The Employee Termination Confidentiality Agreement is a critical document used in Indonesia when ending employment relationships to safeguard an organization's sensitive information. It should be implemented whenever an employee with access to confidential information, trade secrets, or proprietary data leaves the organization, whether through resignation, termination, or mutual agreement. The document complies with Indonesian employment law framework, including Law No. 13 of 2003 on Manpower and Law No. 30 of 2000 on Trade Secrets, while incorporating requirements from the recent Personal Data Protection Law (Law No. 27 of 2022). This agreement typically accompanies the main termination documentation and outlines specific obligations regarding confidentiality, return of company property, and post-employment restrictions. It's particularly important in protecting the company's intellectual property, customer relationships, and business strategies after the employment relationship ends.
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1. Parties: Identification of the employer and the departing employee, including their full legal names and addresses
2. Background: Context of the employment relationship, reference to the termination, and purpose of the confidentiality agreement
3. Definitions: Detailed definitions including 'Confidential Information', 'Trade Secrets', 'Intellectual Property', and other key terms
4. Acknowledgment of Termination: Confirmation of employment termination date and reference to separate termination documentation
5. Scope of Confidential Information: Comprehensive description of what constitutes confidential information under the agreement
6. Confidentiality Obligations: Detailed obligations regarding non-disclosure, non-use, and protection of confidential information
7. Return of Company Property: Requirements for returning all company documents, data, and materials containing confidential information
8. Duration of Obligations: Timeframe for which confidentiality obligations remain in effect
9. Breach and Remedies: Consequences of breaching the agreement and available legal remedies
10. Governing Law and Jurisdiction: Specification of Indonesian law as governing law and jurisdiction for disputes
1. Non-Disparagement: Optional clause preventing parties from making negative statements about each other, particularly relevant for senior employees
2. Cooperation in Legal Proceedings: Required when ongoing legal matters might need the employee's involvement or testimony
3. Survival of Other Obligations: Reference to surviving obligations from the employment agreement, used when original employment contract contains additional relevant terms
4. Data Privacy Compliance: Specific section addressing personal data handling under Indonesian data protection law, necessary when dealing with sensitive personal information
5. Third Party Rights: Inclusion of rights for group companies or related entities to enforce the agreement, relevant for corporate groups
6. Severance Payment Acknowledgment: Reference to severance payments if confidentiality obligations are tied to separation benefits
1. Schedule 1 - List of Confidential Information: Detailed categorization of specific confidential information covered by the agreement
2. Schedule 2 - Return of Property Checklist: Itemized list of company property, documents, and materials to be returned
3. Schedule 3 - Acknowledgment Form: Form for employee to confirm return of all confidential information and company property
4. Appendix A - Relevant Employment Agreement Excerpts: Key provisions from the original employment agreement that remain relevant
5. Appendix B - Data Privacy Guidelines: Specific guidelines for handling personal data in compliance with Indonesian law
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