The Confirmation Of Termination Of Employment Letter is a crucial document in Indonesian employment practice, required whenever an employment relationship is formally terminated. It serves as official documentation of the termination, whether due to resignation, retirement, redundancy, or other reasons, and must comply with Indonesian Labor Law (Law No. 13 of 2003 as amended by Law No. 11 of 2020). This document is essential for both legal compliance and proper record-keeping, containing specific details about the termination terms, final settlements, and post-employment obligations. It protects both employer and employee interests by clearly documenting the termination conditions and ensuring all statutory requirements are met. The letter should be prepared in accordance with Government Regulation No. 35 of 2021 and other relevant ministerial regulations governing employment termination in Indonesia.
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1. Letter Header: Company letterhead, date, reference number, and formal business letter formatting
2. Employee Details: Full name, employee ID, position/title, and department of the employee
3. Termination Confirmation: Clear statement confirming the termination of employment and the effective date
4. Termination Basis: Legal basis for termination referring to relevant provisions of Indonesian labor law or employment contract
5. Final Settlement Details: Information about final salary, statutory severance pay, service pay, and other compensation as per Indonesian regulations
6. Company Property Return: List of company properties to be returned and deadline for return
7. Final Clearance Requirements: Steps the employee needs to take for final clearance
8. Closing Statement: Expression of appreciation and formal closing of the letter
9. Signature Block: Authorized signatory details including name, title, and company stamp
1. Non-Compete Reminder: Include when the employee's contract contains non-compete clauses that survive termination
2. Confidentiality Obligations: Include when reminding about ongoing confidentiality obligations post-employment
3. Reference Provision: Include when the company agrees to provide employment references
4. Garden Leave Details: Include when the employee is placed on garden leave during notice period
5. Outstanding Loans: Include when there are outstanding company loans or advances to be settled
6. Benefits Continuation: Include when certain benefits continue for a period post-termination
7. Mutual Release: Include when both parties agree to release each other from future claims
1. Final Settlement Calculation: Detailed breakdown of final payment including salary, severance, and other entitlements
2. Company Property Checklist: Itemized list of company properties to be returned
3. Employee Clearance Form: Form for obtaining clearance from various departments
4. Benefits Summary: Summary of benefits status and post-termination continuation details
5. Exit Interview Form: Standard exit interview documentation if required by company policy
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