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PERATURAN PERUSAHAAN (COMPANY REGULATION) Periode : 2015 s/d 2017 COMPANY ADDRESS 1

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Page 1: Company Regulation WITH MUSLIM EMPLOYEES

PERATURAN PERUSAHAAN (COMPANY REGULATION)

Periode : 2015 s/d 2017

COMPANY

ADDRESS

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PREFACE

Dear Employee,

COMPANY primary investment in order to achieve the company’s goals has been, and will continue to be employees.

In order to facilitate a good understanding, level of commitment and good working relationship between COMPANY and its employees, the company issues the following company regulations. These company regulations which have been created in accordance with Indonesian Law, will form a guidelines for both company and employee in conducting their duties and obligations.

Regards,

Senior HR Manager

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DAFTAR ISI TABLE OF CONTENT

Pengantar 2 Preface 2

Daftar Isi 3 Table of Content 3

Bab I Ketentuan Umum Chapter I General Outline

Pasal 1 Pengertian & Istilah 5 Article 1 Definition & Terminology 5

Pasal 2 Maksud dan Tujuan 10 Article 2 Objectives and Purposes 10

Pasal 3 Ruang Lingkup Peraturan Perusahaan

10 Article 3 Scope of Company Regulation 10

Bab II Penerimaan Karyawan Chapter II Recruitment

Pasal 4 Syarat-Syarat Penerimaan Karyawan

11 Article 4 Requirement for Employment 11

Pasal 5 Status & Penggolongan Karyawan 12 Article 5 Employee’s Status & Grading 12

Bab III Penempatan & Pengembangan Karyawan

Chapter III Employee Placement & Development

Pasal 6 Penempatan Karyawan 13 Article 6 Employee Placement 13

Pasal 7 Penugasan Karyawan 14 Article 7 Employee Assignment 14

Pasal 8 Pengembangan Karyawan 14 Article 8 Employee Development 14

Pasal 9 Mutasi (Promosi, Rotasi & Demosi)

16 Article 9 Mutation (Promotion, Rotation & Demotion)

16

Bab IV Peraturan Kerja Chapter IV Work Regulation

Pasal 10 Peralatan & Sumber Daya Kerja 17 Article 10

Work Tools & Resources 17

Pasal 11 Hari dan Waktu Kerja 17 Article 11

Working Days & Hours 17

Pasal 12 Daftar Kehadiran 18 Article 12

List of Attendance 18

Pasal 13 Kerja Lembur 19 Article 13

Overtime Work 19

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Pasal 14 Perjalanan Dinas 19 Article 14

Business Travel 19

20 Article 15

Shift Work 20

20 Article 16

On Call Work 20

20 Article 17

Equal Employment Opportunity 20

20 Article 18

Sexual Harassment 20

21 Article 19

Drugs, Alcohol & Additive Substance

21

22 Article 20

Security 22

22 Article 21

Work & Social Life Balance 22

22 Article 22

Retirement 22

23 Article 23

Resignation 23

24 Article 24

Unauthorized Absence and Qualifcation of Resignation

24

25 Article 25

Amount of Compensation 25

Chapter V Employee’s Rights & Obligations

25 Article 26

Employee’s Rights 25

25 Article 27

Employee’s Obligations 25

Chapter VI Company’s Rights & Obligations

26 Article 28

Company’s Rights 26

27 Article 29

Company’s Obligations 27

Chapter VII Dicipline & Diciplinary Action

27 Article 3 Disciplinary Action 27

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0

28 Article 31

Categories of Disciplinary Action 28

29 Article 32

Termination of Industrial Relation 29

29 Article 33

Termination of Employment on Probation Period

29

30 Article 34

Termination of Employment due to Company’s Rationalization

30

30 Article 35

Level of Violations, Type of Sanction, and Term of Sanctions

30

31 Article 36

Type of Violations and Sanction 31

38 Article 37

Procedures for Serving Warning Letter

38

Chapter VIII Salary System

40 Article 38

Salary Principle 40

40 Article 39

Overtime Allowance 40

41 Article 40

Per Diem Allowance & Additional Salary

41

41 Article 41

Performance Bonus 41

41 Article 42

Cash Benefit Payment 41

Chapter IX Leave & Authorized Absent

42 Article 43

Leave 42

44 Article 44

Authorized Absent 44

Chapter X Welfare & Other Social Benefit

46 Article 45

Religious Feast Allowance (THR)

46

47 Article 46

Health & Medical 47

50 Article 47

Special Event Charity 50

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50 Article 48

Manpower Social Security 50

51 Article 49

Long Service Award 51

Chapter XI Health & Safety

51 Article 50

Work Safety 51

51 Article 51

Work Accident 51

Chapter XII Complaint Settlement

52 Article 52

Complaint Settlement 52

Chapter XIII Closing

53 Article 53

Closing 53

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CHAPTER I

GENERAL REQUIREMENT

Article 1

Definition & Term

1. Company is COMPANY, a limited liability company having its office at

2. Employer is the owner of Company, or the Chairman of Company managing the Company as defined in the Company’s Articles of Association, which is the Board of Directors or authorized Officer to act for and on behalf of and represent the Company.

3. The applicable Laws and Regulations are all provisions issued by the Government of the Republic of Indonesia and its Implementing Regulations.

2. 2. By the end of the Industrial Relation, then the relationship between Employee and Company has ended and therefore the rights and obligations between them are over.

3. 3. Termination shall be carried out in accordance to the applicable manpower law and regulations.

Article 33

Termination during the Probation Period

1. 1. During 3 (three) months Probation Period, both Employer and Employees have the right to terminate the Industrial Relation at any time.

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2. 2. Employer is not obliged to provide any compensation to the Employee, except for an unpaid Salary of such Employee.

3. 3. Neither Party is entitled to file lawsuits or other claims due to Industrial Relation termination during Probation Period

Article 34

Termination of Employment due to Rationalization of the Company

1. 1. The Company may undertake rationalization in order to improve performance and productivity of the Company, such as conduct changes in organizational structure, reduction of office/division/department/unit of the Company.

Article 35

Level of Violations, Type of Sanctions, and Term of Sanctions

1. Tingkat PelanggaranLevel of Violation

SanksiSanction

Masa BerlakuPeriod

1) Pelanggaran Tingkat IViolation Level I

Teguran LisanVerbal Warning

3 bulan3 months

2) Pelanggaran Tingkat IIViolation Level II

Surat Peringatan IWarning Letter I

6 bulan6 months

3) Pelanggaran Tingkat IIIViolation Level III

Surat Peringatan IIWarning Letter II

6 bulan6 months

4) Pelanggaran Tingkat IVViolation Level IV

Pemutusan Hubungan Kerja (PHK)Termination of Industrial Relation

2. 2. If within the period of a Warning Letter, the Employee does not conduct any violation, such Warning Letter will not be valid for the next employment period.

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3. 3. Employee who is given Warning Letter I and II suffered losses in all matters related to human resources.

Article 36

Type of Violations and Sanction

Implementation of Sanction for Violation of Working Dicipline is basically not the objective of the Company, but such action is deemed as necessary to protect, preserve, and maintain morale and work ethics within the Company. In determining sanctions to be implemented to Employees, the Company will take into consideration the level of violation, frequency, categories of violation, and other factors which have influence to the occurrence of such act of violation. The Company will take one of these disciplinary actions to be implemented to Employees who conduct errors/violation:

A. A. Violation Level I (Verbal Warning) is given if employee:

1. Not wearing ID Card given by the Company in Company premises.

2. Dressed unappropriately and/or wearing sandal to the office without any acceptable reason based on Company rules concerning work attire.

3. Does not conform to the Working Hours applied in the Company without any acceptable reason.

4. Using the Company’s telephone/telex/fax for personal affair without permission from authorized supervisor.

5. Littering the Company’s environment by throwing trashes

6. Refuse to cooperate with other Employees.

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7. Does not keep neatness and cleanness of workstation, working equipment, and Company environment.

8. Violate work discipline, including coming late or left early before the end of working hours for 3 (three) times in a month without approval from supervisor.

9. Absent for 3 (three) Working Days in a month without written notification and acceptable reason.

10.

Conducting other violation which is deemed as equal with actions mentioned above based on a decision of the Chairman of the Company.

11.

Does not inform supervisor or taking any preventive action when being aware of incidents or threats which could do harm to the Employee and the Company.

12.

Does not record attendance in accordance with the applied procedures.

13.

Does not present in workstation during Working Hours without an acceptable reason

14.

Doing work which is not associated to office work in Working Hours.

15.

Does not obey order/direction from supervisor related to arrangement of assignment.

16.

Does not finish assignment and fulfill responsibility given by the supervisor without reason

17.

Speaks and act rudely to other Employees and causing unnecessary distraction in the Company premises.

18.

Works in other Division/Departement premises without any business associated to his/her assignment.

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19.

Forces his/her assignment to other Employees or doing other assignment which is not his/her own without permission from his/her Supervisor

20.

Playing games in Working Hours.

21.

Commit vandalism within or outside Company premises.

22.

Conduct personal business in Company premises

23.

Refuses to do an Overtime assignment which is assigned by his/her supervisor.

24.

Commits other kind of violations deemed as equal to the above mentioned violations

25.

Does not report changes of the Employee’s personal data such as address, marriage status, etc. to the Company in accordance with the applicable procedures.

26.

Cross out or change the legal documents (doctors recomendation) with the aim of extending the information that is given by hospital doctor / clinic.

B. B. Level II Violation (Warning Letter I) is given if the Employee:

1. Tear off, cross out, or rip off announcement/notices pasted on the announcement board without order or permission from authorized supervisor.

2. Does not try to improve in performing his/her assignment, although it has been tried everywhere.

3. Leaves Work without permission from his/her Supervisor.

4. Refuses to be checked (luggage,

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handbags, clothing, and physical examination).

5. Deliberately being negligent in performing assignment or responsibility which is given by a supervisor.

6. Sleeps during Working Hours

7. Does not report damages on working equipment belong to the Company which is part of the Employee’s responsibility.

8. Being on working area on Holiday without an obvious reason and permission from a supervisor.

9. Violate work discipline, including coming late or left early before the end of Working Hours for 5 (five) times in a month without approval from a supervisor.

10.

Absent for 5 (five) Working Days in a month without written notification and an acceptable reason by the Company.

11.

Doing repetition of violation which is categorized as Level I Violation.

12.

Conducting other kind of violations deemed as equal to the above mentioned violations based on decision of the Chairman of the Company.

13.

Refuses to take medical examination ordered by the Company without reasonable excuse.

14.

Refuses to carry out mutation or rotation.

15.

Provides fake doctors recomendation or doctors recommendation without doctor's examination.

16.

Commits forgery of the Company’s letter or document.

17 Smoking in a prohibited area

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. within the Company premises.

18.

Causing distraction in working environment by commiting verbal sexual harassment to other people.

C. C. Level III Violation (Warning Letter II) is given if the employee:

1. Refuses assignment set by supervisor.

2. Commiting violation / neglecting assignment which causes losses to the Company.

3. Violate work discipline, including coming late or left early before the end of Working Hours for 7 (seven) times in a month without approval from a supervisor.

4. Using Company’s telephone/telex/fax for personal affair without permission from authorized supervisor.

5. Commit actions which could lead to violence or mischief in the Company premises

6. Spread false news that causes damages to the Company or other Employee.

7. Doing assignment or activity which is not part of the Employee’s duty or responsibility or beyond a predetermined work instructions.

8. Conduct an act which harms other Employee or his/her supervisor which is contrary to the Company Regulation.

9. Absent for 7 (seven) Working Days or more within a month without written notification and an acceptable reason.

10. Taking classified documents, copies of documents, or other

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written material without permission or approval from an authorized superior.

11. Reporting other Employee’s attendance roll and / or asking for help to others to report his/her for presence.

12. Doing repetition of violation which is categorized as Level II Violation.

13. Commit other kind of violations deemed as equal to the above mentioned violations based on decision of the Chairman of the Company.

D. D. Level IV Violation (Mistakes seen as urgent condition/reason so that Termination may be conducted without warning letters):

1. Expose any Company’s secret or defame Directors / Chairman of the Company and/or the family that should be kept secret

2. Getting drunk, overdosed, taking drugs or abusing drugs (narcotic) or other stimulants banned by the Government.

3. Gambling in the Company’s premises.

4. Persuade the Chairman of the Company or fellow Employee to commit acts that are contrary to morality or prevailing law and regulations.

5. Deliberately or carelessly or negligently causing damage and/or loss of goods owned by the Company, or causing losses or leave the Company’s property and building in danger.

6. Deliberately or carelessly performing his/her Work which could cause harm/danger to

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him/herself, other Employees, supervisor and the Chairman of the Company.

7. Conducting fraud, theft, and embezzlement of goods/money owned by the Company or property of other Employees.

8. Without legitimate authority, bring to the Company premises sharp weaponary, gun, firecrackers or other explosives material which have nothing to do with his/her task or position.

9. Commit sexual misconduct or gambling in workplace.

10. Mistreat, physically or mentally committing threats, insults a supervisor, sub-ordinate, other Employees, and/or the Chairman of the Company or their families.

11. Attack, intimidate, or deceive other Employees and selling prohibited goods inside or outside the Company premises.

12. Work for other company or carry out similar business activity with the Company’s business activity or other business activities without written permission from the Company.

13. Commit collusion, corruption, bribery, or fraud which could lead to direct or indirect losses to the Company.

14. Commit sabotage which could lead to direct or indirect losses to the Company.

15. Fight in the Company premises against Supervisor, other Employee, Director/Chairman of the Company or other people.

16. Gives false information or falsified information which could lead to losses for the Company.

17. Absent for 10 (ten) days straight

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without an acceptable written notification and has been summoned properly twice.

18. Using the position, title, authority, name, and facility of Company to carry out actions that benefit themselves as well as third parties and result in losses for the Company.

19. Organize or attend an illegal meeting/conference, distribute/posting posters, flyers, circular letter without permission from the Chairman of the Company which are inciting or contrary to government policy.

20. Commit other acts which are punishable by imprisonment.

21. Doing repetition of violation sanctioned by Warning Letter within the period of validity of the previous Warning Letter and after being accumulated exceeds the limit of Warning Letter II.

22. Commit other kind of violations deemed as equal to the above mentioned violations based on the decree of Director or Chairman of the Company.

Article 37

Procedures for Serving Warning Letter

1. 1. The sequence of warnings could be given in order but could also be given directly in accordance with the commited violation.

2. 2. Verbal Warning for level I violation is given by:

- Direct supervisor or an authorized official for violation of

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the Company rules.

3. Warning Letter Sanction (Warning Letter I and Warning Letter II) and Termination of Industrial Relation Sanction for violation level II, III, and IV is given by:

Sanksi Surat Peringatan (SP)

Warning Letter Sanction

Sifat

Nature of Sanction

Diberikan Oleh

Given by

Surat Peringatan Pertama Tindakan korektif Tingkat Kedua terhadap pelanggaran untuk dapat diperbaiki

Atasan Langsung / Dept. HRD atas permintaan tertulis

First Warning Letter Second corrective measures against minor violations to be fixed

Direct Supervisor / HRD Departement by written request.

Surat Peringatan Kedua Tindakan Korektif Tingkat Ketiga dan Terakhir dengan ancaman PHK

Atasan Langsung / Dept. HRD atas permintaann tertulis.

CC.

Kepala Departemen/Unit Bisnis Cabang, Pimpinan Perusahaan

Second Warning Letter Third and Final corrective measures punishable by termination of Employment.

Direct Superivisor / HRD Departement by written request.

CC.

The Head of the Departement / Branch, the Chairman of the Company.

Sanksi PHK Tindakan PHK Direksi atas permintaan Dept. HRD

CC.

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Kepala Departemen/Unit Bisnis /cabang, Pimpinan Perusahaan

Termination of Employment Termination of Employment Director by request from the HRD Departement.

CC.

The Head of the Department / Branch, the Chairman of the Company.

Article 38

Salary Principle

1. 1. Salary should reflect fairness. Fairness can only be achieved if the amount of the Salary is based on Work value and degree (Work evaluation), in its respective function and position and also his / her performance on the respective function.

2. 2. The amount of the Salary is not affected by gender, Employee’s family status or any other element of discrimination (SARA).

3. 3. Subject to the Company’s discretion, the Company may give Salary increase to Employee with significant performance.

4. 4. Subject to the Company’s discretion, the Company may give Salary increase to Employee with significant performance.

5. 5. The Employee’s Salary provision and its administration shall be managed as “strictly confidential”.

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Article 39

Overtime Allowance

1. 1. Overtime Work Allowance will only be given to Employee whose PHP not included as thinker, planner, implementer and controller of the Company which their working hour is not limited based on the Working Hours determined by the Company and/or in a position below managerial level and does not represent company.

2. 2. Incentives for operational overtime on holidays is given to employee who works on public or national holidays on the orders of his/her superior as set out in the company policy.

3. 3. Maximum Overtime Work hour and Overtime Allowance will be carried out in accordance with the prevailing manpower laws and regulation regarding Overtime Work and Overtime Work Allowance

Article 40

Per Diem Allowance and Additional Salary

1. 1. The Company will provide per diem allowance for Employee on Business Travel or assignment outside base office.

2. 2. The Company will provide additional Salary for Employee on overseas assignment.

3. 3. The amount of per diem allowance and additional Salary is set out separately in the company policy for Business Trip and assignment.

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Article 41

Performance Bonus

1. 1. The Company may decide to introduce performance bonus system depends on the Company’s and Employee’s performance / ability .

2. 2. Issuance of performance bonus and its amount are the Company’s discretion and will be managed separately in the Company policy.

Article 42

Cash Benefit Payment

1. 1. Salary, all types of allowances, and bonuses will be paid as gross income.

2. 2. Employee is responsible for paying their income tax. The Company will administer and submit the tax to the tax office, on behalf of the Employee, for all income derived from employment with the Company. However, the Employee is ultimately responsible for ensuring the income tax paid on their behalf is correct and is also responsible for the payment of additional income tax derived from any other income outside of that derived from their employment with the Company.

CHAPTER IX

LEAVE & AUTHORIZED ABSENT

Article 43

Leave

1. 1. Employee is eligible for Annual Leave in

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accordance with the prevailing manpower laws and regulations and relevant Company’s policy. Managers /Supervisors is authorized to give consent for taking a right of Annual Leave

2. 2. Employee is entitled for Annual Leave of 12 (twelve) working days per year if such Employee has worked with the Company for 1 (one) year.

3. 3. For Employee who is in Probation Period, leaves shall only be taken after the employee passes the Probation Period and entitled to leaves in accordance with his/her working period

4. 4. During Annual Leave, the Employee shall still receive his / her Salary.

5. 5. Procedure and implementation provisions of Annual Leave is set out separately in the Company Policy.

6. 6. Procedure and implementation provisions of Annual Leave is set out separately in the Company Policy.

7. 7. Maternity Leave:

a. Maternity leave is applicable to female Employee who has worked with the Company for 12 (twelve) months.

b. Female Employee is entitled to have Maternity leave for a total of 1.5 months before and 1.5 months after delivery date and receive full Salary.

c. c. In particular, for a female Employee

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who suffers from miscarriage shall obtain leave for 1,5 months after such miscarriage or based on medical letter from obstetrician.

d. d. Employee may apply for a prolonged maternity leave for maximum period of 1 month without being paid on permission from his/her superior.

e. e. Implementation procedures and provisions of maternity leaves is regulated in Company Rules.

8. 8. Sick Leave

a. a. An Employee who is unable to perform his / her duties due to illness including menstruation for more than 1 (one) day is required to inform the Company at the same day through his / her direct supervisor, manager / supervisor level, and provide a doctor recommendation maximum on the first day of work. Without this doctor recommendation, the sick days shall be accounted by deducting the Annual Leave or Salary of such Employee. Annual Leave or Salary deduction is set out further in the Company Policy.

b. b. In the case of sick leave takes place continuously for a long time as supported by a doctor recommendation, his / her Salary shall be paid in accordance with the prevailing manpower laws and regulations.

c. c. If after 12 (twelve) months sick leaves, supported by doctor recommendation, the Employee is still in sick condition, the Company may conduct Termination of Industrial Relation in accordance withthe prevailing manpower laws and regulations.

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9. 9. The Company also provides another form of leave such as unpaid leave.

Article 44

Authorized Absent

1. Authorized Absent shall be defined as permission given to Employee who requests to leave the office during office hour, with or without being paid. The company will give permission if the leave is not interfering the Company’s interests such as operation, smoothness and efficiency of the work.

2. Employee is entitled to Authorized Absent without payment for 10 times in a year with permission from his/her supervisor.

3. Paid Authorized Absent will be given according to the following term:

a. Employee who is absent due to working for the election committee.

b. Employee who is absent due to conscription.

c. Employee who is absent due to he / she must fulfill the summons from the authorized official.

d. Employee who leaves the work for the following matters, i.e. (in accordance with Manpower Law):

1) Employee’s marriage: 3 days

2) Paternity leave: 2 days

3) Death of spouse/ children / children-in-law / parents / parents-in-law: 2 days

4) Death of relatives living under

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one roof: 2 days

5) Death of Employee’s sibling / sibling-in-law: 2 days

6) Natural disaster that directly affects the Employee: 2 days

7) Marriage of children: 2 days

8) Circumcision of children: 2 days

9) Baptism of children: 2 days

NOTE:

These absences should be taken on the date of the event. If the above events occur outside the domicile of the Employee, thus such Employee may take his / her Annual Leave earlier.Consent to leave the office shall obtain prior approval from the respective manager. Employees shall be required to provide documentary evidence as supporting documents such as certification by relevant officials e.g. Death Certification, Marriage Certification, Birth Certification or relevant statements from relevant party.

4. Pilgrimage

a. For Pilgrimage purpose the Employee is permitted to leave the office with fully paid Salary.

b. Pilgrimage leave is applicable to Employee who has worked with the Company for 24 (twenty four) months.

c. Pilgrimage leave application must be submitted in writing to the Company at the latest 2 (two) months before departure.

d. This Pilgrimage leave shall be given 2 (two) days before the departure, on the Pilgrimage days, until 2 (two) days after the arrival

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date.

e. In the case that the Employee is keen to conduct Pilgrimage exceeding 1 (one) month or for the second-time during his / her tenure in the Company, he / she may submit unpaid leave after obtaining written consent from the Company.

CHAPTER X

WELFARE & OTHER SOCIAL BENEFITS

Article 45

Religious Feast Allowance

1. The Company shall provide Religious Feast Allowance (THR) to the Employee every prevailing year, with detail as follows :

a. Working period equal to or more than 1 (one) year get 1 x THR.

b. Working period is more than 3 (three) months but less than 1 (one) year entitle for prorate THR

2. Amount of THR is 1 (one) monthly gross basic Salary.

3. Permanent Employee who resigns 30 days before a religious feast is entitled to THR in accordance with the prevailing provisions.

4. Contractual Employee is entitled to receive THR if such Contractual Employee is still working and recorded as Contractual Employee at the Company until the “D” day of the appointed religious feast.

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5. THR payment will be carried out once a year on Eid Al-Fitr and the procedures of payment shall be in accordance with the prevailing law and regulations.

Article 46

Health and Medication

1. Medical Check-up for selection purpose.

a. If necessary, prior to the employment, the Employee candidate should undergo a series of medical check-up by Company’s doctor or other doctor appointed by the Company.

b. Only HR Department who has the right to ask medical check-up for Employee candidates.

c. The Company should inform the doctor conducting the medical check-up about the candidate’s job description.

d. In the event of the Employee is not able to be employed due to his / her medical check-up result which does not satisfy the requirements, , The Company is not required to provide any reason for not employing the candidate due to such reason.

e. Medical report is confidential

2. Refusal of Medical Check-up / Treatment

a. If the Employee refuses the medical check-up /treatment as instructed by the Company without an acceptable reason by the

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Company, thus such Employee is subject to disciplinary sanction based on Company Regulation and Company Policy.

b. Employee who escapes from hospital during medical check up / treatment, will be subject to disciplinary action by the Company based on Company Regulation and Company Policy.

3. Periodic Medical Examination

Periodic medical examination may be performed at discretion of the Company to maintain employee’s health according to the prevailing laws and procedures.

4. Medical Assistance to married / divorced / widowed female Employee.

Medical assistance will be given to married / divorced / widow female Employee equal to male Employee with the provisions as follows:

a. The female Employee should provide written evidence (at least an Official Letter from local Sub District) stating that her husband is incapable of supporting her due to unemployment / divorce / death or The Official Letter from husband’s employer stating that the employer does not provide any medical assistance. Supported with the above official letter, the married female Employee is eligible for medical assistance for maximum of 3 (three) children. This Official Letter should be renewed annually or as required.

5. If the spouse is also working for the Company, thus the medical benefit is as

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follows:

a. The benefit given is treated as “single benefit”. It means that only the husband or wife is eligible for the medical benefit.

b. The legitimate spouse and children (max. 3 children & listed) may choose the highest Salary category of either party (employee).

c. If one of the party either the husband or wife is terminated or is resigned from the Company, then the medical benefit eligibility is according to the medical benefit of the party that stays with the Company.

d. Changes in the medical benefit will be applicable in the next financial year.

6. Outpatient Medical Allowance

The Company will give the Employee and their dependent medical allowance which is set out separately in Company’s policy for medical benefit.

7. Prosthetics

Prothese’s fee for physical defect which occur because of work accident is guaranteed by the Company, the cost consist of prothese’s fee, training and job training fee for using the prothese. Prothese which does not because of work accident, as meant in the prevailing Laws and Regulations, is Employee’s responsibility.

8. Narcotics, Alcohol, and Addictive

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Substances

Consequences of using narcotics, alcohol, or any other addictive elements which are prohibited by applicable Laws and Regulations, by Employee or his / her family member, shall be the Employee’s full responsibility. In the case that Employee himself / herself using the mentioned elements, then he / she will get disciplinary action from the Company which can be resulted in Termination of Industrial Relation. The Company shall not be responsible on any cost relating to this.

9. Cost to have in vitro baby is not covered by the Company.

Article 47

Special Occasion Charity

The Company will provide some amount of money to the Employee or his/her dependant who exercise a special occation such as married, birth, and death of the Employee or member of his/her family. Revelation of special occasion charity is set out separately in the Company’s policy.

Article 48

Manpower Social Security

1. All Employees shall be listed as member of Manpower Social Security.

Provision of tariff for Manpower Social Security ia as follows:

a. Company’s Responsibility

i) Occupational Accident

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Security: 0,24% from monthly gross basic Salary

ii) Death Security: 0,3% from monthly gross basic Salary

iii) Old Age Security: 3,7% from monthly gross basic Salary

iv) Pension Security: 2,0% from monthly gross basic Salary.

b. Employee’s Responsibility

i) Old Age Security: 2,0% from monthly gross Salary.

ii) Pension Security: 1,0% from monthly gross salary.

3. It is the responsibility of the Company to arrange reimbursement of Occupational Accident Security and Death Security from ... While the Employee is responsible to arrange reimbursement of Old Age Security and Pension Security directly with ....

Article 49

Long Service Award

To reflect the Company’s belief that the Employees should be rewarded for their loyalty, the Company confers ‘Long Service Awards’ commensurate with the length of service with the Company. Regulation of ‘Long Service Awards’ will be managed separately in the Company Policy.

CHAPTER XI

HEALTH & WORK SAFETY

Article 50

Work Safety

1. For the sake of the Company and Employee, the Employee should follow any prevailing regulations concerning Work Safety.

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2. Employee is obliged to actively participate in any attempt to prevent and tackle accident / fire at the workplace.

3. Employee is obliged to report any accident / fire in the work place and to provide any information to the authorized personnel appointed by the Company to investigate the event.

Article 51

Work Accident

1. 1. Company warrants necessary transportation for Employee who needs medical treatment due to work accident to the nearest hospital or his / her home.

2. 2. The company will be accountable for any medical expense for the hospitalization of the injured Employee performing their duties from the beginning of the accident until the Employee reinstated for active duty.

3. 3. In the case that the Employee engaged in any accident while performing their duties, the company will provide any necessary compensation as stated in 5 and / or any other relevant laws and regulations.

4. 4. In case an Employee is death because of work accident as stated in point 3, the company will pay employee’s legal descendents with the approval from Official and / or any other relevant laws and regulations.

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5. 5. The above provisions shall not be valid if the accident happened because of the Employee is deliberately violated the Company’s work safety regulation. Termination of Industrial Relation shall be conducted based on the prevailing laws and regulations.

CHAPTER XII

COMPLAINT SETTLEMENT

Article 52

Complaint Settlement

1. 1. Complaint shall be defined as a difference in understanding or misunderstanding about working regulations and requirements applied in the Company between Employee and Company.

2. 2. Complaint is a source of uneasiness which if not given any attention can raise unsatisfaction, frustration, and at the end labor dispute. To minimize the occurance of labor dispute, the Company must try to solve Employee’s complaint in the best possible way.

3. 3. Basically, it is admitted that every complaint from each Employee should

be setttled fairly and as quick as possible.

4. 4. Complaint settlement procedure will be implemented in accordance with the prevailing manpower laws and regulations.

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CHAPTER XIII

CLOSING

Article 53Closing

1. 1. This Company Regulation is effective since

2. 2. This Company Regulation may be distributed to all Employees to be acknowledged and implemented accordingly.

3. 3. The matters that have not been regulated in this Company Regulation if necessary can be added as an amendment after it is approved and legalized by the

4. 4. This Company Regulation shall remain valid during the legalization process of the new / amended Company Regulation.

5. 5. The Company is authorized to take / request the Employee to return the book of Company Regulation at the time such Employee stops working and no longer working at the Company.

__________________Senior HR Manager

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