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Salon Employee Contract Template for Indonesia

This document is a comprehensive employment contract tailored for salon workers in Indonesia, compliant with Indonesian labor laws including Law No. 13 of 2003 on Manpower and relevant health and safety regulations. The contract establishes the employment relationship between salon businesses and their employees, covering essential aspects such as duties, compensation, working hours, benefits, and safety protocols specific to the beauty industry. It includes provisions for both mandatory requirements under Indonesian law and industry-specific considerations for salon operations, ensuring proper protection for both employer and employee while addressing unique aspects of salon work such as client relationships and professional standards.

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What is a Salon Employee Contract?

The Salon Employee Contract is essential for formalizing employment relationships within Indonesia's beauty and wellness industry. This document should be used when hiring any salon staff member, whether full-time or part-time, in compliance with Indonesian labor laws. The contract encompasses all mandatory elements required by Indonesian employment legislation, particularly Law No. 13 of 2003 on Manpower, while addressing industry-specific needs such as service standards, client handling, and safety protocols for beauty treatments. It's designed to protect both the employer's business interests and the employee's rights, including provisions for compensation, benefits, working hours, and professional development specific to salon work. The contract is particularly important given the personal nature of salon services and the need to maintain professional standards in client care.

What sections should be included in a Salon Employee Contract?

1. Parties: Identification of the salon owner/company and the employee with complete legal names and addresses

2. Background: Brief context of the employment relationship and the salon's business

3. Definitions: Key terms used throughout the contract including job titles, workplace, and other relevant terminology

4. Position and Duties: Detailed description of the employee's role, responsibilities, and expected duties in the salon

5. Term of Employment: Duration of employment, whether fixed-term or permanent, and probationary period if applicable

6. Working Hours: Regular working hours, shift patterns, and overtime arrangements in compliance with Indonesian labor law

7. Compensation: Base salary, commission structure, overtime rates, and payment schedule

8. Benefits: Mandatory benefits under Indonesian law including social security (BPJS), health insurance, and leave entitlements

9. Health and Safety: Workplace safety requirements, hygiene standards, and protective equipment provisions

10. Confidentiality: Protection of salon's business information, client details, and trade secrets

11. Performance Standards: Expected service quality, client handling, and professional conduct requirements

12. Termination: Grounds for termination, notice periods, and severance arrangements as per Indonesian law

13. Governing Law: Specification of Indonesian law as governing law and jurisdiction for disputes

14. Signature: Execution clause and signature blocks for all parties

What sections are optional to include in a Salon Employee Contract?

1. Non-Compete: Restrictions on working for competing salons, used when employee has access to significant client base or trade secrets

2. Training Requirements: Specific training obligations and professional development requirements, included when salon provides specialized training

3. Equipment and Tools: Provisions regarding personal tools and equipment, included when employees are required to provide their own tools

4. Client Management: Specific rules about client relationships and bookings, used for senior stylists with regular clients

5. Social Media Policy: Guidelines for social media use and online presence, included when employees represent the salon online

6. Commission Structure: Detailed commission calculations and targets, used when offering performance-based compensation

7. Intellectual Property: Protection of styling techniques or unique methods developed by the salon, used for high-end or specialized salons

What schedules should be included in a Salon Employee Contract?

1. Schedule A - Job Description: Detailed breakdown of job responsibilities, required skills, and performance metrics

2. Schedule B - Compensation Structure: Detailed breakdown of salary, commission rates, and bonus calculations

3. Schedule C - Working Hours and Shifts: Detailed schedule of working hours, shift patterns, and break times

4. Schedule D - Salon Rules and Procedures: Internal policies, dress code, and operational procedures

5. Schedule E - Health and Safety Protocols: Detailed safety procedures, particularly for chemical treatments and equipment use

6. Schedule F - Training Requirements: List of required certifications, ongoing training requirements, and development programs

7. Schedule G - Employee Benefits: Detailed description of all benefits, including insurance coverage and leave entitlements

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

Jurisdiction

Indonesia

Publisher

Genie AI

Document Type

Employment Contract

Cost

Free to use

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