REGULATION OF MANPOWER AND TRANSMIGRATION REPUBLIC OF INDONESIA REG.

NUMBER 09/MEN/VII/2010 ABOUT OPERATORS AND PERSONNEL OF LIFTING AND LOADING MACHINES WITH GOD'S BLESSING MINISTRY OF MANPOWER AND TRANSMIGRATION REPUBLIC OF INDONESIA Measure: Since the usage of different types and capacities of lifting and loading machines has increased, the Ministry of Manpower Regulations Number 01/MEN/1989, about Qualification and Terms and Conditions for Crane Operators have needed to be refined according to Ministry policy. Overview: 1. Regulation Number 1/1970 about Labor Safety (attachment: Indonesian Government Paper Work Number 1, Paper Work Number 2918). 2. Regulation Number 13/2003 about Employment (attachment: Indonesian Government Paper Work Number 13/2003, Paper Work Number 4279). 3. Regulation Number 32/2004 about Local Government (attachment: Indonesian Government Paper Work Number 125/2004, Paper Work Number 4437). 4. Regulation of Republic of Indonesia Number 38/2007 about Job Division between Central Government, Provincial Government, and Regency Government. 5. The President of Indonesia Regulation Number 21/2010 about Manpower Supervision. 6. The President of Indonesia Judgment Number 84/P/2009 7. Regulation of Manpower Minister of Republic of Indonesia Number PER.05/MEN/1985 about Lifting and Loading Machines. Decision: Stipulation: MINISTRY OF MANPOWER AND TRANSMIGRATION REGULATION ABOUT OPERATOR AND WORKERS OF LIFTING AND LOADING MACHINES.

CHAPTER 1 GENERAL RULES Article 1 This Ministry Regulation clarifies that: 1. An Operator is a qualified employee who has specific skills and capabilities to operate lifting and loading machines. 2. Personnel (Petugas) are qualified employees who have specific skills and capabilities regarding lifting and loading machines and consist of Riggers and Technicians.

3. A Rigger is a qualified employee who has specific skills and capabilities in rigging machines along with helping the lifting operations run smoothly. 4. A Technician is an employee who is doing maintenance for the machines. 5. A Lifting and Loading Machine is a piece of equipment used to load and lift cargo or people vertical or horizontally for a determined distance. 6. A Lifting Machines is a piece of equipment made specifically to lift and load cargo. 7. A Conveyor Machine is a piece of equipment that moves cargo continually by using the belt. 8. A Construction Hoist is a machine that moves cargo or people by using a steering wheel in or outside of the machine and moves them above the platform or surface area. 9. A Transporter Machine is a machine that works on tracks (rails). 10. License of Labor Health and Safety (K3 License) is a license that an Operator must have to operate a machine based on the skills and qualifications required for operating lifting and loading machines. 11. A log book is a log that an operator must have to note all operations based on the skills and qualifications required for operating lifting and loading machines. 12. A Supervisor is an officer who leads a project on-site or directs something else that is not work related. 13. An Entrepreneur is: a. An individual, a partnership, or a corporation that operate(s) his/their own company. b. An individual, a partnership, or a corporation that operate(s) a company belonging to another entity. c. An individual, a partnership, or a corporation in Indonesia that represents a company outside of Indonesia. 14. A Manpower Supervisor is an appointed officer that supervises all manpower system according to the stipulated regulations. 2

15. The Director General is a general director that is overseeing all manpower activities. Article 2 This Ministry Regulation manages qualifications, terms and conditions, authority, and obligations of the operators and personnel of lifting and loading machines. Article 3 The entrepreneur (pengusaha) or managers must not hire any operator and/or machine driver that does not have a K3 License and log book. Article 4 The number of hired operators has to meet required qualifications based on the type and capacity of the machines as mentioned in this Ministry Regulation Attachment. CHAPTER II QUALIFICATIONS AND TERMS/CONDITIONS FOR LIFTING AND LOADING MACHINES OPERATORS AND PERSONNEL Part 1 Lifting and Loading Operator Article 5 (1) Lifting and Loading machines are only operated by an operator with a K3 License and a log book based on machine type and its required qualifications. (2) The operators as mentioned in number (1) include lifting machines operators, conveyor belt operators, construction hoist operators, and rail transport machine operators. First Paragraph Lifting Machine Operator Article 6 (1) Lifting Machine Operators work on mechanical jacks, pulley blocks, passenger hoists, hydraulic machines, pneumatic machines, gondolas, mobile cranes, braid cranes, pedestal cranes, tower cranes, gantry cranes, overhead cranes, portal cranes, magnet cranes, locomotive cranes, rotary cranes, and pile drivers. (2) The Lifting Machines Operators, as mentioned in Article 1, are classified as follows: a. Operator 1st class b. Operator 2nd class c. Operator 3rd class 3

(3) The classification as mentioned in number (2) doesn't apply to gondola operators, mechanical jacks, pulley blocks, and pile drivers. Article 7 (1) Machine Operators as mentioned in Article 6, number 2a, have to meet the following conditions: a. Graduated at least from SLTal (vocational high school). b. At least 5 years of related experience. c. Good health based on a doctors recommendation. d. At least 23 years old. e. Holds a K3 License and a log book. (2) Machines Operators as mentioned in Article 6, number 2b, have to meet the following conditions: a. Graduated at least from SLTal (vocational high school). b. At least 3 years of related experience. c. Good health based on a doctors recommendation. d. At least 21 years old. e. Holds a K3 License and a log book. (3) Machines Operators as mentioned in Article 6, number 2c, has to meet the following conditions: a. Graduated at least from SLTP (junior high school). b. At least 1 year of experience. c. Good health based on a doctors recommendation. d. At least 19 years old. e. Holds a K3 License and a log book. (4) Gondola Operators, Mechanical Jack, Pulley Block, and Pile driver operators, as mentioned in Article 6, number 3, have to meet the following conditions: a. Graduated at least from SLTP (junior high school) b. At least one year of related experience. c. Good health based on a doctors recommendation. d. At least 19 years old. e. Holding a K3 license and log book. Article 8 A 3 class Operator may become a 2 class Operator, and a 2nd class Operator may become a 1st class Operator based on the conditions below: a. Has had experience as an Operator of his/her class for at least 2 consecutive years; and, b. has passed the operators test according to the required qualifications.
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Second Paragraph The Conveyor Belt Operators Article 9 The Conveyor Belt Operators include escalator operator, conveyer belt, and chain belt. Article 10 The Conveyor Belt Operators as mentioned in Article 9 have to meet the following conditions: a. Graduated at least from SLTP (junior high school). b. At least two years of related experience. c. Good health based on a doctors recommendation. d. At least 20 years old. e. Hold a K3 License and a log book. Third Paragraph Construction Hoist Operators Article 11 The Construction Hoist Operators include dump truck, tow truck, hazardous duty truck, tractor, cable car, shovel, excavator/back hoe, compactor, rolling machine, bulldozer, loader, tandem roller, tire roller, grader, side boom, forklift, and/or lift truck operators. Article 12 The forklift operators and/or lift truck operators as mentioned in Article 11 are classified as below: a. Operator of 1st class machines b. Operator of 2nd class machines Article 13 The construction hoist operators as mentioned on Article 11 have to meet conditions as below (except the forklift and/or lift truck operators): a. Graduated at least from SLTP (junior high school). b. At least one year of related experience. c. Good health based on a doctors recommendation. d. At least 19 years old. e. Hold a K3 License and a log book. Article 14 (1) The Forklift and/or Lift Truck Operators as mentioned in Article 12a have to meet the following conditions: a. Graduated at least from SLTA (high school). b. At least 3 years of related experience. c. Good health based on a doctors recommendation. 5

d. At least 21 years old. e. Hold a K3 License and a log book. (2) Forklift and/or Lift Truck operators as mentioned in Article 12b have to meet the following conditions: a. Graduated at least from SLTP (junior high school). b. At least 1 year of related experience. c. Good health based on a doctors recommendation. d. At least 19 years old. e. Hold a K3 License and a log book. Article 15 The forklift and/or lift truck operators of 2 class machines may become operators of the 1st class with the following conditions: a. Has practiced as the required operator of 2nd class for at least 2 years ongoing. b. Has passed the test as forklift and/or lift truck operators.
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Fourth Paragraph Article 16 The rail machine operators include locomotive operators and lorry operators. Article 17 The rail machine operators as mentioned in Article 16 have to meet the following conditions: a. Graduated at least from SLTN (vocational high school). b. Have at least 1 year of experience. c. Good health based on a doctors recommendation. d. At least 19 years old. e. Hold a K3 License and a log book. PART 2 Lifting and Loading Machine Officers Article 18 (1) Lifting and Loading Machines Officers may be assisted by personnel that have a K3 License and a log book. (2) Lifting and Loading Machines Officers as mentioned in number 1 include Riggers and Technicians.

First Paragraph Riggers Article 19 The riggers, as mentioned in Article 18 number 2, have to meet the following conditions: a. Graduated at least from SLTP (junior high school). b. At least 1 year of related experience. c. Good health based on a doctors recommendation. d. At least 19 years old. e. Hold a K3 License and a log book. Second Paragraph Technicians Article 20 Technicians, as mentioned in Article 18 number 2, have to meet the following conditions: a. Graduated at least from SLTA (high school) and/or has at least three years of field experience. b. Good health based on a doctors recommendation. c. At least 21 years old. d. Hold a K3 License and a log book. CHAPTER III PROCEDURE FOR GETTING THE K3 LICENSE AND THE LOG BOOK Article 21 The K3 license and the log book for operators or personnel of loading and lifting machines are issued by the General Director or appointed officers. Article 22 (1) To get the K3 license and the log book for operators or personal of loading and lifting machines, as referred to in Article 21, the business representative or officer has to apply to the General Director along with these attachments: a. A transcript copy from last place of education. b. A reference letter from current place of employment about the persons experience as lifting and loading machines operator. c. Good health report from a doctor. d. A copy of ID card. e. A copy of competency certificate based on type and qualification; and, f. 3 photos that are 2x3 cm and 2 photos that are 4x6 cm. (2) The application documents, as mentioned in number 1, will be checked by a team. 7

(3) After the team gives approval of the application (as mentioned in number 2), the General Director will issue the K3 License and the log book. Article 23 (1) The K3 License and the log book are good for 5 years, and are allowed to be extended for another 5 years. (2) A permission letter will be needed to extend the license and the log as mentioned in number 1. It will be given to the General Director along with these attachments: a. Previous license (K3 License). b. Previous log book assigned by supervisor. c. A recommendation letter from a doctor. d. A copy of ID card. e. A copy of competency certificate based on type and qualification. f. 3 photos that are 2x3 cm and 2 photos that are 4x6 cm. Article 24 If the competency certificate (K3 License) as mentioned in Article 22 number 1e and Article 23 number 2 has not been completed, then a provisional K3 coaching certificate can be used which is issued by the Director General. Article 25 The log book must be corrected by a supervisor every 3 months. Article 26 The K3 license and log book are useable as long as the operator is working at the company that applied for the license and the log. Article 27 The K3 license and log book will be taken away if the operators: a. Are doing different jobs or tasks that are not according to their license. b. Are making dangerous mistakes or accidents. c. Are not doing his/her job as required as mentioned in Article 34.

CHAPTER IV OPERATOR AND OFFICER COMPETENCIES Article 28 (1) The Class 1 machine operators, as mentioned on Article 6 number 2a, will be competent to: a. Operate the types of lifting machines that have more than 100 ton capacity or the ability to reach more than 60 meters. b. Supervising and guiding 2nd class and/or 3rd class operators if they need to be accompanied by them. (2) The operator of 2nd class machines, as mentioned in Article 6 number 2b, will be competent to: a. Operate the types of lifting machines with 25 up to 99 ton capacity or with the ability to reach from 40 to 60 meters high. b. Supervising and guiding 3rd class operators if they need to be accompanied by them. (3) The operator of 3rd class machines, as mentioned in Article 6 number 2c, needs to be competent to operate the types of lifting machines with less than 25 ton capacity or with the ability to reach 40 meters. (4) The operator of gondolas, mechanical jacks, pulley blocks, and pile drivers, as mentioned in Article 6 number 1, needs to be competent to operate gondola, mechanical jack, pulley block, and pile drivers. Article 29 The Conveyor Belt Operators, as mentioned in Article 9, will be competent to operate escalators, conveyer belts, and chain belts. Article 30 (1) The Construction Hoist Operators as mentioned in Article 11 will be competent to operate dump trucks, tow trucks, hazardous duty trucks, tractors, cable cars, shovels, excavators/backhoes, compactors, rolling machines, bulldozers, loaders, tandem rollers, tire rollers, graders, side booms, forklifts, and/or lift trucks. (2) The Class 1 forklift operators and/or lift truck operators as mentioned in Article 12a need competency to: a. Operate types of forklifts and/or lift trucks with more than 15 ton capacity b. Supervising and guiding 2nd class operators. (3) The 2nd class forklift operators and/or lift truck as mentioned in Article 12b will be competent to operate forklifts and/or lift trucks that have a 15 tons maximum capacity. Article 31 The rail machine operators as mentioned in Article 16 must be competent to operate locomotives and lorries.

Article 32 The riggers as mentioned on Article 18 number 2 need competency to: a. Rig cargo or material according to procedure. b. Give commands about the lifting and loading machine operations. Article 33 Technicians, as mentioned in Article 18 number 2, will be competent to: a. Sett up, fix up, or do any maintenance for the machines. b. Check up, turn on, and evaluate the machines. CHAPTER V OPERATOR AND PERSONNEL DUTIES Article 34 (1) Lifting and Loading Machine Operators have the duty to: a. Meet all regulations and prioritize safety. b. Assist the supervisor on duty in supervising machine operations and check-up on the systems. c. Writing in the log book and making a report of all duties. CHAPTER VI TRAINING OF SAFETY AND HEALTH ISSUES AT WORK Article 35 (1) K3 training for lifting and loading machine operators and officers will be held by: a. A certain agency that works and is responsible to the local government related to manpower issues. b. A service company that provides safety and health issues training, that is appointed by the General Director, and that cooperates with an agency that works for and is responsible to the local government. (2) The company is allowed to do an in-house training by applying to the local agency that works and is responsible to the local government for issues related to manpower. (3) The K3 mentoring lessons for lifting and loading machine operators and officers are created by the Director General. CHAPTER VII SUPERVISION Article 36 An appointed officer of the Manpower Department will be supervising all works related to meeting these Ministry Regulations. 10

CHAPTER VIII PENALTY Article 37 The penalty of Regulation Number 1/1970 will be given to any business representative or manager who is hiring a driver without the K3 License and the log book, and who does not meet the required qualifications as mentioned in Articles 3 and 4. CHAPTER IX SWITCHOVER (TRANSITION) REGULATIONS Article 38 (1) Operator and personnel that have a valid K3 License before this minister regulation is not yet issued are allowed to use it until expired. (2) When the license is expired, the owner should extend the license as mentioned in number 1 based on the procedure mentioned in Article 23. CHAPTER X CLOSING REGULATION Article 39 This Ministry Regulation declares that Manpower Ministry Regulation Number PER.01/MEN/1989 about Qualification and Terms and Conditions of Cranes Operators is no longer valid. Article 40 This Ministry Regulation is valid on the date of issue. It has been announced on the National News of Republic of Indonesia. Place of issue: Jakarta Date of issue: July 13, 2010 MANPOWER AND TRNSMIGRATION REPUBLIC OF INDONESIA Drs. H.A. MUHAIMIN ISKANDAR, M.Si. Announced in Jakarta 13 July 2010 LAW AND HUMAN RIGHTS MINISTER REPUBLIC OF INDONESIA PATRIALISAKBAR, SH. NATIONAL NEWS OF REPUBLIC OF INDONESIA 2010 NUMBER 340 11