Jakarta. The Corruption Eradication Commission (KPK) warns that a bribery case over foreign worker permits at the Manpower Ministry could hurt investment.

KPK spokesperson Budi Prasetyo said the Rp 53 billion ($3.25 million) corruption case not only exposes abuse of power within the ministry but also risks opening the door to the inflow of unqualified foreign labor.

“If we allow the entry of foreign workers who may be unfit or underqualified, it will negatively affect Indonesia’s labor ecosystem,” Budi told reporters on Friday.

He said the scandal should serve as a wake-up call for the government to improve governance in the labor sector, even as legal proceedings against the suspects continue.

“This case touches on an issue that directly affects the public. It must be seen as an opportunity to reform labor management in Indonesia,” Budi added.

The KPK has questioned several individuals in the investigation, including former and current officials at the Manpower Ministry. Among them is Hariyanto, the minister’s special advisor on international relations, who previously served as Director General of Employment Placement (Binapenta) for 2024–2025 and as Director of Foreign Worker Utilization Control (PPTKA) from 2019 to 2024.

The alleged bribery and extortion took place between 2020 and 2023, with the KPK beginning its investigation in June 2024 following a tip-off from the public. In May 2025, the anti-graft agency named eight suspects in the case, though it has yet to release their identities or specific roles.

To date, the KPK has seized 13 vehicles --011 cars and 2 motorcycles-- during raids conducted from May 20 to 23 across eight locations, including the Manpower Ministry offices and seven residences.

The commission says it will continue to pursue the case to uncover the full extent of corruption and its implications for the labor sector.