Government urged to make radical change in labor policy<\/p>\n
JAKARTA (JP): A senior official of the Federation of All
\nIndonesian Workers Unions called yesterday for radical change in
\nthe labor policy to strengthen workers' bargaining power.<\/p>\n
Union deputy chief Wilhelmus Bokha told a seminar the
\ngovernment should stop its habitual interference in the labor
\norganization's internal affairs.<\/p>\n
It will also have to stop collusion between its officials and
\nentrepreneurs, bury its feudalistic attitude and review its
\ncapitalist economic system, he said.<\/p>\n
"Workers can use their massive power to undermine the 1997
\ngeneral election unless the government improves their welfare,"
\nhe warned.<\/p>\n
The Indonesian government plans to raise minimum daily wages
\nby an average of 10.6 percent across the country next month.<\/p>\n
The minimum daily wage in Jakarta and its surrounding areas,
\nfor instance, will be raised from the current Rp 4,600 (US$1.9)
\nto Rp 5,200 ($2.2). In North Sumatra, the level will be increased
\nfrom Rp 4.200 to Rp 4,600 and in East Java from Rp 3,700 to Rp
\n4,000.<\/p>\n
Bokha said the planned increase in the daily wage levels won't
\nbe adequate for workers to make the ends meet.<\/p>\n
The meager minimum wages are simply a logical consequence of a
\ncapitalist economic system combined with feudalistic political
\npractices, he argued. This, he said, encourages collusion,
\nmonopoly, oligopoly and corruption.<\/p>\n
He challenged the government's recent claim that at the
\ncurrent wage levels, workers are able to meet "108 percent" of
\ntheir minimum physical needs, meaning food, housing, recreation
\nand education.<\/p>\n
"It is impossible for workers to eat enough, afford modest
\nhouses and enjoy recreation at the same time; their wages are too
\nlow," he said.<\/p>\n
He said he does not agree that Indonesian workers deserve such
\nsmall wages because the quality of their work is poor and their
\nproductivity low.<\/p>\n
"The Malaysian government has publicly acknowledged that the
\nproductivity of Indonesians working in its plantations is higher
\nthan that of local workers'," he said.<\/p>\n
"That's why Indonesians are paid more than Bangladeshis,
\nVietnamese and Filipinos working in the same sectors."<\/p>\n
He also pointed out that Indonesian minimum wages are the
\nlowest among ASEAN countries although their productivity is
\nhigher than that of Malaysian and Thai workers.<\/p>\n
Hourly pay in Indonesia is $0.25, Malaysia $1.80, the
\nPhilippines $0.68, Thailand $0.71, China $0.58 and Vietnam $0.73,
\nhe said.<\/p>\n
It was Bennett Silalahi, a senior researcher from the
\nIndonesian Institute of Sciences (LIPI), who said that Indonesian
\nworkers' wage levels are low because their productivity is also
\nlow.<\/p>\n
"All employers will try to keep their production costs as low
\nas possible to rake in as much profit as possible. Of all
\nproduction costs, it is the labor cost which can most easily be
\nkept low," he said.<\/p>\n
Sjahrir, an economist from the University of Indonesia, said
\nin the seminar that the low minimum wage level is caused by the
\nsurplus of workers in the market.<\/p>\n
"No employer worries about running short of workers. If one
\nworker quits his job, ten or more others will queue up to replace
\nhim," he said. (rms)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/government-urged-to-make-radical-change-in-labor-policy-1447893297",
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