A Retirement Letter Due To Old Age is a mandatory document under Indonesian employment law when an employee reaches the statutory retirement age. It serves as official documentation of employment termination due to retirement and is essential for processing retirement benefits and pension claims. The letter must comply with Law No. 13 of 2003 on Manpower (as amended by Job Creation Law No. 11 of 2020) and related regulations, including Government Regulation No. 45 of 2015 on Pension Security Program Implementation. This document is typically initiated by the HR department when an employee approaches the retirement age, and it requires careful attention to detail to ensure all legal requirements are met and all entitled benefits are properly documented.
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1. Header Information: Company letterhead, date, reference number, and formal business letter formatting
2. Addressee Details: Complete name and address of the employee, their employee ID, and current position
3. Subject Line: Clear indication that this is a retirement notification letter
4. Retirement Statement: Formal statement declaring retirement due to reaching retirement age, citing the relevant company policy or law
5. Effective Date: Clear specification of the last working day and retirement effective date
6. Service Acknowledgment: Recognition of the employee's years of service and contributions to the company
7. Benefits Statement: Brief mention of retirement benefits and entitlements as per company policy and law
8. Handover Requirements: Instructions regarding the handover of responsibilities, company property, and documentation
9. Closing: Formal closing with good wishes and contact information for future correspondence
1. Exit Interview Arrangement: Include when company policy requires an exit interview for retiring employees
2. Post-Retirement Consulting: Include when there's an agreement for the retiree to provide consulting services
3. Medical Benefits Continuation: Include when the company offers post-retirement medical benefits
4. Recognition Ceremony: Include when the company plans to hold a formal retirement ceremony or celebration
5. Pension Plan Details: Include when specific pension arrangements need to be highlighted
1. Service History Summary: Detailed record of employee's tenure, positions held, and major achievements
2. Benefits Calculation Sheet: Breakdown of retirement benefits, including pension, gratuity, and other entitlements
3. Clearance Checklist: List of items and processes to be completed before final retirement
4. Contact Information Form: Form for retiree's post-retirement contact details and benefit payment information
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