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Assignment Employment Contract Template for Indonesia

This document is an Assignment Employment Contract governed by Indonesian law, specifically compliant with Law No. 13/2003 on Manpower and Government Regulation No. 35/2021. It establishes a fixed-term employment relationship for specific project or temporary work assignments, detailing the terms and conditions of employment, including position, duties, duration, compensation, benefits, and other rights and obligations of both parties. The contract ensures compliance with Indonesian labor regulations while providing clear parameters for temporary or project-based employment relationships.

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What is a Assignment Employment Contract?

The Assignment Employment Contract is a specialized employment agreement designed for temporary or project-based work arrangements in Indonesia. This document is essential when companies need to engage employees for specific projects, temporary replacements, or time-bound assignments. The contract must comply with Indonesian labor laws, particularly Law No. 13/2003 on Manpower and Government Regulation No. 35/2021, which set strict requirements for fixed-term employment agreements (PKWT). The document includes comprehensive details about the assignment's scope, duration, compensation, and conditions, while ensuring all mandatory benefits and protections under Indonesian law are properly addressed. It's particularly useful for companies managing project-based work, temporary staff augmentation, or specialized short-term roles where a standard permanent employment contract would not be appropriate.

What sections should be included in a Assignment Employment Contract?

1. Parties: Identification of the employer and employee with complete legal names and addresses

2. Background: Context of the employment assignment, including the business need and nature of the temporary position

3. Definitions: Key terms used throughout the agreement, including specific Indonesian employment terminology

4. Term of Assignment: Duration of the assignment, including start and end dates, and any provisions for extension

5. Position and Duties: Detailed description of the role, responsibilities, and reporting structure

6. Place of Work: Location(s) where the work will be performed, including any travel requirements

7. Working Hours: Specified working hours, rest periods, and overtime arrangements in compliance with Indonesian labor law

8. Compensation and Benefits: Salary, allowances, bonuses, and statutory benefits including BPJS participation

9. Leave Entitlements: Annual leave, sick leave, and other statutory leave entitlements

10. Confidentiality: Protection of company confidential information and trade secrets

11. Intellectual Property: Ownership of work products and intellectual property created during employment

12. Performance Evaluation: Performance assessment criteria and review process

13. Termination: Conditions and procedures for early termination of the assignment

14. Governing Law: Application of Indonesian law and jurisdiction

15. Dispute Resolution: Process for resolving employment-related disputes

16. Entire Agreement: Integration clause and relationship to other agreements

What sections are optional to include in a Assignment Employment Contract?

1. Probation Period: Optional trial period at the beginning of employment (note: not typically applicable for fixed-term contracts under Indonesian law)

2. Non-Competition: Restrictions on working for competitors during and after employment (subject to Indonesian law limitations)

3. Training Requirements: Specific training or certifications required for the position

4. Mobility Clause: Provisions for potential temporary or permanent relocation

5. Performance Bonus: Additional compensation based on performance metrics

6. Insurance Coverage: Additional insurance beyond statutory requirements

7. Equipment and Resources: Company-provided tools and resources for the assignment

What schedules should be included in a Assignment Employment Contract?

1. Schedule A - Job Description: Detailed description of roles, responsibilities, and performance expectations

2. Schedule B - Compensation Structure: Breakdown of salary components, allowances, and benefits

3. Schedule C - Company Policies: Applicable company policies and procedures

4. Schedule D - Confidential Information: Specific types of confidential information covered by the agreement

5. Schedule E - Work Location Details: Specific information about work location(s) and facilities

6. Schedule F - Performance Metrics: Detailed performance evaluation criteria and targets

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

Indonesia

Cost

Free to use

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