Archive for GRIT AI Team
Archive for GRIT AI Team
13Dec
How to Legally Terminate an Employee in Indonesia: A Guide for Foreign Employers
When a foreign company expands into Indonesia, one of the earliest challenges often arises not from hiring — but from firing. Many foreign employers discover that terminating an employee here is far from simple. Indonesia’s labor system strongly protects employees, and missteps can easily lead to costly disputes. Understanding Non-Compete and Confidentiality Clauses Before termination, […]
12Dec
Future-Proofing Your HR Strategy: Key Legal Changes on the Horizon for Indonesian Employment Law
Introduction For HR leaders in Indonesia, the legal landscape is shifting. Recent Constitutional Court rulings and legislative activity signal that employment law will undergo further change in the next few years. Forward-thinking companies are assessing how to adapt now to ensure compliance, retain talent, and protect reputation. Key Issues / Concepts Some of the main […]
11Dec
Building a Positive Company Culture in Indonesia: Bridging Cross-Cultural Gaps
Introduction In today’s global business environment, company culture is no longer a “soft” element—it is a critical driver of organizational performance. In Indonesia, where workplaces are often a melting pot of local traditions and foreign influences, creating a positive company culture requires balancing respect for cultural norms with the adoption of global best practices. Key […]
10Dec
Mergers & Acquisitions: The HR Due Diligence Checklist for Indonesia
Introduction Mergers and acquisitions (M&A) in Indonesia are not only about financial valuations and legal compliance. Human resources (HR) often play a decisive role in determining the success or failure of the transaction. From employee contracts to industrial relations, overlooking HR due diligence can lead to costly disputes and cultural clashes post-merger. Key Issues / […]
09Dec
Minimum Wage Regulations in Indonesia: Provincial vs. Sectoral Rates and Annual Updates
Introduction Minimum wage policy in Indonesia remains a central issue in balancing worker welfare with business competitiveness. Employers, both local and foreign, must pay close attention to the country’s dynamic wage-setting framework, as it directly impacts budgeting, compliance, and employee relations. Legal Framework The minimum wage in Indonesia is regulated under Law No. 13/2003 on […]
08Dec
Employer Liability in Indonesia: Workplace Safety and Accident Reporting (SMK3)
Introduction Workplace safety in Indonesia is not only a moral responsibility but also a strict legal obligation. Employers must ensure compliance with the Occupational Safety and Health Management System (SMK3) framework, which governs accident prevention, risk management, and reporting. Failing to comply can expose companies to fines, criminal liability, and reputational harm. Legal Framework Workplace […]
07Dec
Preventing and Addressing Sexual Harassment in the Workplace: New Legal Obligations
When Anita, a young professional in Jakarta, confided to her HR manager about repeated inappropriate comments from a colleague, she feared retaliation more than the harassment itself. Her case reflects a broader issue in Indonesian workplaces: sexual harassment is often underreported due to stigma, power imbalance, and lack of clear procedures. Key Issues Sexual harassment […]
06Dec
Navigating Religious and Cultural Sensitivities in the Indonesian Workplace
When Maria, an HR director from Europe, began managing a diverse team in Jakarta, she quickly noticed how prayer times, traditional holidays, and cultural values influenced workplace dynamics. What seemed like small details turned out to be critical in building trust and harmony among employees. Key Issues Indonesia is one of the most culturally and […]
05Dec
Remote Work and WFH Policies in Indonesia: Legal Framework and Implementation Tips
When the pandemic struck, an IT startup in Jakarta faced a sudden shift: its employees could no longer come to the office. Within weeks, management rolled out a Work From Home (WFH) policy. Surprisingly, productivity rose, but so did challenges — from overtime disputes to data security concerns. This story reflects what many companies in […]
04Dec
The Indonesian Industrial Relations Court (PHI): Process and Strategies for Handling Disputes
Introduction In 2019, a manufacturing company in West Java faced a heated dispute with a group of employees over unpaid overtime. After failed bipartite and mediation efforts, the case escalated to the Industrial Relations Court (Pengadilan Hubungan Industrial – PHI). For the company, this was a critical test of compliance and dispute resolution strategy. What […]
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