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A Notice of Service Termination Letter is a crucial document in Indonesian employment law, used to formally communicate and document the termination of an employment relationship. This document must be prepared in accordance with Law No. 13 of 2003 on Manpower (as amended) and related regulations, which set strict requirements for employment termination in Indonesia. The letter serves multiple purposes: it provides official notice of termination, documents the grounds for termination, outlines the notice period, details final settlements including severance payments, and specifies any post-employment obligations. It's essential for ensuring legal compliance, protecting both employer and employee interests, and maintaining proper documentation for potential labor disputes. The timing and content of this document are critically important, as Indonesian law provides specific protections for employees and requires certain procedures to be followed in the termination process.

1. Header and Date: Company letterhead, current date, and reference number

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

3. Subject Line: Clear indication that this is a termination notice

4. Opening Statement: Formal introduction stating the purpose of the letter and reference to any prior discussions or warnings

5. Termination Details: Specific date of termination and notice period details

6. Reason for Termination: Clear and legally compliant explanation for the termination decision

7. Final Settlement Information: Overview of final salary, severance pay, and other entitlements

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

9. Closing Statement: Professional conclusion with acknowledgment instructions

10. Signature Block: Space for authorized signatory details and company stamp