5 Year Employment Contract Template for Indonesia

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Key Requirements PROMPT example:

5 Year Employment Contract

"I need a 5 Year Employment Contract for a Senior Software Development Manager position in our Jakarta tech startup, including remote work provisions and specific IP protection clauses for software development, starting March 1, 2025."

Document background
This 5 Year Employment Contract is designed for use in Indonesia when establishing long-term employment relationships that require stability and commitment from both parties. It is particularly suited for senior positions, specialized roles, or projects with defined long-term durations. The contract complies with Indonesian Manpower Law requirements, including recent amendments under the Omnibus Law, and contains all mandatory provisions regarding working conditions, social security, and employee protections. It is structured to protect both employer and employee interests while maintaining flexibility for industry-specific requirements. The document includes comprehensive terms covering compensation, benefits, performance expectations, and termination procedures, making it suitable for both local and multinational companies operating in Indonesia.
Suggested Sections

1. Parties: Identification of the employer and employee with complete legal names and addresses

2. Background: Context of the employment relationship and brief description of the company's business

3. Definitions: Key terms used throughout the agreement

4. Position and Duties: Detailed description of role, responsibilities, and reporting structure

5. Term and Duration: Specification of the 5-year term, start date, and any probationary period

6. Working Hours and Location: Standard working hours, workplace location, and flexibility provisions

7. Compensation and Benefits: Base salary, allowances, bonuses, and mandatory benefits as per Indonesian law

8. Leave Entitlements: Annual leave, sick leave, religious holidays, and other statutory leave rights

9. Social Security and Insurance: BPJS participation and other insurance coverage as required by law

10. Confidentiality: Protection of company confidential information and trade secrets

11. Intellectual Property: Ownership of work products and innovations created during employment

12. Performance Review: Process and frequency of performance evaluations

13. Termination: Grounds for termination and procedures in accordance with Indonesian law

14. Post-Employment Obligations: Return of company property and ongoing confidentiality obligations

15. Governing Law: Application of Indonesian law and jurisdiction

16. Entire Agreement: Integration clause and amendment procedures

Optional Sections

1. Mobility Clause: Required if the employee may need to relocate or travel frequently

2. Non-Competition: Include if restricting post-employment competition (subject to Indonesian law limitations)

3. Housing Allowance: Include if providing accommodation or housing benefits

4. Education and Training: Include if company provides specific training or education benefits

5. Sales Targets: Include for sales positions with performance-based compensation

6. Vehicle Allowance: Include if providing company vehicle or transportation allowance

7. Expatriate Benefits: Include for foreign employees with special benefits or arrangements

8. Language Requirements: Include if specific language proficiency is required for the role

Suggested Schedules

1. Schedule A - Job Description: Detailed description of responsibilities, qualifications, and performance expectations

2. Schedule B - Compensation Structure: Detailed breakdown of salary components, allowances, and benefits

3. Schedule C - Company Policies: Key company policies that form part of the employment terms

4. Schedule D - Confidential Information: Specific types of confidential information covered by the agreement

5. Schedule E - Performance Metrics: Specific KPIs and performance evaluation criteria

6. Appendix 1 - Required Documents: List of documents required from employee (certificates, permits, etc.)

7. Appendix 2 - Benefits Summary: Detailed description of all benefits and eligibility conditions

8. Appendix 3 - Statutory Declarations: Required statements and acknowledgments under Indonesian law

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

Relevant legal definitions
Clauses
Relevant Industries

Manufacturing

Technology

Financial Services

Mining

Oil and Gas

Construction

Healthcare

Education

Retail

Telecommunications

Professional Services

Hospitality

Agriculture

Logistics

Energy

Relevant Teams

Human Resources

Legal

Finance

Operations

Engineering

Research and Development

Sales

Marketing

Information Technology

Production

Quality Assurance

Business Development

Administration

Corporate Strategy

Supply Chain

Relevant Roles

Chief Executive Officer

Chief Financial Officer

Senior Manager

Project Director

Technical Specialist

Research Director

Senior Engineer

Department Head

Regional Manager

Senior Consultant

Principal Architect

Lead Developer

Senior Analyst

Operations Manager

Production Manager

Sales Director

Head of Human Resources

Chief Technology Officer

Financial Controller

Business Development Manager

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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