Kategori: Sustainability and ESG
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Summary of New Regulatory Framework for Outsourcing Practices
Executive Summary On April 30, 2026, the Ministry of Manpower officially enacted Permenaker Number 7 of 2026. This regulation follows the Constitutional Court Mandate (Decision No. 168/PUU-XXI/2023) and marks a significant shift from the broad outsourcing permissions allowed under the initial Job Creation Law. The primary objective is to enhance worker protection by strictly limiting…
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Ratification of ILO Convention 188 and its Implications for the Indonesian Fisheries Industry
1. Introduction and Legal Context For decades, Indonesia—the world’s second-largest fisheries producer—operated with a fragmented legal framework regarding the protection of fishers. On May 1, 2026, President Prabowo Subianto signed Presidential Regulation No. 25 of 2026, officially ratifying ILO Convention 188. This move bridges the gap between domestic maritime law (Law No. 17/2008) and migrant…
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2025-Indonesia Business and Human Rights Challenges
(1) Ensuring accountability in the rush of energy transition At the Group of 20 (G20) major economies leaders summit in Brazil on Nov 19, Prabowo said that Indonesia is planning to phase out the use of coal energy within 15 years by building over 75 gigawatts of renewable energy capacity. He refers to the…
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EU’s Mandatory Corporate Sustainability Due Diligence
On 15 March 2024, the European Union Council voted to adopt the Corporate Sustainability Due Diligence Directive (CS3D). Under this directive, large companies domiciled in the EU and foreign companies generating significant revenues in the EU will be obliged to comply with the new sustainability due diligence obligations. S3D requires companies to carry out risk-based…
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Emerging anti-greenwashing rule; what business have to do?
The demand for genuine implementation of sustainability commitments has been increasing recently. ESG implementation by corporations can no longer be just lip service. Tighter public scrutiny can no longer be covered by ratings or stunning sustainability reports. Currently, various countries have implemented anti-greenwashing rules. Sooner or later Indonesia will adjust and the business industry must…