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Notification Of Termination Of Employment for Indonesia

Notification Of Termination Of Employment Template for Indonesia

A Notification of Termination of Employment is a formal document used in Indonesia to officially communicate the termination of an employment relationship. This document must comply with Indonesian labor laws, particularly Law No. 13 of 2003 on Manpower (as amended by the Job Creation Law) and related regulations. It includes essential information such as the termination date, grounds for termination, notice period details, and final settlement calculations including severance pay and other entitlements as prescribed by Indonesian law. The document serves as a legal record of the termination and outlines both parties' rights and obligations during the termination process.

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Notification Of Termination Of Employment

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What is a Notification Of Termination Of Employment?

The Notification of Termination of Employment is a crucial document in Indonesian employment relations that must be prepared and delivered in accordance with strict legal requirements. It is used when an employer needs to formally terminate an employee's employment contract, whether due to performance issues, redundancy, mutual agreement, or other legally acceptable grounds. The document must comply with Law No. 13 of 2003 on Manpower and its amendments, including the Job Creation Law No. 11 of 2020. It should contain specific details about the termination, including the legal basis, effective date, notice period, and calculation of final entitlements. This notification serves as an official record of the termination and can be crucial in preventing or resolving potential employment disputes. The document's format and content must reflect the mandatory requirements of Indonesian labor law while maintaining professional communication standards.

What sections should be included in a Notification Of Termination Of Employment?

1. Letter Header: Company letterhead including full legal name, address, and registration number

2. Date and Reference Number: Formal date and company's reference number for the termination notice

3. Employee Details: Full name, employee ID, position, and department of the employee being terminated

4. Subject Line: Clear indication that this is a termination notice

5. Legal Grounds: Specific reference to the applicable provisions of Indonesian labor law and internal company regulations justifying the termination

6. Termination Date: Clear statement of the effective date of termination

7. Notice Period: Details of the notice period being given or payment in lieu of notice

8. Final Settlement: Overview of final payments including salary, severance pay, and other entitlements as per Indonesian law

9. Company Property: Request for return of company property and documentation

10. Signature Block: Space for authorized company representative's signature, name, and title

What sections are optional to include in a Notification Of Termination Of Employment?

1. Reason for Termination: Detailed explanation of termination reasons - required when termination is for cause but optional for mutual agreement or resignation

2. Performance History: Summary of performance issues and previous warnings - include only in cases of performance-based termination

3. Transition Responsibilities: Details of handover requirements - include when employee holds critical position or has ongoing projects

4. Non-Compete/Confidentiality Reminder: Reminder of ongoing obligations - include when employee had access to sensitive information or signed restrictive covenants

5. Reference Offer: Statement about providing employment references - optional for amicable terminations

6. Outplacement Support: Details of any career transition support offered - include when company provides such benefits

What schedules should be included in a Notification Of Termination Of Employment?

1. Schedule A - Severance Payment Calculation: Detailed breakdown of severance pay, reward for years of service, and compensation rights as per Indonesian labor law

2. Schedule B - Final Payment Details: Itemized list of final payment components including pro-rated salary, unused leave, and other benefits

3. Schedule C - Company Property Checklist: List of company assets to be returned including IT equipment, access cards, and documents

4. Schedule D - Employee Clearance Form: Checklist for various department clearances required before final settlement

Authors

Alex Denne

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

Jurisdiction

Indonesia

Publisher

Genie AI

Document Type

Termination Letter

Cost

Free to use
Relevant legal definitions

























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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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