Work From Anywhere Arrangement During Nyepi and Eid Al-Fitr Holidays 2026

In observance of the Nyepi (Balinese Day of Silence) and Eid al-Fitr 1447 Hijri holidays, the Minister of Manpower has issued Circular Letter No. M/2/HK.04/II/2026 dated 13 February 2026 regarding the Implementation of Work From Anywhere for Employees in Companies During the Nyepi and Eid al-Fitr Holiday Period (the “Circular Letter”).

The Circular Letter is intended to anticipate increased public mobility during the holiday period, particularly in connection with the annual Eid homecoming (in Indonesian, mudik), while at the same time maintaining productivity and supporting national economic growth in the first quarter of 2026.

Given the practical implications of this policy, companies may wish to assess whether and how Work From Anywhere (“WFA”) arrangements can be implemented within their organization, taking into account operational needs, employee management, and compliance with internal policies and Indonesian employment regulations.

We set out below the key points of the Circular Letter.

WFA Implementation Period

For reference, based on the Joint Ministerial Decree of the Minister of Religious Affairs, the Minister of Manpower, and the Minister of State Apparatus Empowerment and Bureaucratic Reform No. 1497 of 2025, No. 2 of 2025, and No. 5 of 2025, Nyepi will be observed on March 18-19, 2026, while the Eid al-Fitr holidays will fall on March 20-24, 2026.

In anticipation of these holidays, the Circular Letter encourages companies to consider implementing WFA arrangements on March 16-17, 2026, and further allows such arrangements to be applied on March 25, 26, and 27, 2026. The implementation of WFA shall be subject to each company’s operational needs and is primarily aimed at mitigating congestion and facilitating employee mobility during the peak mudik period.

Sectoral Exceptions

Notwithstanding the above, the Circular Letter recognizes that certain sectors require continuous on-site operations. Accordingly, WFA arrangements may not be applicable to specific industries, including but not limited to healthcare, logistics, transportation, security services, hospitality and accommodation, retail and shopping centers, manufacturing, and the food and beverage industry, as well as other sectors essential to maintaining production continuity.

Companies operating within these sectors may continue to require employees to work on-site, as necessary, in accordance with their operational requirements.

Employees’ Rights During WFA

The Circular Letter affirms that WFA days shall not be treated as annual leave. Employees remain entitled to receive their salary and benefits in full during the WFA period, consistent with what they would ordinarily receive when working from their usual workplace, unless otherwise agreed.

This provision ensures that the adoption of WFA does not adversely affect employees’ entitlements.

Employees Obligations and Employer Supervision

While WFA provides flexibility in work arrangements, employees are nevertheless required to continue performing their duties and fulfilling their obligations in accordance with their employment agreements and applicable company policies.

Likewise, employers retain responsibility for regulating working hours and implementing appropriate supervision mechanisms to ensure that productivity and performance standards are maintained throughout the WFA period.

Please do not hesitate to contact us if you have any questions or require further information about how we may assist you in this matter.

AKSET

Please contact Thomas P. Wijaya (twijaya@aksetlaw.com) or Shafa Femalea S. Nuswantari (snuswantari@aksetlaw.com) for further information.

 

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