The End of Temporary Contract Letter is a crucial document in Indonesian employment practice, used when a fixed-term employment contract (PKWT) reaches its scheduled conclusion. This document is mandated by Indonesian labor regulations, particularly Law No. 13 of 2003 and Government Regulation No. 35 of 2021, which require proper notification of contract termination. It serves multiple purposes: providing formal notice to the employee, documenting the end of the employment relationship, outlining final entitlements, and ensuring compliance with legal requirements. The letter should be issued with sufficient notice before the contract's end date, typically following the timeframe specified in the original employment agreement or as required by law. It's particularly important in industries with project-based work, seasonal employment, or specific-duration contracts, and helps protect both employer and employee interests by clearly documenting the termination of the temporary employment relationship.
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1. Letter Header: Company letterhead including full legal name, address, and contact details
2. Reference Number: Unique letter reference number following company convention
3. Date: Date of letter issuance
4. Employee Details: Full name and address of the employee
5. Subject Line: Clear indication that this is an End of Temporary Contract notification
6. Contract Reference: Details of the original temporary contract including date and reference number
7. Termination Notice: Clear statement of contract end date and confirmation that it will not be renewed
8. Final Entitlements: Statement of any final payments, benefits, or entitlements due
9. Company Property: Instructions regarding return of company property
10. Closing Statement: Expression of appreciation and good wishes
11. Signature Block: Space for authorized signatory details and signature
1. Certificate of Employment: Offer to provide a certificate of employment or reference letter, included when company policy allows
2. Exit Interview: Information about exit interview arrangements, included when company conducts exit interviews
3. Non-compete Reminder: Reminder of any post-employment restrictions, included only if such clauses exist in the original contract
4. Severance Package: Details of any severance payment, included only if applicable under Indonesian law or company policy
5. Handover Instructions: Specific instructions for knowledge transfer and work handover, included for key positions
1. Final Settlement Calculation: Detailed breakdown of final payment including salary, unused leave, and any other entitlements
2. Company Property Checklist: List of company assets to be returned
3. Clearance Form: Form listing all departments that need to provide clearance before final settlement
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