How to Hire Indonesian Care Workers and the Associated Costs

Publish
2024/11/21
Update
2025/08/16
You can read this article in 13minutes

For companies operating nursing care facilities, many are exploring the option of hiring foreign care workers to address labor shortages. In fact, a significant number of care workers from Indonesia, Vietnam, Myanmar, and the Philippines are already working in Japan.

This article introduces the systems available for hiring Indonesian care workers, along with an overview of each scheme, recruitment processes, and their respective advantages and disadvantages.

Why Entering the Indonesian Market is Particularly Challenging
● Foreign-owned corporation ⮕ Requires paid-in capital of 1 billion Rupiah
● Domestic corporation     ⮕ Foreign companies cannot be shareholders

Are you curious about how other companies are expanding into Indonesia?

The Current Situation of Indonesian Care Workers in Japan

There are four primary pathways through which foreign nationals can work as care workers in Japan (listed in order of number of visa holders):

  • Specified Skilled Worker Program
  • Technical Intern Training Program
  • “Kaigo” (Nursing Care) Residence Status
  • Economic Partnership Agreement (EPA)

Among all foreign care workers in Japan from countries such as Indonesia, the Philippines, Vietnam, and Myanmar, the most utilized systems (as of the latest data) are:

  • Specified Skilled Worker: 17,066 individuals (as of January 2023)
  • Technical Intern Training: 15,011 individuals (as of June 2022)
  • “Kaigo” Residence Status: 9,328 individuals (as of December 2023)
  • EPA: 3,257 individuals (as of January 2023)

For workers from Indonesia specifically, the most common pathways are the Specified Skilled Worker Program and the Technical Intern Training Program. Approximately 50% of mid- to long-term Indonesian residents in Japan are technical intern trainees, and 23% are working under the Specified Skilled Worker status.

*Reference: Immigration Services Agency of Japan, “Foreign Resident Statistics as of the End of 2023”

Specified Skilled Worker (Caregiving)

The Specified Skilled Worker program was launched in April 2019. As of June 2024, there are 44,298 Indonesians residing in Japan under this status, of whom 9,760 are employed in the caregiving sector.

Among all nationalities working in caregiving under this program, Indonesians represent the largest group, surpassing Vietnam and Myanmar.

*Reference: Ministry of Health, Labour and Welfare, “Acceptance Status of Foreign Nationals in the Caregiving Field”

Technical Intern Training (Caregiving)

The caregiving field was added to the Technical Intern Training Program in November 2017.

According to the 2023 statistics on approved training plans, 3,124 out of 74,879 plans for Indonesian technical intern trainees were in the caregiving sector. This figure ranks third in volume after Myanmar and Vietnam.

Note that the Technical Intern Training Program is scheduled to be replaced by the “Training and Employment Program” between 2027 and 2030 through a transition period.

*Reference: Organization for Technical Intern Training (OTIT), “FY2023 Operational Statistics – Table 1-6: Number of Approved Technical Intern Training Plans by Country/Region and Occupation (Composition Ratio)”

Residence Status: “Kaigo” (Nursing Care)

The acceptance of foreign nationals under the “Kaigo” (nursing care) residence status began in September 2017.

While this status requires passing Japan’s national certified care worker examination and is thus more difficult to obtain, it offers advantages such as unlimited renewals and de facto permanent residency. Accompanying family members is also permitted under this status. In recent years, more foreign students and technical intern trainees have fulfilled the requirements for the national exam by completing three or more years of work and training.

As of the end of 2023, the largest number of holders of the “Kaigo” residence status were from Vietnam (4,042 people), followed by Indonesians (1,160 people). The number of Indonesians increased approximately sevenfold over the three years since the end of 2020.

With the increasing number of Indonesians working in caregiving through the Specified Skilled Worker and Technical Intern Training programs, the number of those acquiring the “Kaigo” residence status is also growing.

*Reference: Immigration Services Agency of Japan, “Foreign Residents Statistics by Nationality/Region and Residence Status – End of 2023 / End of 2020”

Economic Partnership Agreement (EPA)

Japan began accepting nurse and certified care worker candidates under the EPA framework with Indonesia in 2008. Under this framework, residence status is classified as “Designated Activities.”

In recent years, the number of new Indonesian arrivals under EPA has remained just under 300 per year. To ensure proper operation of the program, a maximum number of accepted candidates is set each fiscal year.

As the title “Certified Care Worker Candidate” implies, Indonesian candidates under EPA aim to obtain Japan’s national qualification after three or more years of work experience. The maximum period of stay is four years, but those who fail the national examination may extend their stay if they meet certain conditions, such as achieving a specified minimum score.

*Reference: Ministry of Health, Labour and Welfare, “Acceptance of Indonesian Nurse and Certified Care Worker Candidates under the EPA Framework”

Precautions when conducting an on-site inspection in Indonesia

Some visitors consider, "My primary purpose is to conduct maintenance work at the factory, but the visa application process appears cumbersome. I will simply enter on a Visa on Arrival (VOA) and carry out the work discreetly."

However, there have been numerous cases where entering without the appropriate visa for the intended activities has resulted in significant legal and operational issues. It is therefore strongly advised to obtain the correct visa prior to travel.

Here are the types of visas and their purposes.

Hiring Through the Specified Skilled Worker Program

Recruitment Process

Currently, many individuals working in Japan under the Specified Skilled Worker status are former technical intern trainees who have changed their residence status.

In cases where candidates are newly recruited under the Specified Skilled Worker Program, the recruitment process generally involves direct interaction between the candidate and the receiving institution (e.g., employer).

However, in practice, it is difficult for employers to connect directly with individual candidates. In Indonesia, recruitment is typically conducted through government-licensed migrant worker placement agencies known as P3MI. Other methods include using the Indonesian government’s official online job-matching platform, IPKOL. Additionally, Japanese authorities and industry associations often facilitate exchange events and provide matching support.

The Indonesian government is prioritizing the use of the Specified Skilled Worker Program and aims to enhance its job-matching systems. Currently, using P3MI or IPKOL is optional for both candidates and employers, but changes to the system may occur in the future.

Mandatory Pre-registration with the Specified Skilled Worker Council (Caregiving Sector)

Since June 2024, all institutions accepting foreign workers under the Specified Skilled Worker (Caregiving) category are required to join the “Specified Skilled Worker Council in the Caregiving Sector” before submitting residence status applications to Regional Immigration Bureaus.

First-time receiving institutions must input corporate and facility information into the council’s application system and submit necessary documents. After review, a “Council Membership Certificate” will be issued and submitted to immigration authorities as part of the application process.

Advantages and Disadvantages

Quality of Care Workers

Foreign nationals working in Japan under the Specified Skilled Worker Program must pass the required examinations before arriving in Japan: the Japanese language test (either the JFT-Basic or JLPT N4 or above) and the Nursing Care Skills Evaluation Test. This means that candidates have already acquired a certain level of language and caregiving knowledge, making them ready to work from day one.

However, as neither caregiving qualifications nor prior experience are required for eligibility, many candidates prepare for the tests through intensive study methods. As a result, their theoretical understanding may not always translate into practical caregiving skills.

As of 2024, care workers under the Specified Skilled Worker (Caregiving) status are not permitted to engage in home care services. However, due to Japan’s worsening labor shortage in caregiving, this restriction will be lifted in June 2024, and implementation is expected to begin as early as FY2025.

Employment Stability

There are two types of Specified Skilled Worker statuses: Type 1 and Type 2. All foreign workers start with Type 1, which allows for a maximum stay of five years. Type 2 permits indefinite residence, but caregiving is not currently included among the designated fields for Type 2.

Therefore, there is a risk that even well-trained and integrated care workers must leave Japan after five years.

However, as mentioned earlier, those who pass Japan’s national certified care worker examination may change their residence status to “Kaigo,” which allows for unlimited renewal and long-term residence.

Cost Considerations

According to a 2022 survey conducted by the Ministry of Health, Labour and Welfare targeting receiving institutions, the average total cost paid to a Registered Support Organization for hiring one Specified Skilled Worker was approximately JPY 396,000 (about USD 2,540*). This figure includes cases from countries other than Indonesia.

While this amount is generally lower than the cost of accepting technical intern trainees, it can still be significant when hiring multiple workers.

On the other hand, the Specified Skilled Worker Program does not require a supervisory organization, unlike the Technical Intern Training Program. As a result, receiving institutions do not incur recurring monthly or annual fees after hiring, allowing for more cost-efficient staffing.

*Reference: Ministry of Health, Labour and Welfare, “Handling of Staffing Standards for Foreign Care Workers,” p.25
*Currency conversion based on JPY 156 = USD 1 (May 2025 exchange rate)

What Is a Registered Support Organization?

As previously mentioned, under the Specified Skilled Worker Program, hiring can generally be done directly between the foreign worker and the receiving institution.

However, employers accepting Specified Skilled Worker Type 1 foreign nationals are required to provide various forms of support, such as pre-arrival guidance, transportation during immigration procedures, and assistance with public administrative procedures.

While some receiving institutions are capable of fulfilling all support obligations themselves, many find it difficult to do so. In such cases, they may outsource these support services to registered support organizations.

The fees for registered support organizations vary depending on the provider and the extent of services offered, but initial fees typically range from JPY 300,000 to 400,000 per foreign worker, with ongoing monthly support fees of approximately JPY 20,000 to 40,000.

Reference: Ministry of Health, Labour and Welfare, “Handling of Staffing Standards for Foreign Care Workers,” p.25

Hiring Through the Technical Intern Training Program

Recruitment Process

Accepting Indonesian technical intern trainees requires coordination with intermediary organizations on both the Indonesian and Japanese sides.

The sending organizations in Indonesia are called Sending Organizations (SOs). Many SOs also hold qualifications as Vocational Training Institutions (LPKs), so they are often better known by that name. On the Japanese side, there are Supervisory Organizations responsible for guidance and audits of accepting institutions.

The maximum residence period under the Technical Intern Training Program is five years. As mentioned earlier, it is possible to transition to the Specified Skilled Worker status or obtain the “Kaigo” residence status by passing the national certified care worker examination.

Advantages and Disadvantages

Quality of Care Workers

The Technical Intern Training Program is designed primarily for the transfer of skills to foreign nationals, enabling them to acquire Japanese technology. A disadvantage of the system is the possibility of dispatching trainees with little or no prior caregiving knowledge.

Candidates are required to have at least JLPT N4 level Japanese proficiency, the same as for the Specified Skilled Worker Program.

Employment Stability

The maximum residence period for caregiving technical intern trainees is five years. Trainees must also take skill evaluation tests at each stage of the training period. Family accompaniment is prohibited, and the system imposes many restrictions, so accepting institutions must provide thorough support.

After completing training, trainees may switch to Specified Skilled Worker status or obtain the “Kaigo” residence status by passing the national exam. This allows employers to retain diligent and long-serving trainees as regular employees.

Cost Considerations

According to a 2022 survey by the Ministry of Health, Labour and Welfare, the average total cost paid to Supervisory Organizations before and during the start of work for one technical intern trainee is approximately JPY 550,000 (about USD 3,520*), including cases from countries other than Indonesia. The average monthly fee paid to Supervisory Organizations after work commencement is approximately JPY 44,000.

Some receiving institutions deduct fees paid to Supervisory Organizations from the trainees’ salaries, although this practice is prohibited.

Despite this, the perception that trainees are “cheap labor” is incorrect, as foreign workers, including trainees, must receive wages equivalent to Japanese workers in similar roles.

Reference: Ministry of Health, Labour and Welfare, “Handling of Staffing Standards for Foreign Care Workers,” p.24


Trouble Experienced During Company Establishment
  • Domestic corporation

    Recruitment Agency

    We set up a domestic capital company in Indonesia using the name of a former employee from Japan’s Specified Skilled Worker program. At first, communication was smooth, but once the business became profitable, they claimed ownership, seized bank accounts and contracts, and disrupted client relations. A contract was in place but ineffective, leaving us to regret relying solely on trust.

  • Foreign-owned corporation

    Machinery Manufacturer

    We hired a local consulting firm to set up our foreign-owned company in Indonesia, but responses were slow and explanations kept changing. Repeated requests for extra documents and shifting requirements disrupted our schedule, and the process took nearly a year, delaying our business launch. We learned the importance of clearly defining project management and responsibilities in the contract.

Company Formation in Indonesia

Residence Status “Kaigo” (Nursing Care)

Recruitment Process

There are mainly two routes to be hired under the “Kaigo” residence status.

The first route involves foreign students training to become certified care workers. In this case, students undertake at least two years of training at a certified care worker training institution and then take the national certification examination. Their residence status remains “Student” until they pass the exam, after which it changes to “Kaigo.”

The second route is through the hiring of technical intern trainees or specified skilled workers. These individuals undergo three or more years of practical training before taking the national certification examination. Upon passing, they can obtain the “Kaigo” residence status.

Advantages and Disadvantages

Quality of Care Workers and Employment Stability

The “Kaigo” residence status requires passing the national certified care worker examination, allowing employers to hire foreign workers on the same basis as Japanese care workers. Those with this status are permitted to engage in home care services and are expected to have sufficient Japanese proficiency.

Although some uncertainty exists about foreigners eventually returning to their home countries, this is comparable to turnover seen among Japanese care workers due to family reasons. The “Kaigo” residence status has no limit on the number of renewals and permits family accompaniment.

Cost Considerations

While there are training costs associated with developing care workers from technical intern trainees, once they obtain the “Kaigo” residence status, no special fees such as training expenses or intermediary commissions are required.


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Hiring Through the Economic Partnership Agreement (EPA)

Recruitment Process

The Japan International Corporation of Welfare Services (JICWELS) is the sole coordinating organization for accepting EPA nurse and certified care worker candidates. Institutions wishing to accept candidates register job postings and conclude employment placement contracts through an annual online system operated by JICWELS.

Indonesian candidates must have completed a three-year Diploma III (D3) program or higher in nursing and hold a valid Indonesian nursing license. Applicants submit required documents to regional Indonesian Migrant Worker Protection Service Centers (BP3MI), undergo screening, and register as candidates. Interviews and matching are conducted by JICWELS, followed by employment contract signing.

Reference: BP2MI “G to G Japan”

Advantages and Disadvantages

Quality of Care Workers and Employment Stability

Indonesian candidates registered under the EPA program generally have completed nursing courses at vocational schools or universities. Although Indonesia lacks a dedicated caregiver qualification, the candidates are formally educated professionals. Their Japanese proficiency is typically at JLPT N4 level, which is not high compared to other residence statuses.

EPA certified care worker candidates who obtain national certification can renew their residence status indefinitely and bring family members. If they do not acquire certification within the expected period, extensions or transitions to the Specified Skilled Worker Program are possible. Certified care workers may also engage in home care services.

Cost Considerations

Accepting EPA certified care worker candidates requires payment of various fees to JICWELS in Japan and BP2MI in Indonesia.

For the 2025 fiscal year, JICWELS estimates total acceptance costs at approximately JPY 583,400 (about USD 3,730*). This includes job application fees, referral fees, residence management fees, Japanese language training (if needed), and BP2MI fees. Residence management fees of about JPY 10,000 to 20,000 per candidate are paid annually.

Initial costs are comparable to those for technical intern trainees, but ongoing costs are relatively lower.

*Reference: Japan International Corporation of Welfare Services, “Overview of Acceptance of EPA Foreign Nurses and Certified Care Workers|2025 Guide for EPA Certified Care Worker Candidates”

The benefits of choosing our company for your visa application
When outsourcing a visa application to a company, the estimated cost is generally about the same everywhere. Therefore, we offer the following benefits in addition to price.

We create a WhatsApp group, allowing you to contact us anytime for free if any issues arise during your business trip. Unexpected troubles can occur during on-site visits, but with our team-based support, we can resolve problems quickly and efficiently.

The Current Situation of Care Workers in Indonesia

Perceptions of Caregiving in Indonesia

In Indonesia, caregiving is generally done by family members at home. Many Indonesians perceive nursing homes as places for “unfortunate elderly people with no relatives,” and both elderly individuals and their children often consider placing parents in such facilities as “unfilial.”

Moreover, for many young Indonesians, elderly individuals requiring care are rare. Although life expectancy has increased recently, historically many people passed away from diseases like diabetes or hypertension soon after age 60, and very few lived long enough to require caregiving.

Care Workers in Indonesia

Although there are many Indonesians choosing to become care workers in Japan, this does not mean that Indonesia has an oversupply of care workers.

While family caregiving is predominant, demand for institutional care is growing, and care workers are needed. However, many Indonesian care workers choose to work overseas due to differences in salary and other factors, leading to domestic shortages.

Monthly salaries for Indonesian nurses and care workers range from IDR 2,500,000 to 6,000,000 (approximately USD 155 to 370*), with starting salaries noted as the lowest in Asia according to OECD data. Many Indonesians do not originally intend to work as care workers domestically and pursue the field mainly to work abroad.

Surprises of Indonesian Care Workers in Japanese Care Facilities

Indonesian care workers in Japan are often surprised by the advanced facilities available, which contrast with the outdated equipment common in Indonesian medical institutions.

They are also impressed by the thorough support provided to each resident, which challenges their preconceived notions of nursing homes as places for “unfortunate elderly people.”

Valued Indonesian Care Workers

When hiring Indonesian care workers, differences in language, culture, and religion must be considered carefully.

However, it would be regrettable to forgo hiring based on stereotypes such as “Indonesians are not punctual” or “Muslims are difficult to manage.”

Indonesians are regarded as well-suited for caregiving roles due to their strong family values, diligence, cheerful personalities, and sociability. Many Indonesian care workers receive high evaluations from care facilities, residents, and their families.

Companies interested in hiring Indonesian care workers are encouraged to contact PT. TRICRUISE MARKETING INDONESIA.

The benefits of choosing our company for your visa application
When outsourcing a visa application to a company, the estimated cost is generally about the same everywhere. Therefore, we offer the following benefits in addition to price.

We create a WhatsApp group, allowing you to contact us anytime for free if any issues arise during your business trip. Unexpected troubles can occur during on-site visits, but with our team-based support, we can resolve problems quickly and efficiently.

What systems are available for hiring Indonesian care workers?

Systems for hiring Indonesian care workers include the Specified Skilled Worker program, the Technical Intern Training program, the “Kaigo” residence status, and the Economic Partnership Agreement (EPA).

What are the advantages of hiring Indonesian care workers under the Specified Skilled Worker program?

Foreign nationals working under the Specified Skilled Worker program come to Japan after passing the Japanese language test and the skills examination. Since they have acquired a certain level of knowledge and skills, they have the advantage of being immediately effective in the workplace.

How much is the salary for Indonesian care workers as technical intern trainees?

Regardless of residence status, foreign workers—including technical intern trainees—are stipulated to receive wages equal to or greater than those paid to Japanese workers performing the same duties.