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The Role of Arbitration and Mediation in Resolving Disputes Arising from International Business Transactions Lim, Grace Natalie
JURNAL MAHASISWA YUSTISI Vol. 3 No. 1 (2025)
Publisher : Universitas Ibn Khaldun Bogor

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.32832/jurmayustisi.v3i1.1492

Abstract

The resolution of disputes in international business transactions is a crucial aspect of maintaining stability and continuity in cross-border trade relations. Arbitration and mediation are the primary mechanisms frequently used due to their flexibility, efficiency, and neutrality compared to litigation in national courts. International arbitration provides legal certainty with binding decisions enforceable under the 1958 New York Convention, while mediation focuses on a compromise-based solution that preserves long-term business relationships. This article analyzes the effectiveness of both mechanisms in resolving international business disputes and examines the role of institutions such as the ICC (International Chamber of Commerce) and ICSID (International Centre for Settlement of Investment Disputes) in facilitating dispute resolution. Furthermore, this study highlights the challenges faced, including differences in legal systems, the enforcement of arbitration decisions, and the reluctance of parties to engage in mediation. The findings indicate that the choice between arbitration and mediation depends on the complexity of the dispute, the interests of the parties, and the need for legal certainty or negotiation flexibility. Therefore, a comprehensive understanding of arbitration and mediation is essential for international business actors to manage legal risks and ensure smooth cross-border transactions.
A Normative Analysis of the Regulation of Termination of Employment For Fixed-Term Employment Agreements Workers Following the Job Creation Law: Kajian Normatif Pengaturan Pemutusan Hubungan Kerja Pekerja Perjanjian Kerja Waktu Tertentu Pasca Undang-Undang Cipta Kerja Lim, Grace Natalie; Lie, Gunardi
Academia Open Vol. 10 No. 2 (2025): December
Publisher : Universitas Muhammadiyah Sidoarjo

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.21070/acopen.10.2025.12930

Abstract

General Background: The regulation of termination of employment for workers under Fixed-Term Employment Agreements (PKWT) has gained urgency following recent reforms in Indonesia’s labor market. Specific Background: The Job Creation Law and Government Regulation No. 35/2021 introduced new standards intended to enhance flexibility while reshaping the protection framework for contract workers. Knowledge Gap: Despite these reforms, inconsistencies in interpretation, weak enforcement, and uneven implementation continue to create legal uncertainty, particularly in cases of unilateral termination and compensation. Aims: This study conducts a normative juridical analysis to assess the alignment of PKWT termination regulations with core principles of national labor law. Results: The findings indicate that although the new regulations clarify compensation entitlements, they do not fully guarantee fairness or legal certainty due to limited worker awareness, regulatory overlap, and ineffective supervisory mechanisms. Novelty: This research offers an integrated assessment that connects statutory reform, judicial practice, and labor protection principles, exposing gaps between legal norms and practical application. Implications: Enhanced harmonization, stronger supervisory systems, and clearer technical regulations are necessary to achieve balanced labor flexibility and social justice within Indonesia’s evolving industrial relations framework. Highlights: Highlights legal changes to PKWT termination and compensation after the Job Creation Law. Reveals gaps between normative protection and practical implementation in the field. Emphasizes the need for harmonized regulations and stronger labor supervision. Keywords: Fixed-term Employment Agreements, Termination of Employment, Job Creation Law, Worker Protection, Labor Law Reform