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Internship Agreement Template for Indonesia

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Key Requirements PROMPT example:

Internship Agreement

I need an internship agreement for a university student who will be interning for 3 months in the marketing department, with a focus on digital marketing projects. The agreement should include a stipend, flexible working hours, and a confidentiality clause.

What is an Internship Agreement?

An Internship Agreement outlines the formal relationship between a company and an intern in Indonesia, setting clear expectations for both parties during the internship period. It covers essential details like work hours, responsibilities, supervision arrangements, and any training commitments following Ministry of Manpower guidelines.

Beyond basic terms, these agreements protect both organizations and interns by addressing intellectual property rights, confidentiality requirements, and workplace safety standards. They're particularly important in Indonesian business settings where internships often serve as stepping stones to permanent employment, helping companies comply with local labor regulations while giving interns documented professional experience.

When should you use an Internship Agreement?

Use an Internship Agreement before bringing any intern into your Indonesian organization, especially when offering structured training programs lasting more than three months. This becomes essential when providing hands-on experience in technical fields, handling sensitive company information, or implementing government-sponsored internship initiatives.

The agreement proves particularly valuable for regulated industries like banking, healthcare, and technology, where clear documentation of intern roles helps meet compliance requirements. It's also crucial when offering stipends, providing access to proprietary systems, or creating pathways to potential permanent employment—protecting both the organization and intern throughout the engagement.

What are the different types of Internship Agreement?

Who should typically use an Internship Agreement?

  • Host Companies: Organizations providing internship opportunities, responsible for drafting and implementing the Internship Agreement according to Indonesian labor laws
  • Interns: Students or recent graduates seeking practical experience, who must review and sign the agreement before starting their placement
  • Educational Institutions: Universities or vocational schools that often partner with companies and help coordinate internship programs
  • HR Managers: Oversee the internship program, ensure compliance with labor regulations, and maintain documentation
  • Legal Department: Reviews and customizes agreements to protect company interests while ensuring fair terms for interns

How do you write an Internship Agreement?

  • Basic Details: Gather intern's personal information, education background, and intended internship duration
  • Role Definition: Outline specific responsibilities, department placement, and supervision structure
  • Compensation Terms: Document any stipend, allowances, or benefits following Indonesian labor guidelines
  • Training Plan: Detail learning objectives, skill development goals, and evaluation methods
  • Company Policies: Include relevant workplace rules, confidentiality requirements, and safety protocols
  • Legal Requirements: Check compliance with Ministry of Manpower regulations on internship programs
  • Documentation: Prepare necessary supporting documents like student ID, insurance coverage, and academic records

What should be included in an Internship Agreement?

  • Party Information: Full legal names, addresses, and status of both company and intern
  • Duration Clause: Clear start and end dates, including any probation or extension terms
  • Work Scope: Detailed description of intern's duties, department placement, and supervision structure
  • Compensation Terms: Stipend details, allowances, and benefits as per Indonesian regulations
  • Working Hours: Schedule, breaks, and overtime policies following labor laws
  • Confidentiality: Protection of company information and intellectual property rights
  • Termination Terms: Conditions for early termination and notice requirements
  • Dispute Resolution: Agreed method for handling disagreements under Indonesian jurisdiction

What's the difference between an Internship Agreement and an Advisor Agreement?

An Internship Agreement differs significantly from an Advisor Agreement in several key aspects, though both involve bringing external talent into an organization. While internships focus on training and development, advisor relationships are based on expertise and consultation.

  • Duration and Commitment: Internships typically last 3-6 months with regular hours, while advisor agreements often extend longer with flexible engagement terms
  • Compensation Structure: Interns usually receive stipends under Indonesian labor laws, whereas advisors command professional fees or equity compensation
  • Legal Obligations: Internship agreements must comply with Ministry of Manpower training regulations, while advisor agreements follow professional services contract rules
  • Knowledge Transfer: Interns are primarily learners gaining experience, but advisors bring established expertise to guide the organization
  • Liability and Insurance: Interns require workplace insurance coverage, while advisors typically maintain their own professional liability insurance

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