What are the conditions for making a work contract?

Work contracts must be created on the accordance of Pasal 51 Ayat 1 of UU Ketenagakerjaan (Manpower Law): There is an agreement between the two parties – there should be no constraint from either party and both must agree Ability to carry out legal actions – both parties must be mature enough and understand the legal rules related to the contract There is an agreed job – the work must be in accordance with what was agreed upon by both parties The agreed work does not conflict with public order, applicable laws, and regulations – in practice, there may be no activities that break the law

What are the differences between an offer letter and a work contract?

The difference between the two are: Work contracts are legally binding (especially to UU Cipta Kerja), while offering letters are not. The job offer letter is the initial work agreement between the employee and the company. Meanwhile, work contracts provide certainty about the status of workers, whether PKWT or PKWTT. The work contract contains the duration of the contract, while the job offer letter only mention the starting date of a job. A job offer letter doesn’t mean you’ve been officially accepted, but a work contract means you’ve guranteed accepted. The employment contract fully explains the terms of work, rights and obligations of both parties. Meanwhile, a job offer letter only explains the position and job description.

What is the function of a work certificate?

Some of the functions of a Certificate of Employment are: Requirements for applying for credit at the bank Requirements for applying for a job Requirements for scholarship application Requirements for student registration Withdrawal of BPJS funds Opening a new account at the bank

What is the difference between Paklaring, Work Certificate, and Work Recommendation Letters?

Fill in each letter Paklaring: explains that an employee with a certain position and duration of work has worked in a company Job Description: explains that an employee’s status is still working at the company Work Recommendations: letters made by leaders regarding employee performance in the company Publishing time Paklaring: issued when the employee has resigned from the company Job Description: when the employee is still actively working Work Recommendations: requirements for the selection process in a company

What are some document types that needs to use a seal?

In Pasal 3 Ayat 2 in Government Regulation No. 86 of 2021, a list of documents that need to use a stamp duty are: Memorandum of Understanding (MoU), letters of recommendation, statement letters Notary deed and grosse (original copy of the original deed) – Deed of PPAT and its copy Confidential documents in any name or form Securities transaction documents in any name or form, including future contract transactions Bidding documents, including quotations, minutes, copies and grosse Documents stating an amount of money that is greater than 5 million rupiah, which mentions the receipt of money or contains the receipt of payment or settlement of debt in whole or in part Other documents as referred to the UU Bea Meterai (Stamp Duty Law)

Mekari Sign for Human Resources

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Boost HR division’s productivity by automating recruitment agreements and other administrative documents using Mekari Sign

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Send employee contracts more flexibly

Send documents and collect signatures from new joiners easily and receive real-time notifications of documents progress or completion.

Centralized documents in one platform

Organize your HR documents according to your needs and access them easily anytime and anywhere.

Increase efficiency with online contracts distribution

Collect eSignatures with electronic contracts. This way, documents distributions are faster and trackable within Mekari Sign online platform.

Legally acknowledged document validation

Your document is guaranteed valid, since Mekari Sign eSignature is operated under Kominfo and our eMeterai is official from Peruri.

Monitor all document progress

Dashboard with a complete feature that allows you to monitor all workflow and progress. This feature eases you to control all documents that need to be signed.

Contract's due date reminder

Avoid delays in renewing contracts or agreements with various parties by sending automatic reminders to the related parties easily.

The best solution to support HR administrative
documents needs

Simplify documents and contracts signing
process for HR division

Without

Mekari Sign

Complicated contract signing process

Manual document distributions with expeditions can take from days to weeks to arrive.
Manual document distributions takes longer time. The documents need to be printed, packed, and brought to the expeditions.
The process wastes ink and papers, especially for HR division who needs to process every agreements and contracts.

With

Mekari Sign

The process of signing agreements and contracts is simpler and faster

Requesting signatures is easier with Mekari Sign, because the validation process can be completed in a few minutes.
More practical online delivery, the process of submitting documents is completely done online via the email of the parties.
Save money on paper and ink, since Mekari Sign allows you to sign digitally.

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WithoutMekari Sign
WithMekari Sign

Complicated contract signing process

Manual document distributions with expeditions can take from days to weeks to arrive.
Manual document distributions takes longer time. The documents need to be printed, packed, and brought to the expeditions.
The process wastes ink and papers, especially for HR division who needs to process every agreements and contracts.

The process of signing agreements and contracts is simpler and faster

Requesting signatures is easier with Mekari Sign, because the validation process can be completed in a few minutes.
More practical online delivery, the process of submitting documents is completely done online via the email of the parties.
Save money on paper and ink, since Mekari Sign allows you to sign digitally.

All employee contracts are organized
and stored neatly

Without

Mekari Sign

Documents and files are scattered without centralized storage

Employee recruitment documents have limited access by archiving the documents manually.
High risk of documents loss or missing by using manual storage with a complicated process.
Physical documents are prone to be damaged if there's natural disasters occurred.

With

Mekari Sign

Documents and files are stored in one platform

Access online documents anytime and anywhere. Cloud-based storage allows documents to be accessible 24/7.
All documents are stored in one platform, so you can access them anywhere and anytime you need.
Prevent document's risk of damage with more secured electronic documents and agreement.

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WithoutMekari Sign
WithMekari Sign

Documents and files are scattered without centralized storage

Employee recruitment documents have limited access by archiving the documents manually.
High risk of documents loss or missing by using manual storage with a complicated process.
Physical documents are prone to be damaged if there's natural disasters occurred.

Documents and files are stored in one platform

Access online documents anytime and anywhere. Cloud-based storage allows documents to be accessible 24/7.
All documents are stored in one platform, so you can access them anywhere and anytime you need.
Prevent document's risk of damage with more secured electronic documents and agreement.

Monitor every progress of vendor
cooperation contracts

Without

Mekari Sign

Difficult to track contract's signing progress

Physical document distribution with manual process causes difficulty to monitor the progress in real-time.
Physical documents are prone to be counterfeited since the documents are unable to be tracked and audited.
The documents can be easily overlooked, causing delays on the financial documents signing process.

With

Mekari Sign

Easy to track every progress of contracts signing process

Send coordination contracts to the vendors automatically and access them anytime in real-time.
Any changes are tracked and recorded with audit trails feature since it has the ability to notify any slight changes on the document.
Set contract's due date reminder to make sure all documents are signed by all related parties on time before the deadline.

WhatsApp now Free trial

WithoutMekari Sign
WithMekari Sign

Difficult to track contract's signing progress

Physical document distribution with manual process causes difficulty to monitor the progress in real-time.
Physical documents are prone to be counterfeited since the documents are unable to be tracked and audited.
The documents can be easily overlooked, causing delays on the financial documents signing process.

Easy to track every progress of contracts signing process

Send coordination contracts to the vendors automatically and access them anytime in real-time.
Any changes are tracked and recorded with audit trails feature since it has the ability to notify any slight changes on the document.
Set contract's due date reminder to make sure all documents are signed by all related parties on time before the deadline.

Frequently Asked Questions (FAQ)

Why electronic signature?

Compared to conventional signatures, electronic signatures certainly has several benefits. Some of them are; reducing costs, saving time, better security, increasing productivity, and environmentally friendly.

Mekari sign is an electronic signature provider but we give more than that, from eMeterai, online stamp, audit trail, eKYC to electronic contract management.

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An employment contract is a written agreement between an employee and an employer that contains rights, obligations and terms of employment. This letter is mandatory for the company to provide for prospective employees before they start their job officially. However, companies must comply with the applicable UU Ketenagakerjaan (Labor Law).

The legal basis that binds the Work Contract Agreement is UU No. 13 of 2003 concerning Manpower (Ketenagakerjaan). To be precise, according to Pasal 1 Ayat 14:

“A work agreement is an agreement between a worker/labourer and an employer which contains terms of employment, rights and obligations of the parties.”

Work contracts must be created on the accordance of Pasal 51 Ayat 1 of UU Ketenagakerjaan (Manpower Law):

There is an agreement between the two parties – there should be no constraint from either party and both must agree
Ability to carry out legal actions – both parties must be mature enough and understand the legal rules related to the contract
There is an agreed job – the work must be in accordance with what was agreed upon by both parties
The agreed work does not conflict with public order, applicable laws, and regulations – in practice, there may be no activities that break the law

The difference between the two are:

Work contracts are legally binding (especially to UU Cipta Kerja), while offering letters are not.
The job offer letter is the initial work agreement between the employee and the company.
Meanwhile, work contracts provide certainty about the status of workers, whether PKWT or PKWTT.
The work contract contains the duration of the contract, while the job offer letter only mention the starting date of a job.
A job offer letter doesn’t mean you’ve been officially accepted, but a work contract means you’ve guranteed accepted.
The employment contract fully explains the terms of work, rights and obligations of both parties. Meanwhile, a job offer letter only explains the position and job description.

A work certificate is a written letter containing information or a statement that you work for a company. The information details are: name, title, address, and other personal data. Usually, this letter is made by HRD or the company’s boss at the request of the employee. This letter is also known as Paklaring or work experience letter.

Some of the functions of a Certificate of Employment are:

Requirements for applying for credit at the bank
Requirements for applying for a job
Requirements for scholarship application
Requirements for student registration
Withdrawal of BPJS funds
Opening a new account at the bank

The differences between each of these letters include:

1. Work Contract

A work contract is a written agreement regarding an agreement between the worker and the employer regarding rights, obligations and conditions of work. It contains points regarding position and type of work, nominal wages, term of contract, employment status, benefits, and other important points regarding workers’ rights and obligations.

2. Work Recommendation Letter

A recommendation letter is a document that guarantees someone based on the characteristics and classification of that person. This letter must be able to describe the person’s qualities, integrity, and even his leadership potential. As a result, this letter can be used to justify, state, or strengthen something from the applicant.

3. Work Experience Letter

A work experience letter is a letter that the company makes and contains information about expertise, behavior and skills at work. This letter usually explains your last position and how long you worked at the company.

Paklaring is a letter explaining that you have worked in a company with a certain position and period of time. Therefore, this letter is given to you when you are no longer working at the company.

Fill in each letter
- Paklaring: explains that an employee with a certain position and duration of work has worked in a company
- Job Description: explains that an employee’s status is still working at the company
- Work Recommendations: letters made by leaders regarding employee performance in the company
Publishing time
- Paklaring: issued when the employee has resigned from the company
- Job Description: when the employee is still actively working
- Work Recommendations: requirements for the selection process in a company

In Pasal 3 Ayat 2 in Government Regulation No. 86 of 2021, a list of documents that need to use a stamp duty are:

Memorandum of Understanding (MoU), letters of recommendation, statement letters
Notary deed and grosse (original copy of the original deed) – Deed of PPAT and its copy
Confidential documents in any name or form
Securities transaction documents in any name or form, including future contract transactions
Bidding documents, including quotations, minutes, copies and grosse
Documents stating an amount of money that is greater than 5 million rupiah, which mentions the receipt of money or contains the receipt of payment or settlement of debt in whole or in part
Other documents as referred to the UU Bea Meterai (Stamp Duty Law)

According to the policy contained in UU No. 10 of 2020 concerning Stamp Duty; a 10,000 stamp duty will be imposed on documents declaring an amount of money with a nominal value of more than IDR 5,000,000.00 which: