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1 Q : What if the employees demand to get termination
payment because they feel that they no longer work
for the previous company ?
A : As far as the employees still continue working in the new
Company resulted from Merger or Acquisition, the
previous company or the new company has no
obligation to issue termination payment. Indonesia
Labor Law does not necessitate Company to give
termination payment
2 Q : How is the employees' service years in the previous
company related to the transfer of employment of the
employees to continue working in new Company ?
A : The liabilities of previous company related employees'
service year that affect the severance pay must be settled
with the new company. Service years of the employees are
carried forward to the new company
3 Q : What if the employees insist to get the termination
payment ?
A : Provided that employees continue to work in the new
company, company can defend its position for not
giving the termination payment
•
•
•
(http://www.acas.org.uk/index.aspx?articleid=1410)
Merger & Acquisition:   Impact to Employment ?

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Merger & Acquisition: Impact to Employment ?

  • 1.
  • 2.
  • 3.
  • 4.
  • 5.
  • 6. 1 Q : What if the employees demand to get termination payment because they feel that they no longer work for the previous company ? A : As far as the employees still continue working in the new Company resulted from Merger or Acquisition, the previous company or the new company has no obligation to issue termination payment. Indonesia Labor Law does not necessitate Company to give termination payment
  • 7. 2 Q : How is the employees' service years in the previous company related to the transfer of employment of the employees to continue working in new Company ? A : The liabilities of previous company related employees' service year that affect the severance pay must be settled with the new company. Service years of the employees are carried forward to the new company
  • 8. 3 Q : What if the employees insist to get the termination payment ? A : Provided that employees continue to work in the new company, company can defend its position for not giving the termination payment
  • 9.