Dispute of Obligation Between the User Companies of Labor Subcontracting - Outsourcing Using a Socio-Cultural Approach

Labor Outsourcing is temporary labor of a business technique in which organizations delegate certain operations or duties to third parties (labor service providers) in order to improve operational efficiency and effectiveness. The outsourcing employment relationship involves three parties: the user company, the labor supply company, and the outsourced workers. In actuality, industrial relations problems frequently arise between outsourced workers and the user firm. Industrial disputes between the user company and the outsourced workers are common as a result of unclear obligations between the labor service provider company. The termination of employment by the labor service provider company does not immediately terminate the employment relationship with the outsourced workers. The purpose of this research is to examine the role of labor social communities, trade unions, and other social groups in dispute resolution, as well as to develop community/union mechanisms that promote peaceful and long-term conflict resolution. The Statute, Conceptual, and Case approaches were used. The results of this study on the resolution of disputes between labor unions and employers using a Socio-Cultural Approach as an alternative to seek solutions by involving traditional community leaders and/or religious figures appointed by the parties as mediators, with a resolution mechanism based on local wisdom to achieve a fair agreement for both parties.