Telkom Indonesia is the largest telecommunications service provider in Indonesia, with roots tracing back to 1906. It rebranded to its present name in 1991 and became partly private in 1995. In 2020, the company served 8 million fixed broadband subscribers and 170 million mobile subscribers through subsidiary Telkomsel, one of the largest mobile operators in Asia. The company has an extensive national fibre optic backbone in Indonesia and provides business and other services in ten other countries.
Telkom Indonesia demonstrates its support for affordable access to digital technologies by providing free internet access, Wi-Fi devices and computers in the least developed regions of Indonesia. The company also provides evidence that it offers products specifically designed for people with disabilities.
Telkom Indonesia is developing basic and intermediate digital skills in Indonesia through its #internetBAIK and IndonesiaNEXT programmes, both of which were launched in 2016. Since the launch of the programme IndonesiaNEXT has attracted more than 43 thousand registrants across 15 cities in Indonesia.
Telkom Indonesia supports the tech innovation ecosystem by providing venture capital in Indonesia, India, Singapore and the United States as well as operating an incubation programme and a hub through which it has supported more than 5,000 Indonesian start-ups since 2015.
Telkom Indonesia could expand its efforts in this area by increasing its support for digital inclusivity of women and girls. The company also has an opportunity to disclose how many people benefitted from the provision of Internet in the least developed regions of Indonesia as well as the impact of the programme. Since there is evidence that the company offers products designed for people with disabilities, it could report how it applies accessible design principles and seeks feedback from the disabled community in product design.
Telkom Indonesia could improve its performance by disclosing its financial contribution to its programmes focused on developing basic and intermediary digital skills. It could also commission a third party to conduct an impact assessment on both programmes. The company could further expand its efforts by setting up programmes that support technical skills development and school connectivity.
Apart from its support for start-ups, there is little evidence of Telkom Indonesia’s efforts in promoting open, sustainable, inclusive and ethical innovation. The company could also extend its support for start-ups and new ventures to those owned by people coming from under-represented groups.
Core social indicators
The core social indicators assess societal expectations of business conduct that companies should meet if they aspire to be part of a system transformation that leaves no one behind.
Telkom Indonesia commits to respect human rights in a public policy statement. However, there is no public evidence of the company committing to respect the ILO core labour rights, nor does the company disclose a process to identify, assess and mitigate the salient human rights risks associated with its own operations and business relationships. While Telkom Indonesia has a grievance mechanism for workers and external stakeholders to raise human rights concerns and complaints, it is unclear if complainants are able to choose to identify themselves or remain anonymous.
Telkom Indonesia publicly commits to respecting the health and safety of workers. In addition the company places health and safety expectations on its business relationships. However, the company does not state this expectation to its business relationships in a public policy document. The company discloses some information in relation to collective bargaining, but it does not disclose the proportion of workers covered by collective bargaining agreements. Furthermore, while Telkom Indonesia provides a breakdown of employees in different employee categories by gender, it does not disclose against any other indicators of diversity per employee category.
Telkom Indonesia does not disclose any relevant information in relation to tax, such as a global tax strategy or income tax payments for all of the company’s tax jurisdictions. However, the company does disclose that it does not engage in lobbying and political engagement. In relation to bribery and corruption, while Telkom Indonesia states that it ‘strives’ to have ethical business practices, it does not explicitly prohibit bribery and corruption. It does, however, include anti-bribery and anti-corruption clauses in contracts with its business relationships, and has a grievance mechanism for stakeholders to raise concerns and complaints in relation to the topic.