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Sep '06

Revisions to Workers Law Canceled

The government has eventually canceled revisions to Workers Law Number 13/2003 concerning Manpower as requested by entrepreneurs.

The revisions were challenged by workers who held mass demonstrations in early May this year.

“It has been decided to drop these revisions,” said Manpower and Transmigration Minister Erman Soeparno yesterday (13/9) in his office.

“We will improve the law by issuing a governmental regulation.”

Erman said that the regulation will arrange salary and severance pay as well as policies on outsourced or non-employed workers.

According to him, there need to be guarantees that a company pays its workers’ salaries as well as severance pay.

Up to now, bankrupt and relocated companies have always left behind matters concerning their workers’ salaries or severance pay.

Provisions on the amount of severance pay are also to be attached to the regulation.

“In short, it is covered and not injurious,” said Erman when asked whether or not the amount of severance pay will be reduced.

According to him, there will be an evaluation to decide which levels of workers have the right to receive severance pay.

Workers rejected revisions to the Workers Law because they considered there were many factors that they considered could cause them losses.

One of these elated to recruitment through outsourcing.

This results in workers not obtaining a social guarantee because they are not bound to long-term working contracts.

They also focused on severance pay and pension that will be cut if the revisions were imposed.

Within the revisions, workers’ rights to striking were also removed.

In response to the government’s measures, Rekson Silaban, Head of the Confederation of Indonesian Prosperous Workers Union, has asked that the government will not issue a regulation which would be worse than the law.

“If they do, we will propose a judicial review to the Supreme Court,” he said.

Rekson also asked that the regulation emphasized matters on outsourcing.

However, entrepreneur organizations are disappointed.

“The government is too frightened of workers. In fact, they (workers leaders) do not represent all Indonesian workers,” said Djimanto, Secretary General of the Indonesian Entrepreneurs Association.

Sumber : (Nur Aini) Tempo Interaktif, Jakarta

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