Contingent Offer Employment Template for Indonesia

The Contingent Offer Employment contract is a crucial document used by companies operating in Indonesia when making employment offers that are subject to certain conditions being met before employment can commence. These conditions typically include successful background checks, medical examinations, verification of qualifications, or obtaining necessary work permits (particularly for foreign workers). The document must comply with Indonesian labor laws, particularly Law No. 13 of 2003 on Manpower and recent updates under the Omnibus Law, while protecting both employer and employee interests. It's particularly important in regulated industries, for senior positions, or when hiring foreign workers where specific regulatory requirements must be met. The agreement serves as a bridge between the initial offer and the formal employment relationship, providing clarity on conditions that must be satisfied and the subsequent terms of employment.

1. Parties: Identification of the employer company and the prospective employee

2. Background: Context of the employment offer and brief description of the company and role

3. Definitions: Key terms used throughout the agreement

4. Conditions Precedent: Specific conditions that must be met before the employment becomes effective (e.g., background checks, medical examinations, work permits)

5. Position and Duties: Job title, role description, and primary responsibilities

6. Commencement and Duration: Start date (subject to conditions being met) and employment term

7. Probationary Period: Length and terms of the probationary period as per Indonesian law

8. Compensation and Benefits: Salary, allowances, and statutory benefits as per Indonesian regulations

9. Working Hours and Location: Standard working hours, overtime provisions, and primary work location

10. Leave Entitlements: Annual leave, sick leave, and other leave entitlements under Indonesian law

11. Confidentiality: Obligations regarding company confidential information

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

13. Governing Law: Specification of Indonesian law as the governing law

14. Signatures: Execution blocks for both parties