Indonesia’s labor working hours

As we all know, all rights and by laws. A good employee shall contribute his/her best towards the well being of the company. As an employee, we all can do this. By woking diligently everyday when we arrive to the office every single day. But as humans we all have both physical and mental limitations upon doing any activities. And this is why, the Indonesian local government has set up a certain law for working hours.

So what is the Indonesia’s Labor Working Hours based on Indonesian’s Ministry of Manpower?

To protect workers and the rights of its citizens. The Indonesian government has actually set several rules regarding working hours. Let’s take a look at Act No. 13 of 2003 article 77 to article 85 in Manpower Regulation as an example. The law states that every employer must protect the working hours for their employees. If employees work beyond normal working hours. Then the companies must pay overtime fees to their employees.

Indonesia's labor

In Indonesia itself. The official total working hours for a week is 40 hours. But companies can create their own sets of schedules and shifts. As long as it doesn’t go beyond 40 hours/week. This is why Indonesian companies have formed different kinds of shifts to conform to this regulation. From the normal 8 hours/day regular office hours(Monday to Friday). To 6 hours/day on normal weekdays, and half a day shifts on weekends for some F&B industries sectors.

Is the Labor Working hours same for everyone?

Though the Indonesian Ministry of Law has set a 40 hours/week working limit for Indonesian companies. Please take note that the law only focuses on the number of working hours. But not what time one should start or end his work. For the working time schedule of employees. The government regulates it in another article. Which is Article 108 paragraph 1 of Law No.13- 2003. In this article. Companies must state the schedule of its working time in Collective Labor Agreement in its company regulations.

indonesia's labor

Article 108 paragraph 1 of Law No.13- 2003 does not apply to everyone. With exceptions made, especially for industries that are vital and crucial for the benefits of the society. Or those that are related to productions of energy. For this vital industries. The regulation regarding working hours and shifts are regulated under the Indonesian Ministry of Manpower Decree No.223 Article 3 paragraph number 2. In this article, Industries in the field of health services, transportation services, tourism, transportation, electricity, conservation groups, and related industries can have their own types of working shifts. This is since the industry must continue to operate, regardless of weekends/holidays.  In these vital industries, operation must continue even on national holidays.

If an employee is late, can i cut his/her wages?

The rights to cut down one’s salary depends on contract. Some written contracts state salary cuts for lateness/absenteeism, some don’t. Even on public services such as the Indonesian ministry of Finance. Government officials who are late or get off earlier by just even a minute can be fined. Penalty is usually given in salary bonus cut by 0.5%. This rule have even been regulated by the Minister of Finance regulation no 41/PMK01/2011 concerning enforcement of discipline in relation to giving special allowances for state financial development to civil servants in the Ministry of Finance.

In this provision, there are six types of violations that can be subject to TKPKN deduction, namely not entering work without permission, being late for work, returning prematurely, obtaining a written warning letter (SP), being disciplined, and sentenced to temporary termination from his position. But remember, though the employer might be able to cut down on an employee’s wages. Employers do not have the rights to cut the basic rights of employees. Example includes; meal compensations that is a part of the wage payment. Based on the Indonesian government rules, all employees who worked for 4 hours must receive meal compensations.

How can i calculate the right labor working hours?

We do understand that it is hard to calculate labor working hours. This is why Albam has provided a free Time Attendance/ Shift management App for everyone.  The app provides specific functions: From Time Attendance Management to customizable work schedules. The solution even came in with an optional Albam device that is provided for FREE* (Shipping costs excluded) for Albam’s users.

Albam’s offering came in 2 versions of Apps that are available both for IOS & Android, one for HR Managers and the other one for Staffs.

With the manager app, business owners & HR personnels are able to assign employees’ working hours, set schedules, view overall employees’ working statistics from lateness, number of check-in times and overtime information. Albam also facilitates the creation of multiple stores for corporates that have many branches. Each controlled by administrators that hold different levels of authority as per assigned by the owner/HR manager of the company.

On the other version; the Staff App allows employees to clock in and clock out directly from their cell phone. View their work info, records and even request to amend them with permission from their manager.

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