Aprisindo seeks fair remuneration system<\/p>\n
JAKARTA (JP): Labor-intensive footwear companies called on the
\ngovernment on Wednesday to do away with minimum wages and set a
\nfair remuneration system to help them become more competitive in
\nglobal trade.<\/p>\n
The Indonesian Footwear Association (Aprisindo) said the
\nmonthly minimum wages were unfair because they had been set
\nwithout considering the companies' financial conditions and low
\nquality of human resources.<\/p>\n
Companies in this sector claim they have been hard hit by the
\nprolonged economic crisis.<\/p>\n
\"We really want a fair remuneration system that will benefit
\nboth the workers and the employers. The current system, which is
\napplied in the form of monthly minimum wages, is unfair and
\nunapplicable because newly recruited workers and those who have
\nworked for many months are treated equally,\" Aprisindo Chairman
\nAnton J. Supit said in a discussion on labor here on Wednesday.<\/p>\n
Anton said footwear companies had no objection to the monthly
\nminimum wage system and the requirement to pay workers higher if
\nthey proved to be productive as it would make their products more
\ncompetitive.<\/p>\n
\"But the majority of workers in the footwear sector are
\nelementary school graduates and junior high school dropouts ...
\nand investing in the country is considered unsafe because of the
\nrampant violent labor strikes,\" he said.<\/p>\n
He said that workers in the sector could produce only two or
\nthree pairs daily, while those in China and Vietnam produced an
\naverage of five pairs per day.<\/p>\n
\"This means that working ethos among our workers is low, as is
\ntheir productivity,\" he said.<\/p>\n
He said workers with more than two years' experience in the
\nsector were paid between Rp 600,000 (US$70.50) and Rp 700,000
\n($82.30) per month, but most did not want to try to improve their
\nproductivity.<\/p>\n
Anton said 87 out of 178 footwear companies had gone bankrupt
\nand 300,000 workers had been laid off over the last three years
\nbecause of the prolonged economic crisis.<\/p>\n
The footwear sector is expected to revive this year, he said,
\nadding that Indonesia's total export was expected to reach $2.2
\nbillion this year.<\/p>\n
Footwear exports dropped from $2 billion in 1996 to $600
\nmillion 1997 and $1.9 billion in 1999.<\/p>\n
Nike issue<\/p>\n
Asked about the antiexploitation campaign against Nike sports
\nshoes at the 2000 Olympics in Sydney, Anton said labor conditions
\nat Nike's 11 contract companies in Indonesia was not as poor as
\nhad been reported.<\/p>\n
\"It's an international conspiracy between local labor unions
\nand non-governmental organizations overseas to discredit both
\nNike products and their producing companies in Indonesia,\" he
\nsaid.<\/p>\n
He invited the NGOs and sports organizations to come to
\nIndonesia.<\/p>\n
\"The companies' licenses should be revoked if their labor
\nconditions prove to be as poor as has been reported.<\/p>\n
\"The workers' salaries at Nike contract companies are
\nrelatively better than at other companies which produce other
\nfamous brands,\" he said, while citing the gross monthly salaries
\nat Nike contract companies were between Rp 550,000 and Rp
\n700,000.<\/p>\n
He added that workers had unions and the companies complied
\nwith the labor law. There is also a collective labor agreement
\nthat is renewed biannually.<\/p>\n
Separately, the Forum of Nike Workers in Indonesia similarly
\ndenied the allegation of bad working conditions, saying
\nconditions at their companies were relatively good.<\/p>\n
Djoko, the forum chairman, admitted that the companies had
\nmade some mistakes, but said labor conditions in general were
\nbetter than the minimum required by the government.<\/p>\n
\"The issues on human rights abuses and labor exploitation were
\nintentionally raised by Jim Keady, who represents a foreign NGO,
\nin a dispute with the Oregon-based Nike International,\" he said
\nwithout elaborating. (rms)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/aprisindo-seeks-fair-remuneration-system-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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