Voluntary Termination Letter To Employee Template for Indonesia

A formal document issued under Indonesian employment law that acknowledges and confirms an employee's voluntary resignation from their position. The letter complies with Law No. 13 of 2003 on Manpower and its amendments through the Job Creation Law (Omnibus Law) of 2020. It outlines the terms of separation, including the effective date of termination, final entitlements calculation, handover requirements, and ongoing obligations. The document serves as an official record of the mutually agreed termination and includes provisions for final settlements as required under Indonesian labor regulations.

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What is a Voluntary Termination Letter To Employee?

The Voluntary Termination Letter To Employee is a crucial document in Indonesian employment practice that formalizes an employee's decision to resign from their position. It is used when an employee has submitted their resignation and the employer needs to formally acknowledge and process the termination of employment. The document must comply with Indonesian Manpower Law (Law No. 13 of 2003) and its recent amendments through the Job Creation Law, particularly regarding notice periods, final payments, and procedural requirements. This letter serves multiple purposes: it confirms the acceptance of resignation, documents the final working day, outlines the calculation of final entitlements including unused leave and religious holiday allowance (THR), and specifies handover requirements. It also helps protect both parties by clearly stating any continuing obligations and ensuring all aspects of the employment termination are properly documented.

What sections should be included in a Voluntary Termination Letter To Employee?

1. Letter Header: Company letterhead, date, reference number, and formal addressing to the employee including their full name and position

2. Acknowledgment of Resignation: Reference to the employee's resignation letter date and confirmation of its acceptance

3. Effective Date: Clear statement of the last working day as agreed between parties

4. Appreciation Statement: Professional acknowledgment of the employee's service and contribution to the company

5. Final Entitlements: Details of final payment including salary, unused leave, and other entitlements as per Indonesian law

6. Company Property: List of company properties to be returned and deadline for return

7. Confidentiality Reminder: Reminder of ongoing confidentiality obligations post-employment

8. Handover Requirements: Specific requirements for handover of work, documents, and responsibilities

9. Contact Information: Details for future correspondence and final payment arrangements

10. Closing and Signatures: Formal closing, space for company authorized signatory and acknowledgment by employee

What sections are optional to include in a Voluntary Termination Letter To Employee?

1. Reference Offer: Optional offer to provide employment reference, included when the employee is leaving on good terms

2. Non-Compete Reminder: Include only if the employee previously signed a non-compete agreement

3. Benefits Continuation: Details of any benefits that may continue post-employment, if applicable

4. Exit Interview: Include if company policy requires an exit interview process

5. Mutual Release: Optional mutual release of claims, included in cases where additional clarity on legal closure is desired

What schedules should be included in a Voluntary Termination Letter To Employee?

1. Final Payment Calculation: Detailed breakdown of all final payments including basic salary, pro-rated THR, unused leave, and any other entitlements

2. Company Property Checklist: Itemized list of company properties to be returned

3. Handover Document List: List of documents, files, and responsibilities to be handed over before departure

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

Jurisdiction

Indonesia

Publisher

Genie AI

Document Type

Termination Letter

Cost

Free to use

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