This Full Employment Contract template is designed for use in establishing permanent employment relationships in Indonesia, ensuring compliance with Indonesian labor laws, particularly Law No. 13 of 2003 on Manpower and its amendments through the Job Creation Law No. 11 of 2020. The document should be used when hiring permanent employees in Indonesia, providing a legally compliant framework for employment terms and conditions. It includes all mandatory provisions required by Indonesian law, such as basic salary, allowances, social security benefits, leave entitlements, and working hours. The contract template is structured to accommodate various positions and industry sectors while maintaining compliance with local employment regulations, including recent updates to labor laws and implementing regulations.
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1. Parties: Identification of the employer and employee with complete legal names and addresses
2. Background: Brief context of the employment relationship and purpose of the agreement
3. Definitions: Key terms used throughout the agreement
4. Position and Duties: Employee's job title, role, responsibilities, and reporting structure
5. Commencement and Duration: Start date and term of employment (permanent/indefinite duration as per Indonesian law)
6. Probation Period: Details of the initial probation period (maximum 3 months as per Indonesian law)
7. Working Hours and Location: Standard working hours, workplace location, and overtime provisions
8. Remuneration and Benefits: Base salary, mandatory allowances, and statutory benefits
9. Leave Entitlements: Annual leave, sick leave, religious holiday leave, and other statutory leave rights
10. Social Security: BPJS Healthcare and Employment participation details
11. Company Policies: Adherence to company regulations and policies
12. Termination: Grounds and procedures for termination as per Indonesian law
13. Governing Law: Confirmation of Indonesian law governance and dispute resolution procedures
1. Confidentiality: Detailed confidentiality obligations for roles with access to sensitive information
2. Non-Competition: Post-employment restrictions, if applicable and reasonable
3. Intellectual Property: IP rights assignment for creative or technical roles
4. Mobility Clause: For positions requiring travel or potential relocation
5. Performance Reviews: Detail of performance evaluation procedures for management roles
6. Training Commitments: For positions requiring specific training or certification
7. Remote Working: For positions allowing work from home arrangements
8. Commission Structure: For sales or performance-based roles
1. Schedule 1 - Job Description: Detailed description of roles, responsibilities, and key performance indicators
2. Schedule 2 - Compensation Details: Breakdown of salary components, allowances, and benefits
3. Schedule 3 - Company Policies: Key company policies and procedures relevant to the position
4. Schedule 4 - Code of Conduct: Expected behavioral standards and ethical guidelines
5. Appendix A - Required Documents: List of documents required from employee (certificates, ID, etc.)
6. Appendix B - Benefits Summary: Detailed overview of all benefits and insurance coverage
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