Posts Tagged ‘company regulation’

Establishing a Foreign-Owned Company in Indonesia: Dealing with the Challenging Procedures and Regulations

Establishing a Foreign-Owned Company in Indonesia

Despite the economic slowdown and the poverty rise in Indonesia, the demands on products are surprisingly increasing. In fact, according to the data of Central Statistics Agency (Badan Pusat Statistik/BPS), between 2014 and 2015, 1.1 million people in Indonesia have become poor. So, what makes the demands on products or purchasing power in Indonesia get…

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COMPANY OBLIGATION TO STRUCTURE AND SCALE EMPLOYEE WAGES

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All entrepreneurs, including Companies, which employ Employees in Indonesia have the obligation to structure and scale employee wages pursuant to the prevailing wage structure and scale regulations. Learn more regarding the structure and scale of wages and the obligation to comply with them. Company obligation to structure and scale their employee’s wages is stipulated in…

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PROTECTION FOR FEMALE EMPLOYEES PURSUANT TO THE MANPOWER LAWS

PROTECTION-FOR-FEMALE-EMPLOYEES-PURSUANT-TO-THE-MANPOWER-LAWS

Male and Female Employees must be treated with equality at the workplace. Pursuant to the role of women in society, as well as specific biological needs, the Manpower Laws in Indonesia ensures that female Employees are provided certain rights and benefits, to ensure the well-being of the Employees. In general, the prevailing laws and regulations…

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TUNJANGAN HARI RAYA (THR) OR RELIGIOUS HOLIDAY ALLOWANCE

TUNJANGAN-HARI-RAYA-THR-OR-RELIGIOUS-HOLIDAY-ALLOWANCE

Each of the official religion in Indonesia has their own Religious Holidays, which in turn is recognized by the Government. For each Religious Holidays, Companies must make sure to conduct their obligation to distribute Religious Holiday Allowance, otherwise known as THR. Learn all you need to know about THR in our article below. Pursuant to…

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TERMINATION OF EMPLOYMENT DUE TO GRAVE WRONGDOINGS

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Employee who has conducted grave wrongdoings (kesalahan berat) is allowed to be terminated from its employment. However, there are several conditions that must be fulfilled before the termination can be executed. One of the reasons for Termination of Employment (“Pemutusan Hubungan Kerja” or “PHK”) is a conduct of grave wrongdoings (kesalahan berat) by the Employee.…

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HOW TO REDUCE THE EMPLOYEE SALARY IN THE EVENT OF DEMOTION

HOW-TO-REDUCE-THE-EMPLOYEE-SALARY-IN-THE-EVENT-OF-DEMOTION

Sometimes, a Company may be required to demote its Employees for a number of reasons, such as non-performance, breach of Company Regulations, and so on. In the event of Employee demotion, how can the Company reduce the Employee’s salary? Learn more on whether the prevailing Manpower Law allows a Company to reduce the salary of…

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