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Notice Of Layoff for Indonesia

Notice Of Layoff Template for Indonesia

A Notice of Layoff is a formal document used in Indonesia to officially communicate the termination of employment to an employee. This document must comply with Indonesian Labor Law No. 13 of 2003 (as amended by the Job Creation Law No. 11 of 2020) and related regulations. It includes essential information such as the termination date, reasons for layoff, severance calculations, and final settlement details. The notice must follow specific legal requirements regarding format, content, and delivery, ensuring all mandatory elements under Indonesian labor law are addressed while protecting both employer and employee rights.

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What is a Notice Of Layoff?

The Notice of Layoff is a crucial document in Indonesian employment relations, required whenever an employer terminates an employee's employment through a layoff process. This document must strictly comply with Indonesian Labor Law No. 13 of 2003 and its amendments under the Job Creation Law No. 11 of 2020, along with various implementing regulations. It serves as official documentation of the termination decision, outlining the legal basis for the layoff, notice period, severance package, and other entitlements. The notice must be issued in accordance with statutory requirements regarding timing, content, and delivery method. It plays a vital role in ensuring legal compliance, protecting both parties' interests, and maintaining proper documentation for potential future reference or dispute resolution.

What sections should be included in a Notice Of Layoff?

1. Letter Header: Company letterhead, date, reference number, and formal letter details

2. Recipient Details: Employee's full name, employee ID, position, and department

3. Subject Line: Clear indication that this is a Notice of Layoff (Surat Pemberitahuan Pemutusan Hubungan Kerja)

4. Opening Statement: Formal introduction and reference to any prior discussions or warnings

5. Reason for Termination: Clear explanation of the grounds for layoff, in compliance with Indonesian labor law

6. Effective Date: The last day of employment and notice period details

7. Severance Details: Breakdown of severance package, including basic severance pay, service appreciation pay, and other entitlements as per regulations

8. Handover Requirements: List of company property to be returned and handover procedures

9. Final Settlement: Information about final salary, unused leave payments, and timing of final settlements

10. Closing Statement: Expression of gratitude for service and formal closing

What sections are optional to include in a Notice Of Layoff?

1. Non-Compete Reminder: Include if the employee's contract contains non-compete clauses that continue after termination

2. Outplacement Support: Include if the company is offering career transition or outplacement services

3. Benefits Continuation: Include if there are any extended benefits or insurance coverage details

4. Mutual Release: Include if there's a mutual agreement for termination and release of claims

5. Reference Provision: Include if the company is willing to provide employment references

What schedules should be included in a Notice Of Layoff?

1. Severance Calculation Sheet: Detailed breakdown of severance pay calculation as per Indonesian labor law

2. Company Property Checklist: List of company assets to be returned with acknowledgment section

3. Final Settlement Statement: Detailed breakdown of final payment including all components

4. Handover Document List: List of documents and responsibilities to be handed over before departure

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Indonesia

Publisher

Ƶ

Cost

Free to use
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Relevant Industries

Manufacturing

Technology

Financial Services

Retail

Mining

Construction

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Transportation

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Agriculture

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Relevant Teams

Human Resources

Legal

Compliance

Industrial Relations

Employee Relations

Personnel Administration

Finance

Management

Relevant Roles

Human Resources Manager

HR Director

Legal Counsel

HR Business Partner

Employee Relations Manager

HR Operations Manager

Compliance Officer

Industrial Relations Manager

HR Administrator

Personnel Manager

Chief Human Resources Officer

HR Specialist

Labor Relations Manager

HR Coordinator

Benefits Administrator

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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