The Implementation of Employment Agreements in Indonesian Labour Law Based on Justice of Pancasila

DOI

10.2991/978-2-38476-110-4_72How to use a DOI?

Keywords

Economic Development; Employment Agreement; Labour Law; Globalization

Abstract

This article examines the implementation of employment agreements that give rise to legal relationships between employers and workers/employees based on Indonesian labour law. As an essential element, there needs to be a balanced position between the parties in this agreement to realise the concept of property rights justice. However, in practice, employers become more dominant than workers/employees due to their favourable position. The employment agreement is a dwang contract, which must be subject to labour law, and therefore the parties cannot determine their own wishes in the agreement. This often creates an imbalance between employers and employees. Although the principle of freedom of contract should apply in agreements, due to the unbalanced position of the parties, especially workers, they cannot freely make employment agreements according to their wishes. The method used in this research is normative juridical legal research method. Work agreements are usually made by companies, so in general they prioritise the things that the company wants, but that does not mean that companies can ignore workers. Some of the problems that cause inequality in this agreement are non-conducive working conditions, the wage system, the mechanism for terminating employment, and the lack of fulfilment of workers’ rights. Ideally, the concept of a work agreement that is in line with the development of the business world must protect the rights and obligations of the parties and support the economic development of the nation and state so that it can adapt to the demands of globalisation. The principle of proportionality in employment agreements is needed to fulfil the sense of justice of each party, both employers and workers, in accordance with their respective portions.

Copyright

© 2023 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Marlinah
AU  - Johni Najwan
AU  - Yetniwati
PY  - 2023
DA  - 2023/11/07
TI  - The Implementation of Employment Agreements in Indonesian Labour Law Based on Justice of Pancasila
BT  - Proceedings of the 4th Green Development International Conference (GDIC 2022)
PB  - Atlantis Press
SP  - 730
EP  - 742
SN  - 2352-5398
UR  - https://doi.org/10.2991/978-2-38476-110-4_72
DO  - 10.2991/978-2-38476-110-4_72
ID  - 2023
ER  -