Furniture workers wait for bonuses<\/p>\n
Nana Rukmana, The Jakarta Post, Cirebon<\/p>\n
Some 20,000 workers in Cirebon regency's rattan industry will
\nhave a somber Idul Fitri, with many not getting their annual
\nbonuses due to worsening business conditions.<\/p>\n
On Thursday, the workers, who usually received their Idul
\nFitri allowances two weeks before the day, had still not seen
\ntheir money.<\/p>\n
\"Until now, we still haven't got our annual bonus payment. We
\ndon't know whether we'll get it or not,\" said Nesri, a 24-year-
\nold worker.<\/p>\n
Another worker, Ika, 25, who works for CV Mekarsari, said
\nthere had been no announcement from the company's management as
\nto whether the workers would get their bonus.<\/p>\n
The amount of the annual bonus is usually the same as the
\nworkers' monthly wage. Last year they were given Rp 470,000.<\/p>\n
\"We don't know the amount of the bonus this year. And we don't
\neven know whether we'll get it or not,\" Nesri said.<\/p>\n
Chairman of the Indonesian Furniture and Handicraft
\nBusinessmen's Association in Cirebon, Sumartja, admitted that
\nmany rattan companies did not have the financial ability to pay
\ntheir workers the bonus.<\/p>\n
\"The number (of companies that cannot pay the Idul Fitri
\nbonus) is large; 30 of the 127 big companies in operation (cannot
\npay), and each has between 500 and 1,500 workers,\" Sumartja said,
\nestimating that around 20,000 workers might not receive it.<\/p>\n
\"We continue to push owners to meet their obligation to pay
\ntheir workers' Idul Fitri bonus,\" he added.<\/p>\n
He blamed the companies' inability to pay on a downturn in
\nbusiness following fuel price increases, which pushed production
\ncosts up 20 percent.<\/p>\n
\"The increase in production costs has put a further burden on
\nbusinessmen who are also obligated to pay various fees to
\nprovincial and regental administrations as well as high taxes and
\nshipping costs,\" he said.<\/p>\n
He said the increase in fuel prices only compounded the
\nindustry's problems, which was also struggling against minister
\nof trade regulation No. 12\/2005 that now allows export of raw
\nrattan abroad.<\/p>\n
\"The regulation is a massive blow to the national rattan
\nindustry. By allowing exports of raw rattan, it means we're
\nproviding ammunition to our competitors, China and Vietnam, to
\nkill us. With the permit, China and Vietnam will certainly have
\nenough supplies of raw materials for their rattan furniture
\nindustry,\" Sumarjta said.<\/p>\n
He also blamed the introduction of the regulation for a
\nsignificant drop in rattan furniture exports from Tegalwangi. \"In
\nthe last three months, exports from Tegalwangi dropped by 60
\npercent,\" he said.<\/p>\n
Before July, rattan furniture exports to countries like Japan
\nand the U.S. stood at 2,000 containers, while in July it was only
\n900 containers. \"In the following months, exports will drop to
\nabout 700 containers,\" he said.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/furniture-workers-wait-for-bonuses-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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