Understand payroll entitlements and termination benefits in Indonesia, including THR, leave policies, and severance pay, to ensure full compliance.
Understand payroll entitlements and termination benefits in Indonesia, including THR, leave policies, and severance pay, to ensure full compliance.
Managing payroll in Indonesia is not just about salaries—it is about full compliance. Companies must understand the legal framework, required contributions, and tax deductions that define payroll systems in Indonesia. What Is Basic Salary in Indonesian Payroll? The basic salary is the backbone of any compensation package. By law, it must be at least 75% […]
Tunjangan Hari Raya (THR) is a mandatory religious holiday allowance in Indonesia. It is a key part of employee rights, ensuring workers receive extra financial support before major religious celebrations. Employers must understand their obligations to avoid legal consequences. What is THR in Indonesia? THR is a one-time annual payment given to employees before religious […]
Discover key changes in Indonesian labour law following the Constitutional Court's October 2024 ruling. Learn how to stay compliant with hiring, contracts, and outsourcing.
When hiring in Indonesia, companies must navigate specific employment laws to ensure compliance, particularly when it comes to employment contracts. Employers in Indonesia typically choose between Definite-Time Employment Contracts (PKWT) and Indefinite-Time Employment Contracts (PKWTT). Both contract types come with their own set of rules, advantages, and obligations. This guide offers an overview to help […]