The HR Service Level Agreement is a crucial document used to establish and maintain clear performance standards and expectations between HR service providers and their client organizations in Indonesia. This agreement is particularly important when companies outsource their HR functions or when establishing formal service standards for internal HR departments. The document must comply with Indonesian regulations, particularly Law No. 13 of 2003 on Manpower, Government Regulation No. 35 of 2021, and the Personal Data Protection Law. The HR Service Level Agreement typically includes detailed service specifications, performance metrics, compliance requirements, data protection measures, and reporting standards, ensuring both parties understand their obligations and the expected level of service quality.
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1. Parties: Identification of the service provider and the client company, including their legal registration details and addresses
2. Background: Context of the agreement and brief description of the parties' business relationship
3. Definitions: Definitions of key terms used throughout the agreement
4. Scope of Services: Detailed description of HR services to be provided, including core responsibilities and deliverables
5. Service Levels: Specific performance metrics, response times, and quality standards for each service
6. Provider's Obligations: Detailed responsibilities of the HR service provider, including compliance with Indonesian labor laws
7. Client's Obligations: Responsibilities and commitments of the client company, including provision of necessary information and access
8. Data Protection and Confidentiality: Obligations regarding personal data handling in compliance with Indonesian Data Protection Law
9. Fees and Payment Terms: Service fees, payment schedule, and related financial terms
10. Term and Termination: Duration of the agreement, renewal terms, and termination conditions
11. Compliance with Laws: Commitment to comply with relevant Indonesian laws and regulations
12. Dispute Resolution: Process for resolving disputes under Indonesian law
13. General Provisions: Standard legal provisions including notices, amendments, and governing law
1. Business Continuity: Procedures for ensuring service continuity during disruptions, recommended for critical HR services
2. Technology and Systems: Details of HR software and systems to be used, needed if technology services are part of the agreement
3. Transition Services: Procedures for transitioning services at the start and end of the agreement, important for complex service arrangements
4. Intellectual Property Rights: Protection of IP rights if proprietary HR systems or materials are involved
5. Insurance Requirements: Specific insurance coverage requirements, recommended for high-value or high-risk services
6. Staff Training and Development: Requirements for training client staff, if included in service scope
7. Compliance Reporting: Specific reporting requirements for regulatory compliance, recommended for regulated industries
1. Schedule 1 - Service Specifications: Detailed breakdown of each HR service and its delivery specifications
2. Schedule 2 - Service Level Metrics: Specific KPIs, performance targets, and measurement methods
3. Schedule 3 - Fee Schedule: Detailed pricing structure, including base fees and additional service charges
4. Schedule 4 - Data Processing Requirements: Specific procedures for handling personal data in compliance with Indonesian regulations
5. Schedule 5 - Escalation Matrix: Contact details and procedures for issue escalation
6. Appendix A - Required Reports: Templates and specifications for regular service reports
7. Appendix B - Standard Operating Procedures: Detailed procedures for key service activities
8. Appendix C - Compliance Checklist: Checklist of regulatory requirements and compliance measures
Relevant legal definitions
Clauses
Relevant Industries
Technology
Manufacturing
Financial Services
Healthcare
Retail
Education
Professional Services
Logistics
Hospitality
Construction
Mining
Telecommunications
Energy
Relevant Teams
Human Resources
Legal
Compliance
Operations
Finance
Procurement
Risk Management
Internal Audit
Information Technology
Senior Management
Relevant Roles
HR Director
HR Manager
Chief Human Resources Officer
HR Business Partner
Compliance Officer
Legal Counsel
Operations Director
Chief Operating Officer
Procurement Manager
Contract Manager
HR Operations Manager
Talent Acquisition Manager
Compensation and Benefits Manager
Chief Financial Officer
Risk Manager
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