WFA Implementation in Indonesia Sparks Debate on Effectiveness

Laptop and smartphone on a table outdoors illustrating WFA Implementation in Indonesia.

The WFA Implementation in Indonesia has become a widely discussed topic as the government encourages businesses and civil servants to adopt flexible work arrangements. While officials promote Work from Anywhere (WFA) to reduce traffic congestion and enhance efficiency, businesses and experts remain divided on its practicality and impact.

 

Government Push for WFA Implementation in Indonesia

The Indonesian government has been actively promoting WFA, particularly for civil servants (ASN). According to Adita Irawati, spokesperson for the Presidential Communication Office (PCO), this initiative aims to ease travel congestion during the upcoming Eid holiday and increase workplace flexibility.

“For FWA (Flexible Working Arrangements), the Ministry of Administrative and Bureaucratic Reform (PAN-RB) is currently preparing the regulations as a guideline for civil servants to implement it,” Adita explained as reported by kabarbisnis.com.

Additionally, the provincial government of South Sulawesi has announced a structured WFA policy, requiring ASN to work in the office for three days and remotely for two. Governor Andi Sudirman Sulaiman emphasized as reported by inikata.co.id that outcomes matter more than physical presence. “As long as the work gets done, that is what’s important,” he stated.

 

Business Reactions and Sectoral Challenges

While WFA offers flexibility, business leaders argue that it cannot be universally applied. The Indonesian Employers Association (Apindo) stressed that each industry has unique operational requirements, making WFA impractical for some sectors.

“Apindo understands the government’s intention to reduce traffic congestion and improve mobility efficiency. However, this policy cannot be generalized across all business sectors due to their diverse characteristics,” said Apindo Chairwoman Shinta Widjaja Kamdani.

Certain industries, such as information technology and creative professions, can adopt WFA with minimal disruption. However, sectors like manufacturing, retail, logistics, and tourism rely on an on-site workforce to ensure smooth operations. Shinta warned that poorly planned WFA policies could disrupt supply chains and affect market stability.

“If WFA is implemented without careful planning and calculation, there is a risk of supply chain disruptions that could impact market stability,” she emphasized.

 

Effectiveness of WFA Policy for Workers and Employers

Supporters argue that WFA enhances work-life balance, reduces commuting stress, and boosts efficiency. Digitalization allows employees to work remotely without compromising productivity.

On the other hand, critics raise concerns about tracking performance and maintaining collaboration. Public policy expert Andi Naharuddin from Hasanuddin University believes WFA could weaken public services if not managed properly.

“Public services must not be compromised. Even with a six-day workweek, service efficiency remains a challenge. Reducing office days to three could further impact performance,” Andi warned.

The government views WFA as a cost-saving measure, aligning with Presidential Instruction No. 1 of 2025 on budget efficiency. The National Civil Service Agency (BKN) believes this approach will improve the digital management of civil servants while reducing unnecessary expenses.

“The two-day WFA and three-day office formula can cut unnecessary costs while testing the effectiveness of the integrated Civil Service Information System (SIASN),” said Head of the National Civil Service Agency, Zudan Arif Fakrulloh.

 

The Future of WFA in Indonesia’s Workforce

The future of WFA Implementation in Indonesia depends on careful execution and industry-specific adjustments. Business leaders advocate for companies to set internal policies based on their needs rather than adopting a blanket approach.

“Policies like WFA should be optional and left to each company’s internal regulations,” Shinta concluded.

As Indonesia moves forward with WFA, balancing flexibility with operational stability remains critical. Policymakers, businesses, and workers must collaborate to ensure that remote work benefits productivity while maintaining service quality. Without careful planning, WFA could create more challenges than solutions.

 

 

Source: kabarbisnis.com, inikata.co.id

Image: Getty Images

Latest Article
Land Conversion Moratorium Supports Indonesia’s Food Security
The government introduced a set of farmland protection policies to ensure land-use decisions follow national...
Indonesia Modest Fashion Industry Sees 3.9% Export Rise
Indonesia’s modest fashion industry continues to gain momentum as new data highlights a significant...
Indonesia Adopts OECD Framework for Property Taxation Data
Indonesia strengthens its commitment to global tax transparency by joining the OECD’s new initiative...
DGT Complaint Procedure Updated to Streamline Public Reporting
The Directorate General of Taxes (DGT) introduced a major update to its complaint mechanism with the...
Indonesia Import Rules Tightened to Protect Local MSMEs
Indonesia’s import rules are set for major changes as the government prepares to tighten regulations...

Andrzej Barski

Director of Seven Stones Indonesia

Andrzej is Co-owner/ Founder and Director of Seven Stones Indonesia. He was born in the UK to Polish parents and has been living in Indonesia for more than 33-years. He is a skilled writer, trainer and marketer with a deep understanding of Indonesia and its many cultures after spending many years travelling across the archipelago from North Sumatra to Irian Jaya.

His experience covers Marketing, Branding, Advertising, Publishing, Real Estate and Training for 5-Star Hotels and Resorts in Bali and Jakarta, which has given him a passion for the customer experience. He’s a published author and a regular contributor to local and regional publications. His interests include conservation, eco-conscious initiatives, spirituality and motorcycles. Andrzej speaks English and Indonesian.

Terje H. Nilsen

Director of Seven Stones Indonesia

Terje is from Norway and has been living in Indonesia for over 20-years. He first came to Indonesia as a child and after earning his degree in Business Administration from the University of Agder in Norway, he moved to Indonesia in 1993, where he has worked in leading positions in education and the fitness/ wellness industries all over Indonesia including Jakarta, Banjarmasin, Medan and Bali.

He was Co-owner and CEO of the Paradise Property Group for 10-years and led the company to great success. He is now Co-owner/ Founder and Director of Seven Stones Indonesia offering market entry services for foreign investors, legal advice, sourcing of investments and in particular real estate investments. He has a soft spot for eco-friendly and socially sustainable projects and investments, while his personal business strengths are in property law, tourism trends, macroeconomics, Indonesian government and regulations. His personal interests are in sport, adventure, history and spiritual experiences.

Terje’s leadership, drive and knowledge are recognised across many industries and his unrivalled network of high level contacts in government and business spans the globe. He believes you do good and do well but always in that order. Terje speaks English, Indonesian and Norwegian.

Contact Our Consultants

Ridwan Jasin Zachrie

CFO of Seven Stones Indonesia, Jakarta

Ridwan is one of Indonesia’s top executives with a long and illustrious career in the financial world. He holds several professional certifications including being a Certified Business Valuer (CBV) issued by the Australian Academy of Finance and Management; Broker-Dealer Representative (WPPE); and The Directorship Certification for Directors and Commissioners, issued by the Indonesian Institute of Commissioners and Directors.

His experience includes being the Managing Director at one of the top investment banking groups in the region, the Recapital Group, the CFO at State-owned enterprises in fishery industry and the CEO at Tanri Abeng & Son Holding. He’s also been an Independent Commissioner in several Financial Service companies and on the Audit and Risk Committee at Bank BTPN Tbk, Berau Coal Energy Tbk, Aetra Air Jakarta as well as working for Citibank, Bank Mandiri and HSBC. His last position was as CFO at PT Citra Putra Mandiri – OSO Group.

Ridwan has won a number of prestigious awards including the Best CFO Awards 2019 (Institute of Certified Management Accountant Australia-Indonesia); Asia Pacific Young Business Leader awarded by Asia 21 Network New York USA (Tokyo 2008); UK Alumni Business Awards 2008 awarded by the British Council; and The Most Inspiring Human Resources Practitioners’ version of Human Capital Magazine 2010.

He’s a member of the Board of Trustees of the Alumni Association of the Faculty of Law, Trisakti University, Co-Founder of the Paramadina Public Policy Institute and actively writes books, publications and articles in the mass media. He co-authored “Korupsi Mengorupsi Indonesia” in 2009, which helps those with an interest in understanding governance in Indonesia and the critical issue of corruption. Ridwan speaks Indonesian and English.

Per Fredrik Ecker

Managing Director of Seven Stones Indonesia, Jakarta

Per is the Managing Director of the Seven Stones Indonesia (SSI) Jakarta office and has more than 25-years’ experience in Indonesia, China, and Western Europe. He previously worked in senior management positions with Q-Free ASA, Siemens AG, and other companies in the telecom sector. Over the last six years, he has been the Chairman of the Indonesia-Norway Business Council (INBC) and recently become elected to be on the board of EuroCham Indonesia.

His most recent experience is within Intelligent Transport Solutions (ITS), Telecom, and other sectors within the Indonesian market. He is today through his position in SSI and by representing Norway Connect, promoting Nordic and European companies that would like to explore business opportunities in the Indonesian market. He’s also playing an active role to help create the Nordic House concept in Jakarta that will provide an excellent platform for Nordic companies entering Indonesia, where they’ll find a community that can offer support with trusted information and affordable services to enter this market.