Employment Contract For Sales Representative Template for Indonesia

The Employment Contract For Sales Representative is a crucial document used when hiring sales personnel in Indonesia, designed to establish clear terms of employment while ensuring compliance with Indonesian labor laws, particularly Law No. 13 of 2003 on Manpower and related regulations. This contract type is specifically tailored for sales roles, incorporating essential elements such as base salary, commission structures, sales territories, and performance metrics, while also addressing mandatory requirements under Indonesian law including social security contributions, statutory leave entitlements, and worker protections. It's particularly important for businesses establishing or expanding their sales force in Indonesia, as it provides legal protection for both employer and employee while clearly defining expectations, responsibilities, and compensation structures specific to sales roles.

1. Parties: Identification of the employer company and the sales representative, including complete legal names and addresses

2. Background: Brief context of the employment relationship and the sales representative position

3. Definitions: Key terms used throughout the agreement, including specific sales-related terminology

4. Appointment and Duration: Terms of employment, position title, and contract duration (fixed-term or permanent)

5. Duties and Responsibilities: Detailed description of the sales representative's role, territories, and performance expectations

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

7. Compensation and Benefits: Base salary, commission structure, benefits package, and payment terms

8. Leave Entitlements: Annual leave, sick leave, and other statutory leave entitlements

9. Social Security and Insurance: BPJS participation and other mandatory insurance coverage

10. Confidentiality: Protection of company information, client data, and trade secrets

11. Non-Competition and Non-Solicitation: Restrictions on competitive activities during and after employment

12. Performance Evaluation: Assessment criteria, review periods, and consequences of performance outcomes

13. Termination: Grounds for termination, notice periods, and severance provisions

14. Governing Law: Confirmation of Indonesian law application and jurisdiction

15. Dispute Resolution: Process for resolving employment-related disputes