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Current Employment Letter for Indonesia

Current Employment Letter Template for Indonesia

An Employment Letter is a formal document used in Indonesia to establish and confirm the terms and conditions of employment between an employer and employee. The document must comply with Indonesian labor laws, particularly Law No. 13 of 2003 on Manpower and its amendments under Job Creation Law No. 11 of 2020. It outlines essential employment terms including position, compensation, working hours, benefits, and other conditions of employment while ensuring compliance with local labor regulations, minimum wage requirements, and mandatory social security provisions.

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Current Employment Letter

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What is a Current Employment Letter?

The Current Employment Letter serves as a fundamental document in Indonesian employment relationships, establishing the formal terms and conditions between an employer and employee. It is typically issued upon the successful completion of recruitment processes or when confirming changes to employment terms. The document must align with Indonesian labor laws, particularly Law No. 13 of 2003 on Manpower and its amendments under the Job Creation Law No. 11 of 2020. It includes essential information such as position, salary, working hours, benefits, and other employment terms while ensuring compliance with local minimum wage requirements, mandatory social security provisions, and other statutory obligations. This document is crucial for both employers and employees as it provides clear documentation of employment terms and helps prevent future disputes.

What sections should be included in a Current Employment Letter?

1. Company Letterhead and Date: Official company letterhead with complete company details and date of issuance

2. Employee Details: Full name, address, and identification number of the employee

3. Position and Employment Status: Job title, employment classification (permanent/fixed-term), and department

4. Commencement Date: Start date of employment and any probationary period if applicable

5. Compensation: Base salary, allowances, and payment schedule in accordance with Indonesian labor law

6. Working Hours: Standard working hours, days, and overtime arrangements

7. Leave Entitlements: Annual leave, sick leave, religious holidays, and other statutory leave entitlements

8. Social Security Benefits: BPJS Healthcare and Employment coverage as per Indonesian law

9. Primary Duties: Main responsibilities and scope of work

10. Reporting Structure: Direct supervisor or reporting relationships

11. Closing and Signatures: Acceptance clause, signature lines for both employer and employee

What sections are optional to include in a Current Employment Letter?

1. Non-Compete Clause: Used for senior positions or roles with access to confidential information, specifying restrictions on working with competitors

2. Confidentiality Provisions: Added for roles handling sensitive information or trade secrets

3. Performance Review: Include when company has specific performance evaluation cycles and bonus structures

4. Relocation Terms: Required when position involves relocation or multiple work locations

5. Additional Benefits: Optional benefits beyond statutory requirements such as insurance, educational assistance, or transportation allowance

6. Remote Work Provisions: Include if position allows for remote work arrangements

7. Commission Structure: Added for sales positions or roles with variable compensation components

What schedules should be included in a Current Employment Letter?

1. Job Description: Detailed outline of roles, responsibilities, and performance expectations

2. Benefits Schedule: Detailed breakdown of all benefits, allowances, and their calculations

3. Company Policies: Reference to or summary of key company policies applicable to the position

4. Code of Conduct: Summary of expected behavioral standards and professional conduct

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Indonesia

Publisher

Ƶ

Document Type

Employment Letter

Cost

Free to use
Relevant legal definitions




















Clauses




















Relevant Industries

Manufacturing

Technology

Financial Services

Retail

Healthcare

Education

Construction

Mining

Agriculture

Hospitality

Professional Services

Telecommunications

Energy

Transportation

Real Estate

Relevant Teams

Human Resources

Legal

Finance

Operations

Administration

Information Technology

Sales

Marketing

Research and Development

Customer Service

Production

Quality Assurance

Procurement

Business Development

Corporate Affairs

Relevant Roles

Chief Executive Officer

Director

Manager

Supervisor

Administrator

Specialist

Coordinator

Analyst

Engineer

Officer

Assistant

Representative

Consultant

Technician

Associate

Industries







Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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