A joint ministerial decree limiting wage rises is expected to help labor-intensive manufacturing companies weather the impact of the global economic slowdown and prevent massive layoffs, stakeholders say. Chairman of the Indonesian Employers Association Sofjan Wanandi said the decree was expected to discourage local administrations from raising regional minimum wages beyond the capabilities of manufacturing firms.

“We are hoping local administrations can help the manufacturing firms cope with the global economic slowdown by not issuing policies that may burden the sector,” he said.
Manpower and Transmigration Minister Erman Suparno, Trade Minister Mari Elka Pangestu, Industry Minister Fahmi Idris and Internal Affairs Minister Mardiyanto on Friday inked the joint decree, which also stipulates other efforts designed to empower the local economy against fallout from the global crisis. …baca selengkapnya »

Labor unions should involve themselves in future Asia-Europe Meetings (ASEM) by separately gathering input to present during the strictly governmental discourses, the second ASEM Labor Minister Summit heard.

“Despite different ideologies and political systems, workers and trade unions in Asian and European countries have common interests, especially in international labor standards such as payment, equal treatment, job security and social protection,” General Secretary of the International Trade Union Confederation Guy Ryder said during the closing ceremony of the trade union conference in Nusa Dua on Tuesday.

The statement won unanimous support from participating countries when it, along with recommendations produced during the meeting, was officially presented to Indonesian Manpower and Transmigration Minister Erman Suparno, who hosted the summit. …baca selengkapnya »

Delegates from 45 countries from Asia and Europe will meet in Bali this week to discuss issues and cooperation in the area of labor, with trade unions demanding they be included in the process.

Delegates to the Asia-Europe Meeting (ASEM) Labour and Employment Ministers’ Meeting include 15 labor ministers, several deputy ministers and nine ambassadors from the two continents.

Manpower and Transmigration Minister Erman Suparno thanked ASEM for the confidence it had shown in Indonesia in asking it to host the summit.

“Indonesia will propose the promotion of occupational health and safety and the social protection for workers that the country has long practiced,” he told The Jakarta Post here Sunday. …baca selengkapnya »

Authorities in East Java have ordered employers in the formal and informal sectors pay mandatory Idul Fitri allowances to allow workers and their families to celebrate the annual religious event. Acting Governor Setia Purwoko on Monday said the annual allowance was mandatory. Employers should pay for it to maintain harmonious relations with their workers and avoid unrest. East Java, especially Surabaya and its outskirts, is home to thousands of big corporations and labor-intensive companies employing millions of low-income workers, he said. “We have disseminated circulars calling employers to comply with the 1994 ministerial decree that requires them to pay the allowance two weeks before the celebration,” he said. …baca selengkapnya »

State-owned labor insurance firm PT Jamsostek is set to expand its membership among “high-potential” workers in the informal sector, departing from its traditional focus on formal sector workers.

Jamsostek president director Hotbonar Sinaga said Wednesday the company aimed to insure 280,000 new members from the informal sector this year, a jump from the 84,729 it had in 2007.

The company has launched several “breakthrough” steps to achieve the target, he said, including establishing partnership with government institutions and other state enterprises, and using part of its corporate social responsibility (CSR) program funds as a lure for prospective new members. …baca selengkapnya »

PT Indosat, the country’s second largest telecommunications firm, will again undergo a management shake-up to accommodate for its changed ownership structure after Qatar Telecom QSC (Q-Tel) recently bought a stake in the company.

Indosat will soon hold a shareholders meeting to seek approval for a shake-up of its boards of directors and or commissioners, president director Johny Swandi Sjam said Monday.

Q-Tel purchased in June a 40.8 percent stake in Indosat from Asia Mobile Holdings Pte — Q-Tel’s venture company with Singapore Technologies Telemedia Pte Ltd (STT), a unit of Temasek Holdings Pte. …baca selengkapnya »

Sixteen years have passed since 40-year-old Rina (not her real name) started working as a cleaner at Jakarta’s Soekarno-Hatta International Airport.

In that time, her job has not changed: she cleans airplane cabins and mops out departure lounge toilets and other areas throughout the airport terminal. Not much else has changed either, in her employment status or monthly salary.

Rina continues to supply the same contract labor that, despite years of working eight hours a day, six days a week, still earns only Rp 800,000 (US$86) a month. …baca selengkapnya »

The first Asia-Europe Meeting (ASEM) social partners forum concluded here on Tuesday with an agreement to follow up dialogue on labor issues with concrete steps in Bali this October.

Representing governments, trade unions and employers from 45 member countries, 200 high-profile delegates agreed to continue exploring the social aspects of globalization in the labor sector, in an effort to narrow disparities between Europe and Asia.

Delegates agreed on the importance of enhancing inter-regional, multilateral and bilateral cooperation to promote training and employability and improve social protection for workers, including immigrants. …baca selengkapnya »

Trade unionists and employers associations from developing Asian countries expressed their skepticism about the effectiveness of social dialogues with developed European countries in settling industrial disputes and creating decent work for all, saying economic, political and social disparities were the main stumbling blocks.

Speaking at the first-ever Asian-Europe Meeting (ASEM) Social Partners Forum (ASPF) here on Monday, trade unionists from Indonesia, Malaysia, the Philippines and India said that despite a series of ILO convention-based ASEM agreements and initiatives, the European Union has yet to show its commitment to encouraging their Asian partner countries to make sound regulations to create decent work for all. …baca selengkapnya »