The governance of international migration in the context of decentralization is somewhat awkward. Debate occurs, particularly on the issue of whether it is a decentralized or centralized matter. It is debatable because overseas employment lies both in the area of employment and foreign affairs. Law No. 32/2004 concerning Regional Governance stipulates that employment is a decentralized matter, while foreign affairs are not.

Yet, the governance of Indonesia’s overseas employment is characterized with centralistic approach. One can obvious see it from the following angles. First, the ones in favor of centralistic governance usually make use of Article 33 and 34 of Law No. 13/2003 concerning Labor (Naekma and Pageh, 2009). These articles differentiate domestic employment from the overseas employment, leaving the latter to be regulated by another law, which is Law No. 39/2004 concerning the Placement and Protection of Indonesian Migrant Workers (PPTKI). Based on these provisions, these people then argue that domestic employment is decentralizable while overseas employment is not.

Second, the establishment of a vertical body as the operator of placement and protection of migrant workers reinforces the position of the central government that the governance of overseas employment is more of a centralistic matter. BNP2TKI (National Agency for the Placement and Protection of Indonesian Migrant Workers) has representative office, the so called Service Center on the Placement and Protection of Indonesian Migrant Workers (BP3TKI), in 19 migrant source provinces. It has no representative at the kabupaten (districts)/kota (municipality) level, except in 14 selected kabupaten/kota (BNP2TKI, 2011). 3 Moreover, the PPTKI law itself is never clear about the relationship between BP3TKI and the provincial and kabupaten/kota governments.

Third, Article 10 of PPTKI law authorizes the placement of Indonesian migrants to PPTKIS (private recruitment agency) and article 82 states that the preplacement protection is the responsibility of PPTKIS. Meanwhile 90% of PPTKIS is located in Jakarta. According to PPTKI law and Government Regulation No. 38/2007 concerning Division of Affairs between National and Subnational Governments, the responsibilities of issuing PPTKIS’ permit and licensing is all in the hand of central government. However, the decentralistic governance of emigration is also justified for several reasons. First, BNP2TKI (2009) admitted that 80% of problems facing the migrant workers occur domestically. Big problems such as identity fraud, cheat, extortion, detention, etc. happen at the local level and can be more effectively handled by the local government.

Second, one of the tangible gains of emigration is the remittance whose impact is more influential at the local level rather than the national level. At the same time, the pain of emigration is also more significantly experienced locally. It is, therefore, in the best interest of the local government to pursue good emigration governance to maximize the advantages and minimize the disadvantages of emigration.