Indonesian work regulations | Uncertainty in “verbal warnings”
There are many cases in which companies operating in Indonesia have provisions for "verbal warnings."
A ``verbal warning'' is often used with the intention of ``though it's not enough to warrant a warning, but I still want to be careful.''
In fact, this ``verbal warning that is not stipulated by law'' carries the risk of causing major confusion on-site if not handled with care.
This time, we will explain the risks of verbal warnings and how to use them appropriately to encourage employees to improve.
Verbal warnings are the culprit behind the “I said/didn’t say” argument.
The biggest disadvantage of verbal warnings, which are often used by Indonesian companies, is that they do not issue a written warning and give warnings on the spot, so it tends to become a ``I said it'' and ``I didn't say it'' argument.
Even if you try to proceed to the next level of punishment (warning letter, etc.) by saying, ``I should have given you a verbal warning before,'' you cannot prove the legitimacy of the penalty unless you have objective evidence.
Creating a “guidance record”
When calling a subordinate to warn them, it is essential to create a system in which a "counseling sheet" or "guidance record" is created, submitted to human resources, and kept.
Complicated operation due to linkage with warning letters
Many companies in Indonesia have penalty tiers such as:
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Stage 1: Warning letter
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Stage 2: Warning letter (more severe measures)
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Stage 3: Dismissal, etc.
The issue here is, ``How should a minor violation at the level of a verbal warning be handled during the period when the first stage warning letter has been issued?''
Pattern A: Even if the violation is minor, a second-level warning will be issued for ``repeat violation during the period.''
If the punishment is not proportionate to the severity of the violation, it can cause dissatisfaction and trouble.
Pattern B: Create a rule such as ``Two verbal warnings are considered one 1st stage warning (counts 0.5 times)''
Management of the system becomes extremely complex and cannot be fully implemented in the field.
[Conclusion] Verbal warnings are considered "daily guidance" rather than "penalties"
The most effective solution to prevent confusion caused by verbal warnings in Indonesian companies is toExcluding verbal warnings from “penalties” in work regulationsis.
Of course, it is important to provide verbal guidance and caution in daily work.
However, it is wise to avoid linking it with other official penalties or including it in counting an aggravated penalty.
Improvement measures if it is already written in the employment regulations
If existing rules include "verbal warnings" and troubles are occurring frequently on-site, we recommend that you revise the regulations to clarify the "number of times within a certain period" condition as shown below.
[Example of regulations]
"If you receive three verbal warnings (with a record of instruction) within 30 days, you will be subject to the issuance of a first-level warning letter."
If the ``fact that multiple instructions were given'' is made objective by providing a record of the instructions and a written oath from the superior, employees will be less likely to claim that ``they were not warned,'' and fair operations will become possible.
summary
The original purpose of discipline and penalties is not to exclude employees, but to encourage them to improve their behavior and grow.
Why not take a look at your company's work rules and operational status to make sure you don't lose sight of the purpose and that the rules are fair and acceptable to both employees and the company?
At our company, Keystone Consulting Group, we provide one-stop support for legal, tax, and accounting consultations, including these complex personnel and labor issues.
It doesn't matter if it's a trivial question, such as, ``I'm not sure if my company's current work rules are okay,'' or ``I'm not sure how to deal with problems with employees.''
Please feel free to contact us, as our experienced professionals will be happy to assist you.
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