Standard Chartered Bank negotiates with labor union<\/p>\n
JAKARTA (JP): Negotiations are continuing between the All
\nIndonesian Workers Union and the British-based Standard Chartered
\nBank regarding the number of workers to be dismissed, as a result
\nof bank restructuring, and the amount of severance money to be
\npaid.<\/p>\n
Sihotang, who heads the union at Standard Chartered, told The
\nJakarta Post yesterday that neither of the two issues had been
\nresolved as yet.<\/p>\n
\"We are still striving to have our demands met,\" Sihotang
\nsaid, adding that the specter of a mass dismissal had been
\npresent since last November.<\/p>\n
Priyo Mulyadi of the bank's trade and finance department said
\nthat the dismissal of its employees was, mainly, a result of the
\ncompany's decision to introduce new technology which, he said,
\neliminated a number of jobs.<\/p>\n
\"The new technology reduces the amount of clerical work so
\nthat fewer clerks are needed,\" he said. The bank also plans to
\nremove the duties of the internal control department of Jakarta's
\nbranch from here to its Hong Kong branch.<\/p>\n
Priyo added that the Hong Kong branch would directly supervise
\nall the internal control departments of the bank's branches in
\nSingapore, Malaysia, Brunei, Thailand and Indonesia.<\/p>\n
Standard Chartered operates five branch offices in Indonesia,
\nincluding one in the Atria Square building in Central Jakarta.<\/p>\n
Priyo said that the management had decided that the employees
\nto be dismissed who are not members of the union would each
\nreceive 3.7 times the number of years they have worked for the
\nbank multiplied by their last month's salary.<\/p>\n
\"However, the union is still trying to push the management
\ninto giving the employees who are union members at least six
\ntimes the number of years of their employment multiplied by their
\nlast month's salary,\" he said.<\/p>\n
As of yesterday, the bank had not yet revealed the number of
\nemployees which it intends to dismiss.<\/p>\n
Priyo said he expected that the bank would announce the number
\nto be dismissed, as well as the severance pay it is offering,
\ntoday.<\/p>\n
Another representative of the bank, Ria Jamal, confirmed in a
\ntelephone interview with the Post that the negotiations had not
\nyet been concluded. However, she refused to provide any further
\ncomment.<\/p>\n
\"For the time being we have no other comment,\" she said.<\/p>\n
Conflict between the management of the bank and its staff
\noccurred in early 1994, when around 200 of the bank's 350 Jakarta
\nemployees went on strike, from Jan. 13 to 14.<\/p>\n
The strike was triggered by stalled talks on a collective
\nlabor agreement, which was originally scheduled to be signed in
\nOctober, 1993.<\/p>\n
The strikers claimed that the allowances paid by the bank for
\nleave, medical care and their pension funds were lower than those
\npaid by other foreign banks in the city. The protesters' claims
\nwere denied by the banks.<\/p>\n
During the 1994 strike, the workers also demanded that their
\nexpense allowances (tunjangan kemahalan) be maintained in the
\nface of inflation. No report on the result of the strike was
\navailable. (mas)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/standard-chartered-bank-negotiates-with-labor-union-1447893297",
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