Consortium established to protect workers abroad<\/p>\n
JAKARTA (JP): Twenty private insurance companies agreed
\nyesterday to form a consortium to set up an insurance coverage
\nscheme to protect Indonesian workers working overseas.<\/p>\n
This new agreement effectively ends the controversial monopoly
\nheld by the Human Resources Development Foundation (YPSDM), owned
\nby former minister of manpower Abdul Latief, on insurance for
\nworkers heading abroad.<\/p>\n
The agreement was reached between the insurance companies and
\nabout 100 labor export companies in a meeting presided over by
\nDirector General of Labor Placement Din Samsudin here yesterday.<\/p>\n
Didi Wijaya, marketing manager of insurance company PT
\nBeringin Life, said that three or four individual insurance firms
\nwould cooperate together to offer insurance coverage to labor
\nexport companies.<\/p>\n
These labor export companies would then be free to decide
\nwhich insurance firm or cooperation to use.<\/p>\n
\"The insurance will cover protection in occupational
\naccidents, deaths, transportation, medical service and legal
\nproblems,\" he said.<\/p>\n
He expects the consortium to table a draft insurance scheme in
\n10-days so it can be discussed with labor export companies.<\/p>\n
Minister of Manpower Fahmi Idris issued last month a
\nministerial decree stipulating that labor export companies were
\nresponsible for providing protection to workers. All workers sent
\noverseas are obliged to participate in a social security program.<\/p>\n
The new decree comes on the heels of strong protests by the
\nlabor export companies against YPSDM, which they claim has
\nrefused to pay insurance claims to troubled workers abroad.<\/p>\n
Anthon Sihombing, secretary-general of the Association of
\nLabor Export Companies (APJATI), claims that YPSDM has collected
\nat least US$15 million since its establishment in 1996 but has
\nnever paid insurance claims to troubled clients.<\/p>\n
\"The foundation collects $80 from each worker sent overseas,
\nbut has never paid anything to the workers. Besides, all forms of
\nmonopoly should be eliminated,\" said Anthon, who is also
\npresident of labor export company PT Luhur Asa Vrima.<\/p>\n
Wijaya said his insurance company was ready to compete by
\noffering better services to workers.<\/p>\n
Meanwhile, Mansur, chairman of the East Java APJATI branch,
\ncalled on the government to take strict measures against labor
\nexport companies found guilty of deceiving and abandoning
\nworkers.<\/p>\n
\"The government should be strict with violating companies to
\nhelp eliminate cases of fraud and inhumane treatment toward
\nworkers,\" he said.<\/p>\n
He contended that the government should revoke the license of
\nPT Bina Inti Utama, which had been found guilty of collecting
\nplacement fees from workers but had not sent them abroad.<\/p>\n
The workers have lodged their own lawsuit against the company
\nat the Surabaya District Court.<\/p>\n
Official figures put the number of Indonesians working abroad
\nat about 1.9 million. (rms)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/consortium-established-to-protect-workers-abroad-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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