Compiled by By Happy Tarumadevyanto | Independent Consultant | Environmental Asia | happy.devyanto@environmental.asia
Unilateral termination of employment (PHK) carried out by several companies has recently been increasingly discussed. PHK is the termination of employment due to a certain reason that results in the termination of rights and obligations between workers and the company. In other words, there must be a reason behind a company laying off its workers.
In labor regulations, there are reasons underlying the occurrence of layoffs. This is found in Article 154A paragraph (1) of Law No. 13 of 2003 concerning Manpower in conjunction with Law No. 11 of 2021 concerning Job Creation, and Article 36 of PP No. 35 of 2021 concerning Fixed-Term Employment Agreements, Outsourcing, Working Hours and Rest Hours, and Termination of Employment.
How does it feel to lay off an employee? In an organization [Company] working hand in hand is happiness. Unilateral dismissal means there is a top-down mechanism in an organizational structure that is not balanced between the employer and the employee.
It feels NOT GOOD. No matter if the employee was laid off for indiscipline and harm to the company, laying someone off is still an uncomfortable moment. Especially if we know that the employee who was laid off was the mainstay of his family.
There are reducing bad impact to have a win win solution. That Can Be Taken If Unilateral Layoffs Occur
- Efforts that can be made in the event of unilateral layoffs are that workers can submit a joint agreement or resolve the case at the Industrial Relations Court.
