How to Determine Salary Structure as KEPMEN No 102 Year 2004

           Stipulation of determining salary structure in a company completely stated on Ministry Decision (KEPMEN) No 102 Year 2004 which implies that employees, who are classified as thinkers, planners, implementers, and/or controllers of an organization structure and have unlimited working time, are considered not to have overtime for their excess of working hours. Moreover, other supported regulations; these are; SE Dirjen Binawas No 02 Year 1987 gives explanation of staff salary & its overtime who works in remote area and Work Order Manual  NO : 018/PTK/X/2008/REVISI I, available to English Version; No: 018/PTK/V/2005 informs about Field Allowance to employees of Oil & Gas Industry.

          Concept stated in article 4 of the KEPMEN gives undefined kinds of position, compensated to overtime precisely. But, most of organizations categorize their employees into two levels; Staff & Non Staff. Staffs are persons with high grading leveled by job evaluation, high responsibilities, positioned at main structural organization, and get better paid, facilities, benefits and compensations from the company. In fact, Non Staffs are categorized below Staff level in accordance to the job evaluation, responsibilities, position, salary, facilities, benefits and compensations from its employer.

          

          An issue may appear while a non staff is promoted to be a staff. If it is compared to his previous monthly earning, in fact, he got a bigger cash rather than get promotion of being staff. And it will be a dilemma to the staff or a jealousy when the leader has to give approval of overtime for his subordinates.   

           It is the HR duties of being able to analyze and create a comprehensive Job Evaluation, Salary Structure, and Compensation & Benefit. Refer to the legal policy; Non Staff gets maximum 56 hours of monthly overtime. To determine salary structure of Staff & Non Staff, the employers need to calculate it from last 3 months salaries. At least, 20% - 30% staff salary is better to determine higher rather than Non Staff salary.