Regency has climbed sharply over the past year, rising from 116 in 2023 to 162 in 2024, according to the local Manpower Office.
The increase has not only impacted the local labor sector but has also contributed to the regency’s revenue through a compensation scheme.
Under national regulations, each foreign worker is required to pay US$100 per month in compensation fees, which are collected by the central government and later redistributed to local administrations.
“We’re responsible for monitoring foreign workers operating in Buleleng,” said acting head of the Buleleng Manpower Office, Nyoman Suarjana, on 17 June.
“All data and permits are integrated through the national SITKA system managed by the Ministry of Manpower.”
Limited jurisdiction, national integration
Suarjana explained that oversight responsibilities are tiered: the Buleleng office monitors foreign workers employed within the regency; provincial authorities handle cross-regency cases, while national authorities oversee those working across provincial boundaries.
“We don’t have jurisdiction over foreigners who reside here without working,” Suarjana added. “Everything is centralized through SITKA, and we rely on that official data.”
Energy sector drives demand
Most of the foreign workers in Buleleng are absorbed into the industrial and energy sectors—particularly strategic projects like coal-fired power plants (PLTU). The majority hail from China and typically work as technical specialists or investors directly involved in these developments.
The regency government continues to push for increased foreign investment, which officials argue will both expand local employment opportunities and increase regional income through the TKA compensation scheme.
“The more investment that comes in, the greater the compensation revenue we receive,” Suarjana said. “Each work permit renewal brings additional revenue for the region.”
Call for local allocation of funds
Although the compensation funds are centrally managed, Suarjana hopes that future policies will earmark a greater share for local governments in recognition of their role in managing foreign labor.
Beyond foreign worker oversight, the Buleleng Manpower Office also handles workforce development, job placement both domestically and abroad, and labor dispute resolution.
“We remind all stakeholders to comply with the regulations,” Suarjana stressed. “If a foreign worker’s contract ends and isn’t renewed, they must stop working. Continuing to work would constitute a violation and fall under immigration’s jurisdiction.”
