INDONESIAN WORKERS DEMAND REJECTION OF UNSKILLED EXPATRIATES

By Andi Abdussalam

Jakarta, May 1 (Antara) - Thousands of workers took to the street on Tuesday to observe May Day and voice their aspirations, including rejection of unskilled foreign workers, demand for wage increase, lowering of prices, and abolition of outsourcing system.         Workers holding rallies across the country represented different labor organizations and alliances, such as Indonesian Workers Unions Confederation (KSPI) and alliances grouped under the Labor Movement for the People.         During peaceful rallies held by the Indonesian Workers Unions Confederation in 25 provinces on Tuesday, the workers expressed their objection to the entry of blue-collar or yellow-hat expatriates into Indonesia.         They put forth at least three important demands, namely reduction in the prices of rice, electricity, and fuel; rejection of low wages; as well as the rejection of yellow-hat foreign workers from China.         Basically, the call for rejection of yellow-hat expatriates was based on their fear of being sidelined. After all, Indonesia still has to provide employment for more than seven million jobless workers. Local workers are concerned that foreign workers would take away their jobs.

LABOR UNIONS URGE GOVT NOT TO USE FOREIGN LABOR

by Andi Abdussalam

Jakarta, Sept 1 (Antara) - Thousands of workers staged a rally on Tuesday, urging the government to not provide easy access to foreign workers looking to work in Indonesia.         Thousands of laborers grouped under the Indonesian Workers Movement (GBI) conducted a long march from the Bank Indonesia traffic circle to the Presidential Palace to voice their demands on Tuesday.         The scores of workers came from three labor union confederations, namely the Indonesian Workers Union Confederation (KSPI) headed by Siad Iqbal, the All Indonesian Workers Union Confederation (KSPSI) under Andi Gani and the All Indonesian Laborers Confederation (KSBSI) led by Mudhofir.         One of the workers' agenda during the rally was to reject the government policy, which provides easy access to foreigners wanting to work in Indonesia by lifting the requirement for them to master the Indonesian language.         "Workers rejected the policy because the rates of unemployment and layoffs in Indonesia are currently high. Based on data from the Central Bureau of Statistics (BPS), the number of unemployed people rose by 300 hundred thousand to 7.45 million in February 2015," Mirah Sumirat, the President of the Indonesian Workers Unions Association (Aspek Indonesia), said in press statement on Tuesday.

OVER 20,000 POLICE, SOLDIERS TO GUARD JAKARTA STRIKE

By Andi Abdussalam

Jakarta, Oct 30 (Antara) - More than 20,000 security personnel will be deployed to maintain peace in Jakarta in the face of the industrial workers' national strikes planned for Thursday and Friday.          Jakarta Police Spokesman Senior Commissioner Rikwanto said on Wednesday that the Jakarta Police will field 17,276 police officers who will be assisted by 3,800 military personnel and 819 public order officials.          Thousands of Jakarta workers have held rallies since Monday, demanding wages be increased by 50 percent from Rp2.2 million to Rp3.7 million per month, the end of outsourcing and an increase in the decent living cost (KHL) from Rp1.9 million to Rp2.7 million.          Rikwanto said that the number of security personnel was not increased from that deployed since Monday in the face of the national strike, yet these personnel would be distributed to certain sensitive spots.          Strict security will also be in place at vital locations, such as the State Palace, the Parliamentary complex and the Hotel Indonesia (HI) traffic circle.      Industrial workers in Jakarta have been holding rallies since Monday, prior to their national strike scheduled for Thursday and Friday.

WORKERS THREATENING TO STAGE NATIONAL STRIKE

By Andi Abdussalam

Jakarta, Oct 29 (Antara) - Jakarta workers, rallying outside City Hall on Tuesday, threatened to call a two-day national strike if their demand for a 50-percent wage increase  was not met.          "We came here to meet Jokowi and Ahok (the Jakarta governor and deputy governor). We are demanding a raise in the provincial minimum wage (UMP) and inclusion of more items in the Decent Livelihood Components (KHL)," said Winarso, the chairman of the regional executive board of the Federation of Metal Workers Unions (FSPMI).          Thousands of Jakarta workers held a rally in Jakarta on Tuesday, demanding wages be increased by 50 percent from Rp2.2 million to Rp3.7 million per month, the end of outsourcing and an increase in the KHL from Rp1.9 million for 60 items to Rp2.7 million for 84 items.          Winarso said that workers in Jakarta should receive a monthly salary at a range between Rp3.4 million and Rp3.7 million.          "We also reject Presidential Instruction No. 9 / 2012 because it enables employers to pay workers a low wage. We opt for discussions between workers and employers to decide a decent KHL for items. We demand that the current 60 KHL items, as regulated, be revised," Winarso said.

SMALL FIRMS NEED TO NEGOTIATE STANDARD WAGE SYSTEM

By Andi Abdussalam

Jakarta, Nov 27 (ANTARA) - Workers in Indonesia are staging rallies because some companies have not paid the workers' wages as per the regulations.          Companies that have not paid their workers standard salaries are indeed small-scale firms. This is because small companies are still struggling to build their own business amidst the world economic crisis.          Substandard salary is the main factor that forces workers to stage rallies to express their frustrations and demands. That is why many workers who work in large firms do not take part in demonstrations.          According to the head of the Capital Investment Coordinating Board (BKPM), Chatib Basri, multinational companies have been able to pay their workers based on the current regulations. They are prepared to pay workers above the minimum wage requirement, and they are ready to hold dialogue sessions with workers.          The problem arises when small and medium scale companies are not able to pay the workers, as per the regulations. This forces workers to stage rallies. Some even force their colleagues who have been paid the right amount to join them, Chatib said.

INDONESIAN FIRMS THREATEN TO STOP PRODUCTION

By Andi Abdussalam

Jakarta, Nov 8 (ANTARA) - Even as the government makes efforts to correct the country's labor system, which has caused trouble between workers and employers so far, Indonesian firms threatened on Wednesday to stop production if the government did not  provide a secure labor environment.  Various trade unions took out rallies in streets and company premises to demand better welfare and the termination of the outsourcing-recruitment system. These rallies often turned anarchic and disturbed the operations and production of companies.          As a result, many companies suffered losses and are considering relocating their factories overseas. At least six foreign companies closed down. Companies under the Indonesian Businesses Association (Apindo) have threatened to stop production if this problem remains unresolved.

INDONESIA NEEDS TO REDUCE NUMBER OF CHILD WORKERS

By Andi Abdussalam

Jakarta, June 22 (ANTARA) - The quality of human resources usually determines the future of a nation, and  involves great efforts to develop the nation's younger generation, particularly children.          Indonesia however, has not yet been able to exploit its abundant natural resources for the prosperity of its people. This is partly due to the country's failure to improve the quality of its human resources, and also because of not being able to provide equitable  education to its younger generation.          Millions of Indonesian children are forced to work as child laborers, thus losing their basic rights to education, a childhood, assurances of physical safety and recreation.          A survey two years ago by the Central Statistics Agency and the International Labor Organization revealed that at least four million of the 58.8 million children across the nation were being employed, and of those, at least 1.7 million were child laborers.          Poverty is the main reason why children are forced to take jobs. "Child workers are an important issue for all of us. The number of child workers below age 15 is still high," National Development Planning Minister Armida Salsiah Alisjahbana said during a discussion at the National Development Planning Board (Bappenas) on Wednesday.          The minister said that she would include the child worker issue into the country's poverty eradication program as the number of child workers in Indonesia remains high due to poverty.          In its latest report, Understanding Children's Work (UCW) -- a partnership organization with the International Labor Organization (ILO), UNICEF and the World Bank -- agriculture was reported as the largest sector which employs children aged below 15 years.          According to Angela Kearney, UNICEF representative in Jakarta, about 58 percent of child workers aged between 7 and 14 years are employed in the agricultural sector. This is followed by the service sector, with 27 percent child workers, and manufacturing sector with 7 percent.          Kearney said the figures in the report were consistent with the overall composition of Indonesia's manpower market. So, it could also be revealed that about one-third of children working in the service sector were working as domestic helpers.          She explained that children are also used as domestic helpers, as the public has not yet paid proper attention to this problem, and also because this type of labor is not regulated properly. Another reason is that female children work behind closed-doors, are prone to violence and are away from the public eye. "Therefore, a special policy is needed to regulate it," she added.          The UNICEF representative said that the involvement of children in the agricultural sector was inseparable from their parents' roles. In this case, almost all children are working without wages for their families.          Most parents working in the agricultural sector prefer for their children to help them cultivate the land. Although some of these working children are sent to school, in terms of school attendance they lag behind those who do not work.          "Education is the most important key to the problem of working children in Indonesia," she asserted.          In the meantime, a survey by the Central Statistics Agency and the International Labor Organization at the end of 2009 presented a complete study on child labor in Indonesia.          This study revealed four million of 58.8 million children across the nation were working, and of those at least 1.7 million are considered child laborers.          Uzair Suhaimi, chief of population statistics at the Central Statistics Agency (BPS), was quoted by the Jakarta Globe early in 2010 as saying the survey was the first detailed study of its kind on child labor in Indonesia, and was included in the 2009 National Labor Force Survey (Sakernas).          "Compared to figures from countries in Asia Pacific, these figures are relatively small," he said. "The percentage [6.9 percent of 58.8 million] is small, but because we are a massive nation, even that small percentage seems large when we actually study the figures.Generally, though, we are better off than most countries," Uzair noted.          He added that the survey figures were gathered from 248 districts across the country's 33 provinces and the children in employment were between the age of 5 and 17.          "BPS will hand the results to the related ministries and working groups in order for them to work on follow-up policies and actions to tackle this. One of them is the Social Affairs Ministry," Uzair said.          The survey, detailed in the book 'Working Children in Indonesia 2009,' said the definition of child labor includes working children between the ages of 13 and 14 who work more than 15 hours per week, and children between the ages of 15 and 17 years who work more than 40 hours a week.          According to Minister Armida, children aged 15 and above can legally enter the work force.  "The minimum age requirement to enter the Indonesian labor force is 15 and above. But many children aged below 15 are still employed," Armida noted.          "It is permitted if they do light jobs, for instance, assisting their parents. The most important thing is that their education should not be hindered," she said.          However, many children aged below 15 still do jobs which are strictly prohibited under UN conventions and the laws, Armida added.  She said the number of employed children aged 10-14 reached 878,100 and the number of children seeking jobs was 174,500 in 2011.          According to the 2010 population census, there are about 22 million children in the 10-14 age group, Armida stated. "This means that nearly 5 percent of Indonesian children aged 10-14 are either employed or seeking jobs. I think the number is quite high," she said.          "Such a high number of child workers draw special attention, because they still have to attend school," Armida explained.          World Bank Director for Indonesia, Stefan Koeberle, said that polices on youth development could prevent problems that working children have to contend with. Thus, it is important for less fortunate youths to attend skill and training programs in order for them to improve the quality of their lives.          "We are aware that taking the right step is one of the decisive factors for future success. Therefore, preventing children from working is important, because otherwise it would have a poor impact on them in the future," Koeberle said. ***3*** (T.A014/a/INE/a014) 22-06-2012 16:38:5

GOVT EVENTUALLY REVISES DECREE ON MINIMUM WAGES

By Andi Abdussalam

 

Jakarta, Nov 28 (ANTARA) - After a series of protests by workers, the government eventually decided to revise a controversial article in a joint ministerial (SKB) decree on laborer's provincial minimum wages (UMR).

        "The revision is expected to eliminate misunderstanding by a number of parties about the provision on minimum wages in the decree," Manpower and Transmigration Minister Erman Suparno said.

        Article 3 of the decree initially put a clause: "Governors should fix a provincial minimum wage at a rate not exceeding national economic growth rate."

        Now the clause is revised to read: "Governors should take into considerations the inflation rates in their respective regions when they decide rate of the provincial minimum wage."

        The joint ministerial decree by the ministers of manpower, of trade, of industry and of home affairs was issued recently in an effort to anticipate the impact of global financial crisis.

        "The decree was issued as a safety net and as protection for workers from the possibility of massive layoffs as a result of the global economic crisis," Erman Suparno said.

        Article 1 of the decree stipulated that if a business sector was badly affected by the global economic crisis, the Wage Affairs Council and the regional administrations were given rooms to re-negotiate the regional minimum wage rate.

        "This provision will be applied in an emergency situation. So, a decision must be made by involving both the managements and workers. It is a bipartite meeting," he said.

        However the decree has sparked a series of demonstrations by workers alleging that it was issued to protect employers.

        Chairman of the Indonesian National Workers Struggle Front (FNPBI), Dominggus Oktavianus, alleged that the issuance of the SKB was equal to shifting companies' financial burden to workers.

        The SKB also stipulated that UMRs were to be determined in negotiations in bipartite forums involving only representatives of the government and employers.

        The negotiation process in bipartite forums had the potential to set the UMR based on the market mechanism which meant that workers and their families would not be able to meet their daily needs.

        The minister said that article 3 of the ministerial decree was often misunderstood as if companies were prohibited from raising the provincial minimum wages (UMR) in 2009.

        Actually, he said, the authority to decide the UMR rate is in the hands of the regional administrations and the regional councils for wage affairs.

        In response to nation-wide protests from workers against the decree, the government eventually bows to their demand.

        "The president has provided directives that we should secure the economic growth momentum and respond to the people's aspirations," the minister said.

        On Wednesday, Minister Suparno said the government would not revise the decree because it protect workers from massive layoffs.

        "The decree is a safety net so that massive layoffs would not take place," the minister said during a visit to an Islamic boarding school in Purworejo on Wednesday.

        Actually, the decree was issued after passing through a coordinative meeting which involved several relevant parties, particularly the bipartite body which consisted of employers and labor unions.

        Yet, after facing mounting resistance from various workers' associations and a call from the House of Representatives (DPR) to revoke the decree, the government eventually decided to revise article 3 of the decree.

        "Ideally, the decree should be revoked, but with the revision of its article 3 it is basically the same as lifting it," DPR Chairman Agung Laksono said on Friday.

        He said that he could understand the government's step in revising the decree instead of revoking it but suggested that the government learn a lesson from the controversial decree in taking a policy.

        The DPR in a leadership meeting on Tuesday (Nov. 25) called on the government to lift the decree because it had sparked strong reactions from workers and had the potential to create insecurity among the people.

        Until Friday, no much response to the government decision had been reported.

        The Indonesian Entrepreneurs Association (APINDO) of Purbalingga district in Central Java hailed the revision of article 3 of the decree.

        "We basically agree with and welcome the revision of the decree as long as it is done in good faith and it is not against the law," APKINDO chairman Saryono said on Friday.

        He said that APKINDO would follow what had been decided by the government, in this case the governor of Central Java, Bibit Waluyo, with regard to the regional minimum wages. (T.A014/A/HAJM/A/s012 28-11-2008 22:06:12

INDONESIAN WORKERS FACING MASSIVE LAYOFFS

By Andi Abdussalam

Jakarta, Nov 25 (ANTARA) - Hundreds of thousands of Indonesian workers at home and abroad are facing the threat of losing their jobs as a result of the global financial crisis. At home about 200,000 will likely be laid off shortly. In Malaysia, the main destination of Indonesian migrant workers, at least 300 thousands are facing the same fate, while hundreds of others are waiting repatriation from Kuwait.

        "We have to make all-out efforts to prevent massive layoffs," General Chairman of the Indonesian Chamber of Commerce and Industry (Kadin) Ms Hidayat said on Monday. He said he had witnessed that the economic recession in the United States had really taken place. Thus, labor intensive industries at home need to make all-out efforts in order to prevent massive layoffs.

        In Malaysia about 300 thoussand Indonesian migrant workers are facing the same fate. According to Indonesian Ambassador to Malaysia Dai Bachtiar, about 300 thousand Indonesian workers (TKIs) would likely face layoffs due to the on-going global economic recession.

        "I am concern with Indonesian workers employed in Malaysian companies whose number reaches 300 thousands," the ambassador said. According to him, the impact of the global economic crisis has not yet been felt by most of Indonesian migrant workers who are bound with work contracts. But workers at Malaysian companies will face the impact if demand for the companies' production fall.

        Therefore the ambassador expressed concern over Indonesian workers at Malaysian companies. Those working as domestic helpers and are bound by work contracts will not be much affected. "But this all will depend on the policy of the Malaysian government," the ambassador said.

        In the meantime, at least 380 Indonesian migrant workers are facing repatriation in Kuwait. They are now placed at the Indonesian embassy. They are among Indonesian problematic workers in that country.

        In order to help their repatriation, Moh Jumhur Hidayat, Head of National Workers Protection and Placement Overseas (BNP2TKI), flew to Kuwait to meet the problematic TKIs.

        Luckily, the Kuwait Union of Domestic Labor Office (KUODLO) has promised to help repatriate about 380 problematic Indonesian workers now being placed at the Indonesian Embassy.

        KUODLO chairman Fadel Mohammed Al Sharaf said it was ready to help. "We are ready to provide assistance," Al Sharaf said in a meeting with Jumhur in Kuwait on Monday night.

        In the January-July 2008 period, according to the Indonesian embassy, 12,205 Indonesian workers had been placed in Kuwait, the third biggest after Saudi Arabia which has 75,770, and the United Arab Emirates 14,191 in the same period.

        At home, Indonesian companies have begun entering the difficult phase. Kadin chairman for fiscal and monetary affairs Bambang Soesatyo said on Tuesday that about 200,000 workers will be laid off in the coming six months in Indonesia as a result of the financial crisis. Many businesses in December 2008 are likely to announce minus profits.

        Kadin General Chairman MS Hidayat said that labor-intensive companies had sent signals of layoffs. "This begins with placing workers at home because demand for products had been declining. This trend will increase next January where labor intensive industries have to be safeguarded," Hidyat said.

        Attention must also be given to exporter companies as the main foreign exchange earners so that they would not be affected by the rupiah depreciation and would survive the 2009 crisis.

        One of the factors that had begun to affect businesses is the depreciation of the rupiah against foreign currencies, the US dollar in particular. The rupiah has fallen to Rp12,000 per US dollar, even it happened to touch the Rp13,200 level.

        The depreciation of the rupiah to the Rp13,200 per US dollar was the weakest one since the 1998 financial crisis when it was recorded at Rp16,800 per US dollar.

        On the layoff issue, Bambang said the weakening of the rupiah hampered companies to boost their production. At the same time, demand for goods abroad was also declining.

        Bambang said goods purchase contracts were to expire in December and many of them were not likely to be extended. Therefore, the number of trade contracts next year was expected to decline. As a result, production of goods at home would also drop.

        The solution that could be made, he sad, was to generate infrastructure development to accommodate workers. The funds for infrastructure development are however taken from the state budget, whose absorption is rather slow.

        "Up to November 2008, the absorption of the state budget was only 60 percent. About 90 percent of the state budget is kept in banks," he said.

        The other solution, he said, was to increase cuts in the price of premium gasoline from Rp500 per liter to Rp1,500 per liter. The diesel oil price also needed to be cut by Rp1,000 per liter. "A cut to that extent will be significant in raising the purchasing power of the people," he added

        Even though many workers are facing layoffs, those working with crude palm oil industries still could breathe fresh wind. Palm oil industry workers could still be safeguarded from layoffs despite the fact that demand for crude palm oil (CPO) has been declining since the second semester of 2008.

       "I don't think it is that easy for industries to lay off their workers because it would neither that easy for them to find suitable workers when the economic crisis has recovered," General Chairman of the Indonesian Oil Palm Businessmen Association (Gapki), Akmaluddin Hasibuan said.

        He said that industries needed to carry out capital restructuring if they lay off their workers. Over the past few months, CPO industries have been facing difficulties due to the global financial crisis that had spread to various parts of the world.

        Hasibuan said that layoffs is possible if the capital structure of industries was not strong. He said that factors in other countries should also be taken into account. "If the composition of the funds is 90 percent from banking credits, the industries concerned will face problems because they would bear a too heavy burden," he said. ***4*** (T.A014/HNG/A/E002) (T.A014/A/A014/A/E002) 25-11-2008 22:17:31