Syllabus

q HR Management as an q HR Planning
Integrated System
q Organization Vision &
qHR Management Cycle & Mission
Design q Organization Culture
q HR Management q Business Objectives
Functions q Organization Structure
qHR Management q Organization
Philosophy Development Design
q Roles of HR in
Organization q Recruitment Management
q Recruitment Principles
q Recruitment Process
q Employee Record Maintenance
q Recruitment Budget 1
Syllabus

q People Training & q Performance Management

Development System
q New Employee Induction q Key Performance Indicator
q Recruitment Gap Analysis q Performance Appraisal
q Training Needs Analysis q Performance Review
q People Development q Performance Reward
Program q Performance Record

q Policy & Procedures

q Legal Basis
q Administrative Basis

2
Syllabus
q Talent Management q Compensation & Benefit

q Talent Development q C & B Strategy

Committee q Compensation Philosophy,
q Talent Analysis Strategy and Policy
q Talent Mapping q C & B Principles
q Career Planning & q C & B Review
Development q Compensation Program
q Talent Pipeline q Job Evaluation Method
q Talent Pool q Employee Benefit Programs
q Managing Employee Benefit
Programs
q Evaluating Total Compensation
Strategy & Program Effectiveness
3
Syllabus
q Industrial Relations q HR Management & IR Cases
Discussions
q Organization Culture
q Industrial Relations Legal
Basis
q Regulations Update
q Union Relations
q Labour Offices Relations
q Employee Engagement
q Industrial Relations
Settlement of Disputes
q Industrial Relations Budget

4
SESI I

5
HR Management as An Integrated System

q HR Management as an Integrated
System
qHR Management Cycle & Design
q HR Management Functions
qHR Management Philosophy
q Roles of HR in Organization

6
 HR Management as An Integrated System
q HR Management Cycle & Design

Interview Job Evaluation

HR Management,
Organization
Development what is that??
Union HR Policy

Recruitment Labor Disputes

Organization Structure
Workforce Plan
HR Procedures

HR Policy Talent Management People

Payroll Assessment
Termination
Employment
Jamsostek Agreement Coaching People Development
Industrial Relations
Training Performance Appraisal
Collective Labor
Job Analysis Agreement
Compensation
Medical Insurance
Medical
Reimbursement Employee
Depnaker Training Need Company Benefit
Analysis Regulation
7
HR Management as An Integrated System

q HR Management Cycle & Design

8
HR Management as An Integrated System

q HR Management Functions
1. HRM Strategic
To develop a Holistic HR Design for:
- Supporting the achievement of company strategic objectives
- Provide the work plan and initiatives in implementing company strategy
- Communicate to all employees

1.a. Strategic Partner 1.b. Agent of Change

üIdentify strategic things in company
strategic map: Visi, Misi, Objective,
Culture
ü Aligning strategic things in company
strategic map with HR design
ü Designing strategic measurement
system through HR scorecard, KPI, etc.
ü Implementing management by
measurement
üSupport company changes program,
manage its communication, and
encourage employee engagement to the
change process
ü Implementation of key success factors:
lead the change, create common needs,
form the vision, to encourage
commitment, develop the support
system, monitor, show the progress,
ensure the continuous process
9
HR Management as An Integrated System

q HR Management Functions

2. HRM Technical / Administrative

- To ensure enough qualified people work for the organization
(recruitment, selection, training)
- To manage and retain qualified people (remuneration, administration,
motivation, administration, industrial and employee relations)
- To provide a talent development for future company plan
2.a. Technical Expert ü Develop HR Policy (remuneration, administration, IR,
ü Analyse and plan manpower needs etc.) and communicate to employees
ü Develop tools and lead recruitment ü Remuneration management: JE, salary scaling and
process + analyse the test structuring, tax, incentive, etc.
ü Manpower resources channel ü Personnel Administration: leave, pension fund, BPJS,
(school, university, media, social medical, etc.
media, headhunting, etc.) ü IR matters: PP, PKB, Employment Agreement,
ü Induction and orientation program handling complaints, Union, etc.
for new employees ü Develop competency model & dictionary,
ü Develop HR Policy (remuneration, competency assessment for training and
administration, IR, etc.) and development, individual development plan, career
communicate to employees track, performance management system
10
HR Management as An Integrated System

q HR Management Functions

2. HRM Technical / Administrative

2.b. HR Champion
ü Analisis kebutuhan pelatihan, mengembangkan program
pelatihan, mengatur jadwal pelatihan, memberikan pelatihan,
melakukan evaluasi hasil pelatihan
ü Required Competencies
ü For Technical Administrative Expert: Technical Competency, HR
Information System, Penalaran Aritmatis dan Matematis,
Customer Services, Writing, Attention to Detail, Verbal
Communication

11
 Required Competencies Strategic Partner Agent of Change Technical Expert HR Champion
Strategic Thinking √
Organizational & Business Awareness √
Problem Solving √
Stress Tolerance √ √
Verbal Communication √ √ √ √
Decision Making √
Planning & Evaluation √
Conflict Management √
Performance Measurement √
Leadership √ √
Change Management √ √
Team Building √ √
Logical Thinking √ √
How to Influence Others √ √
Negotiation Skills √ √
Creative Thinking √ √
HR Technical Skills √ √
HRIS √ √
Customer Services √
Arithmetic & Mathematically Thinking √
Customer Services √
Writing Skills √
Attention to Detail √
Adaptability √
Learning Agility √
Passionate On Teach Others √
12
Interpersonal Relationship √
HR Management as An Integrated System

q HR Management Philosophy

1. Kepanjangan Tangan Shareholder: Sehati, Sepikir, Fully Supported by Top

Management:
• Terjemahkan visi dan misi dari shareholder
• Menguasai business process from A to Z
• Menguasai business strategy dari main supporting divisions
• Memahami karakter kompetensi karyawan di setiap level dalam organisasi dan
disesuaikan dengan setiap jenis pekerjaan yang ada
• Mengatur dan mengendalikan strategi Corporate Division dan para Managers
2. Communication Bridge for Management and Employees
3. Menjamin peningkatan Value Creation melalui HR process: perekrutan, pelatihan,
pengembangan, remunerasi, industrial relations, dst.

4. The Real HR Manager is the Line Manager, educate and encourage them

13
HR Management as An Integrated System

q HR Roles In Organization
q Business Partnering, including strategic planning
q Advisory/Counsellor
q In House Consultant
q People Services
q Controller
q Agent of Change, reengineering and facilitating both content and
process
q Policies & Procedures Setter

14
Human Resources Planning
q HR Planning
q Organization Culture
q Organization Vision & Mission
q Business Objectives
q Organization Structure
Human Resources Planning

q Organization Culture

Leadership: Values & Leadership

Ideas Gilbert W. Fairholm (1994)
Leadership and the Culture of Trust: Greenwood Publishing Group

Leadership is not so much a function of the individual leader as it

Organization Culture is a condition of the culture. While leadership may be
spontaneous at times, most often it is a result of specific,
planned actions by individual leaders to create organizational
cultures characterized by internal harmony around values and
Vision and Mission ideals the leader and follower share or come to share.

Leadership is the task of creating harmony among the

disparate, sometimes competing, organizational – human,
Effective People system, and program – factions. Leaders are identified, flourish,
Management and grow in situations where they and their followers share
unifying values, ideals, and goals.
Settlement of Leaders are successful when they unite individuals in
Industrial Disputes collaborative action without losing too much of the individuals
freedom they and their followers want. 16
Human Resources Planning

q Organization Culture

Leadership: Values & Organization Culture

Ideas Stephen P. Robbins and A.J. Timothy(2008). Organizational
Behavior
Organizational culture refers to a system of shared meaning
Organization Culture held by members that distinguishes the organization from
other organizations. In other words, cultural provide identity
for its members.
Organizational culture can enhance employee commitment
Vision and Mission and a positive relationship with performance.

Effective People Organization Culture practically creates:

Management q Ownership
q Discipline
q Engagement
Settlement of
Industrial Disputes
17
Human Resources Planning

q Organization Vision & Mission

q SWOT Analysis: environmental scanning, internal scanning, HR inventory, HRIS
q Action Plans and Programs
q Evaluation of HR Planning
Economic Development: Open Systems:
Behavioral:
Managerial input: Environmental: Conceptualize organizations and
Management practices-
macroeconomic approach, managerial effectiveness is a their interaction with the
managerial effectiveness,
managerial trends and function of external environment: organizational (size,
depend on cultural variables:
developments, plays a environmental factors: technology), task (distributors,
attitudes, beliefs, values
significant role in achieving sociocultural, legal–political, suppliers, employees,
systems, behavioral patterns,
rapid industrial and economic economic and educational government, stockholders, and
management philosophies
development [Harbison and [Farmer and Richman, 1965] community), and societal
[Barrett & Bass, 1970]
Meyers, 1959] [Negandhi, 1975, 1983]

Vision

Mission

Objectives
18
Human Resources Planning

Leadership: Values &

Ideas

Organization Culture

Vision and Mission

Effective People
Management

Settlement of
Industrial Disputes

19
Human Resources Planning

q Business Objectives

SMART objectives

S = Specific M = Measurable
A = Achievable R = Relevant
T = Timebound

20
Human Resources Planning
Membuat SMART Objectives
Contoh: Mangara bekerja di perusahaan manufaktur sebagai Plant Process Improvement Lead.
Mangara dan atasan nya menyetujui objectives di tahun 2015 sebagai berikut:

Objective Deskripsi Target

√
Ini SMART objective
Overall Cost Operasional peralatan yang reliable di 2 Identifikasi dan selesaikan 4 karena jelas, spesifik dan
Effectiveness area tertentu di pabrik, dengan biaya yang penyebab dari unreliability pada terukur, dengan batas
efisien dan efektif. Q4 2015 waktu.

Ini BUKAN SMART

People and Karyawan yang berkompeten dan terlibat Memastikan semua karyawan objective karena tidak
Communication penuh dalam memberikan pengembangan terlibat penuh menyebutkan bagaimana
akan diukur dan kapan.
yang berkelanjutan.
Disarankan untuk
menambah ukuran yang
jelas dan tanggal batas
waktu nya.
Unit Cost Delivery Meminimalkan biaya pengiriman dengan Mengurangi biaya tunai per unit

√
penggunaan secara optimum atas di pabrik sebesar 15% melalui
kapasitas biaya per unit. peningkatan berkelanjutan pada
biaya konversi dan biaya tetap
per unit pada Q4
Growth and Project Mengimplementtasikan strategi Mengidentifikasi proyek-proyek
Execution pengembangan perusahaan pengembangan bersama Tim
Marekting dan mendapatkan
persetujuan dari stakeholder
Ini SMART objective
karena jelas, spesifik dan
terukur, dengan batas
waktu.
Ini BUKAN SMART
objective karena tidak
menyebutkan bagaimana
akan diukur dan kapan.
Disarankan untuk
menambah ukuran yang
jelas dan tanggal batas
waktu nya.
21
Human Resources Planning
q Organization Structure
Organization Structure Principles
q Bentuk yang ramping
q Less bureaucracy
q Support team work
q Customer orientation
q Roles of each positions are clear,
minimize emotional barriers
Job Evaluation (Analysis, Description,
Specification)
q Job Analysis Methods
q Types of data gathered in Job Analysis
q Uses of Job Analysis
q Job Description
q Job/Position Specification
q Workload Analysis
q Job Titling & Grading
22
 Human Resources Planning
q Organization Structure
Reliability Melapor Pada
Penggabungan Fungsi Yang Manager Atasan Yang Less
Menyebabkan Conflict of Interest Connection Sehingga
Mechanical Stores Procurement Less Support
Superintendent Superintendent Officer

Mechanical Instrument Electrical Stores Procurement

Supervisor Supervisor Supervisor Supervisor Admin

Mechanical Instrument Electrical

Storemans
Technicians Technicians Technicians

Span of Control Yang Terlalu Luas: Uneffective People Management, Over Load Manager

Site
Director

Process SHE/
Capital Supply
Improve Technical Chief Operations Reliability HR&GA Finance Executive
Project Chain Quality
ment Manager Security Manager Manager Manager Manager Assistant
Manager Manager Manager
Manager
Human Resources Planning
q Organization Structure
Organization Failure
• Over Load vs Less Work
• Incorrect Reporting Line
• Span of Control
Corrected through Job Analysis:
• Job/Position/Role Description
• Job Evaluation
• Job Specification
• Job/function merged caused
conflict of interest
• Less connection reporting line,
less support
• Too wide: slow decision making
process, not effective people
management, over loaded
responsibility and accountability
• Too narrow: limited succession
option, limited talent
24
Human Resources Planning

q Organization Structure
Job Competency Design

1. Konsep Kompetensi yang benar 3. Competency Dictionary

q Kompetensi dari jabatannya,
bukan orangnya 4. Competency Matrix (RASCI)
q Kompetensi yang terukur, bukan
perasaan
2. Pembuatan Kompetensi Jabatan
q Kompetensi Organisasi
q Kompetensi Managerial
• Leadership
• People Management: Problem
Solving Process, Managing
Difficult People, Handling
Employee’s Complaint
• Performance Management
q Kompetensi Fungsional/Pekerjaan 25
Human Resources Planning

q Organization Structure
Workforce Plan
1. Headcount Planning and Position Management
• Identify the overall scope and level of contribution of the job within the
organization structure
• Identify the job relationship with other managers, aside from the direct line
manager
• Identify the compensation elements and total compensation to be paid for the job
• How is the job impacting the operating margin of the business
• FTE % capacity
• Regular or Temporary Job?
2. Budgeting
• Recruitment
• Training & Development
• Compensation & Benefit
• Industrial Relations
• Human Resources Information System 26
Human Resources Planning

q Organization Development Plan

1. SWOT Analysis
2. Responsive to Technology Change
3. Related to Business Objectives
4. Awareness to Human Generation Changes

27
Recruitment Management

q Recruitment Management
q Recruitment Principles
q Recruitment Process
q Employee Record Maintenance
q Recruitment Budget

Be Alert: Recruitment Failure

• Bad attitude, bad character
• Trouble maker
• Competitor’s agent
• Lazy vs Over Achiever
• Qualified in the wrong place
• Below qualification vs beyond qualification
28
Recruitment Management

q Recruitment Principles

Find the right candidates based on requirement

qPosition/Job Description
qJob Specification
qManpower Needed

Put the right man on the right place at the right time
qRobust recruitment process
qIndividual life history
qEmployment/work history
qEmployee assessment result

29
Recruitment Management

q Recruitment Process
1. Authorization to recruit 3. Application Database

q Budget q Forms
q Process q Instructions
q Personnel: NDA, Impartial, q CVs
Confidentiality q Application List

2. Job Advertisement

q Type of advertisement: public, confidentially

q Scope of advertisement: Local, National, International,
Selected Industry/Sector, Selected area
q Media of advertisement: Newspaper, social media, career
days, job fair, headhunter
30
Recruitment Management

q Recruitment Process
4. Selection: Competency based selection
process

q Application Selection (Screening) q Assessment Tools

§ Interview (BEI, TSI, F2F, etc.)
q Candidate Shortlisting § Psychological Test (MBTI,
etc.)
q Assessment Process § Focused Group Selection
§ Technical Skills & Knowledge § Case Study
Check § Role Play
§ Behaviour Check § Handwriting Analysis
§ Medical Check § Face Analysis
§ Security Check § Written Test
§ Reference Check
§ Site Visit

31
Recruitment Management

q Recruitment Process
5. Offer of Employment

6. Notice/Reject Letter

7. Employment Agreement

q Permanent Employment (PKWTT)

q Contract Base Employment (PKWT)
q Daily Workers (Pekerja Harian)

32
Recruitment Management

q Employee Record/Database Maintenance

1. Attendance / Absence Management

2. Training & Development Plan, Result and Progress

3. Performance Record

4. Talent Pool

5. Payroll

q Recruitment Budget

33
SESI II

34
People Training & Development

q People Training & Development

q New Employee Induction
q Recruitment Gap Analysis
q Training Needs Analysis
q People Development Program

35
People Training & Development
q New Employee Induction
Company Profile
q Company Vision &
Mission
q Company Objectives
q Organization Structure
q Business Process
q Each of Division Overview
People Involved
q HR
q Each of Divisions
q Direct Line Manager
Specific Employee’s Division
q Division Organization
Structure, more detail
q Positions/Persons the new
employee will be closely
working with
q External parties the new
employee will be dealing with
36
People Training & Development

q Recruitment Gap Analysis

1. Selection Assessment Result vs Job Requirement

q Organizational Competency
q Managerial Competency
q Individual Competency
q Functional / Work Competency

2. Competency Gap Mapping

37
People Training & Development

q Training Needs Analysis

Analyse Learning Needs Potential Assessment

qAnalyse and identify learning qWhat they now have
needs for the organization and useful for other
qDesign the learning plan jobs or higher jobs in
qReview the existing learning the future
items
qIdentify new learning Capability Assessment
requirements qWhat they now have
qTrainers selection and useful for the
current job

38
People Training & Development

q People Development Program

1. People Development Principles 2. Training & Development Method:
q Upgrading People Skills Competency Based Training Program
(Technical, Behaviour, q Technical Skill, Knowledge &
Knowledge), not the character Behaviour
q Sharing experience and best • Class Training
practices • Courses
q Provide required supporting • Workshop
data: • Coaching
§ Performance Appraisal • Mentoring
Result • Counselling
§ Employee Training Records • On-the-job Training
§ Training Needs Analysis q Behaviour
§ Individual Development • Mentoring
Plan • Counselling
• On-the-job Training 39
People Training & Development
q People Development Program
3. Training & Development Plan
q Linking the training to
organizational goals, objectives and
strategy
q Funding the training
q Cost/Benefit Analysis of Training
q Training process and facilities
planning
q Training materials
4. Evaluation & Follow Up
q Sources for evaluation
q Research methods for evaluation
q Criteria for evaluating training
5. Roles Involved
q Learner: Employee with assigned learning
items
q Line Manager: Learner’s line manager who
is responsible for managing the learning
needs of their team members
q Training Administrator: Person who has
permission to create, assign, report and
mark training completion for Learners
q Training Instructor: Person who delivers
instruction or facilitates a scheduled
training.
q Training Observer: Person nominated by
Learning Administrator to observe the
Learner’s progress during On-the-job
Training. 40
Policy & Procedures

q Legal Base
1. Employment Agreement
2. Company Regulation
3. Collective Labour Agreement
4. Employment Law
5. Other Related Laws

q Administrative Base
1. HR Code of Conduct
2. Management Discretion
3. Director’s Decree
4. Standard Operating Procedure
5. Other Company Code of Conducts, such as IT, GA, Finance, etc.

41
Performance Management System

q Performance Management System

1. KPI, Performance Measurement: 3. Performance Review

the criteria
q Process & Procedures
q Company annual objectives • Appraisal interview
q Division annual goals and target • Rating process
q Team / Individual projects • Calibration
q Individual development plan • Linking appraisal to employment
decision
2. Performance Appraisal q Review Result & Evaluation
q Appraisal Method 4. Performance Reward
• Category Rating q Award
• Comparative q Merit Increase
• Narrative q Bonus
• Special: MBO, BARS, BOS
q Types of Appraisal 5. Performance Record:
q Failures of Appraisal: Rating q Documenting employee performance
Errors 42
Talent Management

q Talent Management

1. Talent Development Committee 5. Talent Pipeline

q Promotion
2. Talent Analysis q Job Rotation
q Competency (current) q Acting Role
q Potential (future)

3. Talent Mapping 6. Talent Pool

4. Career Planning and Development

q Accommodating organizational and individual needs
q Mobility within the organization
q Managing transition

43
Compensation & Benefit Management

q Philosophy, Principles & Strategy

1. Compensation & Benefit Strategy 3. Compensation & Benefit

Economic factors affecting Principles
compensation: q Equal Pay for Equal Job
q Inflation q Market Competitiveness
q Interest rates q Merit Based (performance
q Industry competition related)
q Foreign competition
q Economic growth
q Labour market trends/demographics

2. Compensation Philosophy, Strategy and Policy

q Fitting strategy and policy to the external environment and to an
organization’s culture, structure & objectives
q Training in and communication of compensation programs
q Making compensation program achieve organizational objectives
q Establishing administrative controls
44
Compensation & Benefit Management

q Compensation & Benefit Review

4. Compensation & Benefit Review
q Compensation & Benefit Survey
q Compensation & Benefit Analysis
q Compensation & Benefit Scale and Structure:
§ Tentukan Job Value: Job Evaluation Method
ü Compensable factors
ü Ranking Method
ü Classification/Grading Method
ü Factor Comparison Method
ü Point Method
ü Guide-Chart Profile Method (Hay)
§ Tentukan upah tertinggi dan terendah
§ Tentukan rentang gaji (spread) setiap golongan (80-120 principle)
§ Tentukan upah min, mid dan max di tiap golongan
§ Konsisten dalam penggunaan min, mid dan max dalam penggajian
q Salary Increase
§ Annual General Increase
§ Out of Cycle Pay Increase 45
q Payroll
Compensation & Benefit Management

q Compensation & Benefit Program

5. Compensation Program: Types, Characteristics, Advantages and
Disadvantages
q Base Pay
q Allowances: Fixed / Non Fixed
q Differential Pay
q Incentive Pay
q Pay programs for selected employees (retention programs, high
achiever reward, over-expected hiring employees, etc.)
§ How to give rewards equal to employee performance
§ Required supporting data: employee performance result
and employee productivity

46
Compensation & Benefit Management

q Compensation & Benefit Program

6. Employee Benefit Program: Types, Objectives, Characteristics,
Advantages and Disadvantages
q Legally required programs/Payments:
§ BPJS Ketenagakerjaan (JK, JKK, JHT)
§ BPJS Kesehatan
§ Jaminan Pensiun
§ Annual Leave
q Pay for time not worked:
§ Sick Leave
§ Maternity
§ Family passed away
§ Marriage
§ Haj for Moslem
§ Public Holiday
§ Weekend / Rest Day / R&R
47
Compensation & Benefit Management

q Compensation & Benefit Program

6. Employee Benefit Program: Types, Objectives, Characteristics,
Advantages and Disadvantages (cont’d)
q Insurance and Income Protection
q Deferred Pay (Pembayaran yang ditangguhkan): DPLK
q Unpaid leave
q Flexible benefit plans:
§ Scholarship
§ Educational Assistance
§ Car Ownership Program
§ House Ownership Program
§ Company Share Ownership Program
§ Employee Loan
q Recognition and achievement award

48
Compensation & Benefit Management

q Compensation & Benefit Program

7. Managing Employee Benefit Program
q Employee need/preference assessment: surveys
q Administrative system
q Funding/Investment responsibilities
q Coordination with Plan Trustees, Insurers, Health Service Providers, and
Third-Party Administrators
q Utilization Review
q Cost-Benefit Analysis and Cost Management
q Communicating Benefit Program / Individual Annual Benefit Reports
q Monitoring Compensation / Benefits Legal Compliance Programs

8. Evaluating Total Compensation Strategy & Program Effectiveness

q Budgeting
q Cost Management
q Assessment of Methods and Processes

49
Industrial Relations

q Industrial Relations Legal Basis

Employee Agreement Company Regulation
(Law No. 13/2003 Article 1.14, Article 50-66) (Law No. 13/2003 Article 1.20, Article
108-115) (Reg. No. 28/2014 Article 2-13)
• Agreed by individual employee and
Company • Made by the Management,
• Consisted of work conditions, rights advised by employees
and obligations • Consisted of work conditions,
• Written (or Verbal) disciplines and rules of conduct
• Tidak boleh bertentang dengan PP & • Compulsary for Company with
PKB – Pasal 54.2 & Penjelasan min 10 employees
• 2 Years, can be extended
Collective Labor Agreement
(Law No. 13/2003 Article 1.21, Article 116-135), (Reg. No. 28/2014 Article 14-32)
• Agreed by Union and Management
• Consisted of work conditions, rights and obligations
• Compulsary to response negotiation required by union
• 2 Years, can be extended 50
Industrial Relations

q Industrial Relations Legal Basis

Labor Regulations
UUD 1945
• Konstitusi: UUD 1945 dan
Amandemen – Pembukaan TAP MPR
dan Pasal 27 ayat 2

• Peraturan Per-UU-an UU / Perpu

Sesuai UU 12/2011
• UU Pokok
Peraturan Pemerintah
Ketenagakerjaan: UU
13/2003 dan Penjelasan Peraturan Presiden
• UU Serikat Pekerja: UU
21/2000 dan Penjelasan Peraturan Daerah Provinsi
• UU PPHI: UU 2/2004 dan
Penjelasan Peraturan Daerah Kota / Kabupaten
51
Industrial Relations

q Industrial Relations Legal Basis

Labor Regulations
• Manpower Act No. 13 of 2003 (UU Pokok Ketenagakerjaan)
• Industrial Relations Disputes Settlement Act No. 2 of 2004 (PPHI)
• Labor Union Act No. 21 of 2000 (Serikat Pekerja)
• PP No. 8 of 2005 (Tata Kerja dan Susunan Organisasi LKS Tripartit)
• Keppres No. 83 of 1998 (Kebebasan Berserikat dan Perlindungan Hak Untuk
Berorganisasi)
• Permenakertrans No. PER.31/MEN/XII/2008 (Pedoman PPHI Melalui Perundingan
Bipartit)
• Permenakertrans No. PER.32/MEN/XII/2008 (Tata Cara Pembentukan dan Susunan
Keanggotaan LKS Bipartit)
• Permenaker No. 28 of 2014 (Tata Cara Pembuatan dan Pengesahan PP Serta
Pembuatan dan Pendaftaran PKB)
• Permenakertrans No. 17 /2010 (Perencanaan Tenaga Kerja Mikro)
• Kepmenakertrans No. KEP.232/MEN/2003 (Akibat Hukum Dari Mogok Kerja)
• SE Menakertrans No. SE-13/MEN/SJ-HK/I/2005 (Putusan MK 28 Okt 2004)
52
Industrial Relations

q Industrial Relations Legal Basis

Other Related Regulations
• Pembukaan UUD 1945
• UU HAM
• KUH Perdata, khususnya Hukum Perjanjian
• UU Perseroan Terbatas
• UU No. 1 Tahun 1974 Tentang Perkawinan

53
Industrial Relations
q Industrial Relations Legal Basis
General Legal Principles
Lex superior derogat lex inferiori:
The higher regulation is override the
lower ones
Lex specialis derogat lex generali:
The specialist regulation is override the The regulations/decision can not be
general ones
Lex posteori derogat lex priori:
The new one is override the old ones
Qui tacet consentire videtur:
Silence may be considered as agree
Nebis in idem:
No one can be punished again for the
same case
Ignorantia legis excusat neminem:
Not knowing the regulations is not an
excuse
Non-Retroaktif / Asas Legalitas:
implemented retro-actively
Labor Law Principles
• Equal Employment / Non-
Discrimination
• No work no pay (Article 93.1)
• No reduction without agreement
54
Industrial Relations

q Industrial Relations Legal Basis

Private Law Principles

Freedom of contract:
Parties is free to make a contract and
agree the content as long as not in the
contrary with the regulations
Pacta sunt servanda:
The agreement is binding as the Law
for the parties who are participated in
Consensuality:
The agreement is legal and binding
when it is agreed by all parties and
fulfill the legal conditions of contract
Null and Void:
The agreement is null and void if the
objective condition is not fulfilled:
subject of the agreement, and the
normative regulations
Pacta tertes ned norcent ned prosunt:
The agreement between two parties is
not applicable for other parties who
are not participating in that agreement.

55
Industrial Relations

q Industrial Relations Institutions

• Union / Union Association • Employer / Employer
(Law No. 13/2003 Article 1 point 17, Association
Article 104), (Law No. 21/2000) (Law No. 13/2003 Article 1 point 17,
• Agreed and made by employees Article 105), (Law No. 1/1987)
in or outside company • Agreed and made by
• Independent to the company employers
• To strive for, defend and protect • Independent to the union
employee’s rights and interests • To strive for, defend and
• To increase employee’s and their protect employer’s rights and
families welfare interests
• Bipartite
(UU 13/2003 Pasal 1 angka 18, Pasal 106), (Regulation No. 32/2008)
• Formed by company, consisted of management’s and employee’s representative
• Compulsary for the company with min 50 employees
• Communication and consultation forum
56
Industrial Relations

q Industrial Relations Institutions

• Tripartite
(UU 13/2003 Pasal 1 angka 19, Pasal 107), (Regulation No. 8/2005)
• Formed by government, consisted of employers association, union,
and government
• Giving advise and suggestion to the government regarding policy
drafting and labor disputes settlement

• Industrial Court
(Act No. 2/2004 Article 1.17-20)
• Formed by government, special court for industrial relations
disputes settlement
• After all non courts process conducted with no result
• District Court and Supreme Court – No Court of Appeals
57
Industrial Relations
q Industrial Relations Actions
Strike
(Law No. 13/2003 Article 1 point 23, Article
137 – Article 145), (Regulation No.
232/2003)
• Planned and actioned by collective
employees
• To slow or stop the work
• Must be conducted without breaking the
law, public order and safety
• It is the individual employee’s right to
join or refuse
• Caused by the negotiation deadlock
• 7 days minimum notice
• Legal strike can not be sanctioned (still
entitle for pay)
Lockout
(Law No. 13/2003 Article 1 point 24, Article
146 – Article 149)
• Company to reject all or some
employees to work
• Must be conducted without breaking the
law, public order and safety
• Caused by the negotiation deadlock
• 7 days minimum notice
• Can’t be conducted as retaliation for
normative demands raised by worker
58
Industrial Relations
q Settlement of Industrial Relations Disputes
Type of Disputes
Dispute of Rights:
Issues due to non-fulfillment of
rights because of differences in
implementation or interpretation of
written provisions (Law, EA, CR,
CLA)
Law No. 2 / 2004 Article 1 point 2
Dispute of Interest:
Issues due to the lack of conformity
of opinion regarding the making or
amendment of terms of employment
in the provisions (Law, CR, CLA)
Law No. 2 / 2004 Article 1 point 3
Contoh:
Pengusaha membayar karyawan di bawah
Upah Minimum (kecuali ada penangguhan
yang sah)
Pengusaha tidak membayar THR atau
membayar THR kurang dari nilai yang
seharusnya (kecuali ada bukti yang sah
merugi)
Menetapkan masa percobaan pada PKWT
Tidak membayar upah lembur atau membayar
upah lembur kurang dari peraturan
Perusahaan merubah isi perjanjian kerja
tanpa adanya kesepakatan dari karyawan
Penetapan kenaikan upah dan/atau
tunjangan
59
Industrial Relations
q Settlement of Industrial Relations Disputes
Type of Disputes
Dispute of Dismissal:
Disputes due to non-compliance
with termination of employment by
either party
Law No. 2 / 2004 Article 1 point 4
Dispute of Unions:
Disputes between Unions in the
company, because there is no
understanding of membership, the
implementation of the rights and
obligations of union of employment
Law No. 2 / 2004 Article 1 point 5
Contoh:
Alasan dalam melakukan PHK tidak disetujui
oleh salah satu pihak
Perhitungan pesangon (tidak disepakati
atau tidak sesuai dengan yang sudah
diatur)
Perebutan anggota
Keterwakilan SP dalam negosiasi PKB
Materi dari SP yang akan dimasukkan ke
dalam negosiasi PKB
60
 Industrial Relations
q Settlement of Industrial Relations Disputes
Settlement Scheme and Steps
Jenis Penyelesaian
Non-Court Settlement Court Settlement
Jenis Tidak Ada Pengadilan
Perseli- Perundingan Disepakati Para Pihak Kesepakatan Pengadilan Hubungan Industrial Hubungan
sihan Bipartit Para Pihak - PN Industrial -
Konsiliasi Arbitrase Mediasi MA
Duration Result Duration Result Duration Result Duration Result Duration Result Duration Result
(1) Putusan PHI Tingkat Pertama,
(2) Penetapan Eksekusi Putusan
Hak
Perjanjian Bersama Kasasi
(Bipartit/Mediasi)
(1) Putusan PHI Tingkat Pertama
(1) Akta (1) dan Terakhir, (2) Penetapan
Perda- Perjanjian Eksekusi Perjanjian Bersama Pemba-
(1)
Kepen- (1) 44 work- maian, Bersama, (Bipartit/Konsiliasi/ Mediasi), (3) talan
Perjanjian
tingan Perjanjian days (2) (2) Penetapan Eksekusi Akta Putusan
Bersama,
Bersama, Putusan Anjuran Perdamaian Arbitrase, (4) Fiat Arbitrase
(2)
(2) Arbitrase 30 work- Mediasi, Eksekusi Putusan Arbitrase
30 work- Anjuran 50 work- 30 work-
Penca- (3)
days Konsili- days days (1) Putusan PHI Tingkat Pertama, days
tatan Gugatan (2) Penetapan Eksekusi
30 work- asi, Putusan
PHK Perseli- ke Penga- Perjanjian Bersama
days (3) Kasasi
sihan ke dilan (Bipartit/Mediasi)
Gugatan
Disnaker Hubung-
ke Penga- (1) Putusan PHI Tingkat Pertama
an
dilan (1) Akta dan Terakhir, (2) Penetapan
Industrial Pemba-
Antar Hubung- Perda- Eksekusi Perjanjian Bersama
an 44 work- talan
Serikat maian, (2) (Bipartit/Konsiliasi/ Mediasi), (3)
Industrial days Putusan
Pekerja Putusan Penetapan Eksekusi Akta
61 Arbitrase
Arbitrase Perdamaian Arbitrase, (4) Fiat
Eksekusi Putusan Arbitrase
Industrial Relations
q Settlement of Industrial Relations Disputes
Settlement Scheme and Steps
Non-Court Settlement
• Bipartite Negotiation
• Employee/Union with Management
• Minutes of negotiation
• 30 workdays
• Mutual Agreement
(Law No. 2/2004 Article 1 point 10, Article 3, 6, 7)
• Mediation
• Employee/Union, Management, and Mediator
• 30 workdays
• Mutual Agreement
• Mediator Recommendation
(Law No. 2/2004 Article 1 point 11-12, Article 4.4, Article 8 –16) 62
Industrial Relations
q Settlement of Industrial Relations Disputes
Settlement Scheme and Steps
Non-Court Settlement
• Consiliation
• Employee/Union, Management and Consiliator
• 30 workdays
• Mutual Agreement
• Consiliator Recommendation
(Law No. 2/2004 Article 1 point 13-14, Article 4.5, Article 17 – 28)
• Arbitration
• Employee/Union, Management and Arbitrator
• Reconciliation Agreement
• 44 workdays
• Arbitrator Decision
(Law No. 2/2004 Article 1 point 15-16, Article 4.6, Article 29 –54) 63
Industrial Relations
q Settlement of Industrial Relations Disputes
Settlement Scheme and Steps

Court Settlement
Law No. 2/2004 Article 1 point 17-20, Article 5, Article 55 – Article 115

• District Industrial Relations Court

• Employee/Union, Management and Judges
• 50 workdays
• Court Decisions
• Execution of previous mutual agreements, reconciliations, non-court
settlements
• Supreme Court
• Employee/Union, Management and Judges
• 30 workdays
• Supreme Court Decision
• Cancellation of previous non-court settlements 64
Industrial Relations
q Settlement of Industrial Relations Disputes
Triggers of Disputes
a. Political/Business Interests
b. Misperception of management vs employee
c. Organization failure
d. Recruitment failure
e. System or process failure
b. Misperception of management
a. Political/Business Interests vs employee
• Internal: Union, Employee, • Historical mindset: bad experience,
Management, Vendors strike, employee is the problem,
management is hiding something,
• External: Union Groups,
etc.
Government, Legislative,
Individual officials, NGOs, • External influence: external vested
Competitors interest
65
Industrial Relations
q Settlement of Industrial Relations Disputes

Keys for Settlement of Disputes in Indonesia

v Common perspective of legal process: v Misperception of dismissal:

• Expensive • PHK is bad
• Time consuming • Management is tricky
v Socio-culture environments: • Employee is greedy
• Paternalistic v Response and Decide Based on
• Religious Valid Data:
• Communal • Don’t assume
v Main influencers of employee • Check and double check
making decision: • Clarity
• Family • Go into detail
• Closed Friends
• Community Group Pressure 66
Industrial Relations
q Settlement of Industrial Relations Disputes

Keys for Settlement of Disputes in Indonesia

v Mutual agreement discussion v Don’t underestimate, people know

goes first, legal process comes
later
v Build and maintain trust through
long relationship, not just
transactional
v The who is more important than
the what
v Face to Face is always more
effective than phone/emails/text
we are telling the truth genuinely, or
not!
v Psychology of crowd: conquer the
head, the tail will follow
v Must believe: disputes can always be
solved!
v Don’t grow the tiger’s kid
v Always learn: read related books,
update regulations regularly
67
HR & IR Discussion
• How many industrial relations disputes you have been handled in your job?
• What triggers caused industrial relations disputes?
• Your approach to solve industrial relations disputes?
• Apakah PK, PP, PKB bersifat optional atau semuanya harus ada di perusahaan?
• Apa hubungan nya PK, PP, PKB, dengan policy, procedures, code of ethics and
hukum yang berlaku?
• Di antara PK, PP, PKB, Policy, Prosedur (SOP), Kode Etik, dan Hukum yang
berlaku, manakah yang lebih tinggi dari yang lainnya?
• Bolehkah perusahaan menahan ijazah karyawan?
• Karyawan hamil di luar nikah apakah berhak atas cuti melahirkan?
• Karyawan menolak penugasan yang sah, dapatkah di-PHK?
• Bolehkah karyawan memiliki usaha/bisnis lain di luar perusahaan?
• Karyawan mengundurkan diri lewat whatsapp, sah kah?
• Karyawan sudah bekerja beberapa waktu lamanya, terbukti belum lulus S1
sebagaimana yang dipersyaratkan dalam pekerjaan, dapatkah perusahaan
menghentikan hubungan kerja? Jika PKWT, haruskah perusahaan membayar68
sisa kontrak?
q Settlement of Industrial Relations
Disputes
Keys for Settlement of Disputes in
Indonesia
• URIP IKU URUP: Hidup itu nyala,
hidup itu hendaknya memberi
manfaat bagi orang lain di sekitar
kita
• SURA DIRA JOYONINGRAT, LEBUR
DENING PANGASTUTI: Segala sifat
keras hati, picik, angkara murka
hanya bisa dikalahkan dengan sikap
bijak, lembut hati dan sabar
• AJA KUMINTER MUNDAK
KEBLINGER, AJA CIDRA MUNDAK
CILAKA: Jangan merasa paling
pandai agar tidak salah arah, Jangan
suka berbuat curang agar tidak
celaka
• NGLURUK TANPA BOLO, MENANG
TANPA NGASORAKE, SEKTI TANPA AJI-
AJI: Berjuang tanpa perlu membawa
massa, menang tanpa merendahkan/
mempermalukan, berwibawa tanpa
mengandalkan kekuasaan (kekuatan/
kekayaan/keturunan)
• SAPA WERUH ING PANUJU SASAT
SUGIH PAGER WESI: Dalam kehidupan
siapa yang punya cita-cita luhur,
jalannya seakan tertuntun
• AJA ADIGANG, ADIGUNG, ADIGUNA:
Jangan sok kuasa, sok besar/kaya, sok
sakti
69