Indonesian workers demand better wages, employment benefits






JAKARTA: Thousands of Indonesian workers have marched towards the Presidential Palace, demanding higher minimum pay and better employment benefits.

Nearly 20,000 police and soldiers were deployed to watch over the demonstration, organised by Indonesian labour unions.

The protest march began with the Indonesian national anthem, as disgruntled workers displayed patriotism in an ongoing struggle that has lasted for years.

Thousands of workers under the Confederation of Indonesian Workers' Union have gathered at the Hotel Indonesia traffic circle to conduct a long march to the Presidential Palace.

The workers blocked a stretch of road from Hotel Indonesia traffic circle to the Presidential Palace about two kilometres away.

The workers support a social security law, requiring employers to pay for their health insurance.

But they are unhappy about their wages, which they say is too low... and about having to pay for a national pension fund.

They are also against a move by the Association of Entrepreneurs to contest recently a revised regulation on outsourcing at the State Administrative Court.

Said Iqbal, Chairman of the Confederation of Indonesian Workers' Union (KSPSI - Konfederasi Serikat Pekerja Seluruh Indonesia) said: "We've asked that outsourcing be restricted to five types of jobs. We're aware the Manpower and Transmigration minister issued a ministerial decree on outsourcing so (entrepreneurs) should not file a judicial review. If they continue with it, it will trigger a harsh reaction from their labour workers."

Under the decree, outsourcing will only be limited to cleaning services, security, driving, support services on mining sites and catering.

Companies will also be given six months to alter the status of contract workers to permanent staff.

The Jakarta governor has already agreed to increase the monthly minimum wage by over 40 percent to US$224 a month.

Analysts argue that the move could trigger inflation and discourage investment.

Businessmen say the wage hike would mean higher costs which could result in layoffs, and possibly even force some companies to close.

But protest leaders are not convinced.

Andi Gani Nena Wea, President of the Confederation of Indonesian Workers' Union (KSPSI), said: "We call on President Yudhoyono and Vice President Boediono to not take this labour movement lightly as it will likely escalate if the government does not hear the majority of labour workers' aspirations."

Workers say if their demands are not met, they will hold even bigger national protests which could stall production for three consecutive days.

- CNA/de



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