IMPLEMENTATION OF OUTSOURCING ( TRANSFER) JOB UNDER LABOR LAW NUMBER 13 YEAR 2003 Siswanto
Borobudur University
Abstract
Competition in the business world between companies makes companies have to concentrate on a series of processes or activities to create products and services related to their main competencies. With the concentration on the main competencies of the company, a number of quality products and services will be produced that are competitive in the market. In an increasingly tight corporate climate, companies are trying to make cost of production efficient. One solution is the outsourcing system, where with this system the company can save expenses in financing the human resources (HR) working in the company concerned. Outsourcing is defined as the transfer or delegation of several business processes to a service provider agency, where the service provider agency carries out administrative and management processes based on definitions and criteria agreed upon by the parties. Outsourcing in Indonesia is regulated in the Manpower Law Number 13 of 2003 (articles 64, 65 and 66) and the Decree of the Minister of Manpower and Transmigration of the Republic of Indonesia No. Kep.101/Men/VI/2004 of 2004 concerning Procedures Agreement of Employer/Laborer Service Provider Company and Kepmenakertrans. The results of the study stated that the implementation of job transfers to other parties in the company must be carried out in accordance with applicable provisions both under Law No. 13 of 2003 and the decision of the
Minister of Manpower and Transmigration and can achieve business goals, namely process efficiency and focus on business. In Law No. 13 of 2003 and the Decree of the Minister of Transmigration, it has been regulated in detail the procedures for implementing the transfer of work to other parties, so that by referring to these two regulations the company can properly transfer work to other parties.
Keywords: outsourcing, manpower law, business world