Employment Rights Implementation and Industrial Relations Systems: The Case of the Outsourcing Policy in Banking Industry

Purpose: This research is intended to analyse outsourcing implementation in the banking industry, specifically whether banks have fulfilled obligations as required by the regulations, specifically on outsource workers" rights. Methodology: This research uses combined approaches, quantitative and qualitative methods (Mixed Method), and using a sequential explanatory strategy. Respondents are; 351 outsourcing workers of 6 different bank categories in Indonesia (2 state owned banks, 2 private owned banks, and 2 foreign banks), union committee members, human resources senior managers, senior officers of Indonesia Financial Services Authority, Indonesia Chamber of Commerce, and Coordinating Ministry of Human Development and Cultural Affairs. Research Findings: the research has resulted in providing proof that three bank categories have already implement workers" rights as required by the relevant labor regulations. Banks providing business and soft skill related training for workers, and to prioritize outsource workers to be banks" permanent worker. On the compliance aspects, regulators require banks to comply and implement regulations and policies as required