Contract Employment Offer Letter for Indonesia

Contract Employment Offer Letter Template for Indonesia

An Employment Offer Letter under Indonesian law is a formal document that initiates the employment relationship between an employer and a prospective employee. This document outlines the key terms and conditions of employment in compliance with Indonesian labor laws, particularly Law No. 13 of 2003 on Manpower. It includes essential details such as position, compensation, benefits, working hours, and other employment terms while adhering to mandatory requirements under Indonesian employment regulations. The letter serves as both a formal job offer and a preliminary agreement that sets the foundation for the subsequent employment relationship.

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What is a Contract Employment Offer Letter?

The Contract Employment Offer Letter is a crucial document in the Indonesian employment process, serving as the initial formal agreement between an employer and a potential employee. It is typically used after successful completion of the recruitment process and before the signing of a detailed employment contract. Under Indonesian law, particularly Law No. 13 of 2003 on Manpower, this document must include specific mandatory elements such as job position, compensation structure, working hours, and benefits. The letter needs to clearly state whether the employment is permanent or fixed-term, as these categories have different legal implications under Indonesian labor law. This document is essential for ensuring transparency in employment terms and compliance with local regulations while providing a professional foundation for the employment relationship.

What sections should be included in a Contract Employment Offer Letter?

1. Company Letterhead and Date: Official company letterhead with complete legal entity name, address, and date of the offer

2. Candidate Address and Salutation: Recipient's full name and address, with professional salutation

3. Opening Statement: Formal offer of employment with expression of interest in the candidate

4. Position and Department: Clear statement of the offered position title and department/reporting structure

5. Employment Status: Specification of employment type (permanent/fixed-term) and start date

6. Compensation Package: Base salary, allowances, and other monetary benefits as per Indonesian regulations

7. Working Hours and Location: Standard working hours, days, and primary work location

8. Probation Period: Duration and terms of the probationary period (if applicable)

9. Benefits: Mandatory benefits including BPJS Health and Employment insurance, annual leave entitlement

10. Acceptance Terms: Instructions for accepting the offer and deadline for response

11. Closing: Professional closing statement with authorized signatory details

What sections are optional to include in a Contract Employment Offer Letter?

1. Relocation Package: Include when offering relocation assistance for candidates moving from different cities/countries

2. Performance Bonus Structure: Include when offering performance-based incentives or bonus schemes

3. Non-Compete Clause Reference: Include for senior positions or roles with access to sensitive information

4. Language Requirements: Include when the position requires specific language proficiency

5. Work Permit Statement: Include for foreign workers requiring work permits

6. Remote Work Provisions: Include if the role involves remote working arrangements

7. Training Commitments: Include when mandatory training programs are required for the role

What schedules should be included in a Contract Employment Offer Letter?

1. Job Description: Detailed outline of role responsibilities and requirements

2. Benefits Summary: Comprehensive list of all benefits and allowances

3. Required Documents Checklist: List of documents needed for employment processing

4. Company Policies Reference: Key company policies that the employee must acknowledge

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

Cost

Free to use
Relevant Industries

Technology

Manufacturing

Financial Services

Retail

Healthcare

Education

Professional Services

Construction

Energy

Telecommunications

Hospitality

Mining

Agriculture

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Relevant Teams

Human Resources

Legal

Finance

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Information Technology

Research and Development

Production

Quality Assurance

Customer Service

Business Development

Administration

Supply Chain

Public Relations

Relevant Roles

Chief Executive Officer

Managing Director

Department Manager

Software Engineer

Financial Analyst

Human Resources Manager

Marketing Executive

Sales Representative

Operations Manager

Research Scientist

Project Manager

Administrative Assistant

Technical Specialist

Customer Service Representative

Business Development Manager

Legal Counsel

Production Supervisor

Quality Assurance Analyst

Account Manager

Data Analyst

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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