94,000 workers fired in first 10 months<\/p>\n
Rendi A. Witular, The Jakarta Post, Jakarta<\/p>\n
Around 94,000 people lost their jobs in the first 10 months of
\nthis year following decisions by many companies to shut down or
\ndownsize their businesses due to the lingering economic and
\npolitical crisis, a senior government official said.<\/p>\n
Director General of Industrial Relations at the Ministry of
\nManpower and Transmigration Musni Tambusai told The Jakarta Post
\non Tuesday that manufacturing companies, such as garment and
\nfootwear firms, contributed the most to the layoff figure.<\/p>\n
\"Between January and October around 94,000 workers lost their
\njobs. For the full year, we expect 112,000 to 115,000 workers to
\nbe laid off, but the figure will be relatively flat when compared
\nto the 114,000 last year,\" said Musni.<\/p>\n
Musni, however, warned that the figure could be much higher in
\n2004 because companies engaged in forestry-base businesses had
\ninformed the ministry of their intention to fire 50,000 workers
\ndue to a downturn in business, following the lack of available
\nraw material as a result of rampant illegal logging.<\/p>\n
\"Actually, they have already suspended their workers. We are
\nstill processing their filing and the result will be included in
\nthe 2004 report. You can imagine how huge the figure is ...
\n50,000 in Riau and Kalimantan alone,\" he said.<\/p>\n
Musni disclosed the figure on the sidelines of a hearing with
\nthe House of Representatives Commission VII for social affairs
\nand manpower.<\/p>\n
He explained that the figure was collected from the Committee
\nfor the Settlement of Labor Disputes in the region and in
\nJakarta. Any layoff plans by a company should be first registered
\nwith the committee for approval.<\/p>\n
The committee is under the auspices of the Ministry of
\nManpower and Transmigration.<\/p>\n
Musni said that aside from forestry-based businesses, other
\nfirms that had not fully recovered from the impact of the late
\n1997 financial and political crisis were expected to encounter
\nthe same hardship next year amid fears of unrest during the
\ngeneral election.<\/p>\n
However, he refused to disclose the government's estimation of
\nthe total number of layoffs for next year.<\/p>\n
The figure on laid-off workers has worsened the problem of
\nopen unemployment in the country. For this year, unemployment is
\nestimated to reach around 10.5 million, higher than 9.13 million
\nat the end of 2002.<\/p>\n
Elsewhere, Minister of Manpower and Transmigration Jacob
\nNuwawea said that unemployment for next year was estimated to
\nincrease by 1.5 million to 1.6 million, calculated according to
\neconomic growth of 4.8 percent.<\/p>\n
He explained that 1 percent growth in the economy would
\nprovide around 400,000 jobs, meaning that 4.8 percent growth
\nwould provide 1.92 million jobs.<\/p>\n
However, the job provision could not cover the increase in
\nfresh workers from junior and senior high school, and university
\nnext year, which were estimated to reach around three million to
\n3.5 million, he said.<\/p>\n
To help resolve the unemployment problem, the government has
\ntargeted next year to increase the export of manpower to 1.5
\nmillion from around 900,000 this year.<\/p>\n
Jacob said that workers to be sent aboard were expected to
\nconsist of more skilled workers such as nurses and sailors.
\nHowever, for the time being housemaids would still make up the
\nbulk.<\/p>\n
The workers are set to be sent mostly to countries in the
\nMiddle East, Asia Pacific and Europe.<\/p>\n
The government is also set to send 15,000 families,
\noriginating from Java, Bali and Sumatra, to remote areas in
\nIndonesia next year to open new plantations under a
\ntransmigration program.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/94000-workers-fired-in-first-10-months-1447893297",
"image": ""
},
"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
}