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Labor & Employment Law Consultancy

Overview

Business Hub Asia offers a comprehensive Employment Law Service to assist organizations in understanding and complying with Indonesian labor law requirements. This service includes the creation of employment agreements, corporate policies, and the resolution of labor disputes, ensuring that business operations adhere to relevant labor regulations.

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Key Features

Employment Contract Drafting & Review

Drafting and reviewing employment contracts (PKWT, PKWTT, outsourcing) to comply with the Job Creation Law and the latest regulations.

Consultation on the Latest Labor Regulations

Provide an understanding of the rights and obligations of employers and employees, including wages, layoffs, leave, and benefits.

Company Regulation & Collective Labor Agreement Development

Developing Company Regulations or Collective Labor Agreements (CLAs) that are mandatory for companies with a certain number of employees.

Assistance in Dispute Resolution

Legal support in dealing with industrial relations disputes both within the company and through mediation/PHI channels.

Employment Audit and Compliance

Examination and evaluation of employment documents to ensure the company complies with the law and is ready for inspections from labor agencies.

Minimum Requirements

Company Legality

Company legality (NIB, Deed, NPWP)

Organizational Info

Organizational structure and list of employees

Contracts/Regulations

Draft or existing contract/regulation documents (if you want to review)

Labor Issues

Information related to labor issues that are being faced

Common Eligible Sectors

Manufacturing and labor-intensive industries

Service and trading companies

Start-ups and technology companies

Foreign companies (PMA)

Companies with outsourcing schemes and contract labor

Process and Timeline

1

Initial Consultation & Document Collection

Discussion to understand client needs regarding labor law, including drafting employment contracts and company regulations, or managing disputes. This process includes gathering necessary documents like employment contracts, company regulations, and other relevant materials. Estimated Time: 2-5 working days.

2

Analysis & Preparation of Legal Documents

Analysis of existing documents and preparation of new or revised legal documents following applicable labor regulations. Estimated Time: 3-5 working days.

3

Document Review & Finalization

Conduct a review with the client and finalize the legal documents that have been prepared to remain following the initial needs. Estimated Time: 2-3 working days.

4

Implementation & Assistance

Accompany clients in the implementation of legal documents and provide mediation or further consultation if needed. Estimated Time: Depending on the client’s needs.

*The estimated total time required is about 1-2 weeks if the consultation and implementation process goes without obstacles.

Important Consideration

  • The Job Creation Law and its derivatives bring significant changes in labor regulations.
  • Employment contracts, wages, and termination policies must follow the latest format and provisions.
  • Document discrepancies can lead to administrative sanctions and lawsuits.
  • This service is also relevant for companies that employ foreign workers.

Frequently Asked Questions

What is the difference between PKWT and PKWTT?

Non-permanent contracts (PKWT) apply to temporary jobs, while non-permanent contracts (PKWTT) apply to permanent jobs.

What if there is a dispute with an employee?

We provide internal mediation services, drafting legal responses, and assistance at the Industrial Relations Court (PHI).

Does your employment law service encompass the creation of job descriptions, contract drafting, and other administrative necessities?

Yes, Business Hub Asia provides administrative and operational assistance related to employment.

Is the implementation of Company Regulations mandatory?

Mandatory if the company has ≥10 employees and does not yet have a PKB (Collective Labor Agreement)

Does this service apply to PMA companies?

Yes, this service is very relevant for PMA companies that want to employ Indonesian citizens and foreign workers following Indonesian law.

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