Indonesian Political, Business & Finance News

Agreed! PTFI and Workers' Unions Sign Collective Labour Agreement

| Source: CNBC Translated from Indonesian | Mining
Agreed! PTFI and Workers' Unions Sign Collective Labour Agreement
Image: CNBC

President Director of PT Freeport Indonesia (PTFI), Tony Wenas, along with the chairmen of three workers’ unions at PTFI, signed the company’s 24th Collective Labour Agreement (PKB) for the period 2026-2028 in Jakarta on Friday (10/4). The three union chairmen were Yudha Noya from the All-Indonesian Workers’ Union (SPSI), Makmesser Kafiar from the All-Indonesian Labour Union (SBSI), and Virgo Solossa from the Independent Papua Workers’ Union (SPMP).

Minister of Manpower Yassierli attended to witness the signing ceremony of the PKB. He expressed hope that the agreed PKB would serve as a solid foundation for building harmonious, productive, and sustainable industrial relations.

“This Collective Labour Agreement represents an important moment for the two main components of the company, namely management and workers’ unions as representatives of the workers, to synergise and collaborate in building a shared agenda. This is increasingly relevant given the challenges ahead that will not be easy,” said Yassierli, quoted on Saturday (11/4/2026).

He conveyed that the Ministry of Manpower (Kemnaker) has paid close attention to the process of formulating and signing the PKB. Kemnaker has guided the process through industrial relations mediators who are ready to intervene if obstacles arise in negotiations.

“We are grateful that the PKB has been signed. I pray that PT Freeport Indonesia advances, with prosperity for the workers and the people of Papua,” he said.

Meanwhile, PTFI Director Tony Wenas expressed appreciation to the three workers’ unions for completing the verification process, drafting rules, and reaching an agreement after negotiations that lasted 18 days since starting on 23 February 2026.

“The PKB we are signing today is the 24th. So we have had PKBs for 48 years, possibly one of the longest in Indonesia,” said Tony.

He explained the key points agreed upon, including wage increases and improvements to several allowances, such as accommodation allowances outside company facilities, underground mining worker allowances, school education allowances, old-age allowances, and others, with the main commitment to prioritising workplace safety.

The signing of the 2026-2028 PKB marks the culmination of negotiations between PTFI management representatives and the three workers’ unions. The series of activities began with the reading and ratification of rules as a common foundation for conducting the dialogue process.

The negotiation teams consisted of 8 members from the Employers’ PKB Negotiation Team, 9 members from the Workers’/Labour Unions’ PKB Negotiation Team (SP/SB), 9 members from the Employers’ Industrial Relations Guidelines Formulation Team (PHI), and 9 members from the SP/SB PHI Formulation Team.

The PKB is an important instrument in providing labour protection, certainty of rights, and a manifestation of the company’s commitment to workers’ welfare. The PKB renewal process is expected to serve as an open, constructive dialogue space based on mutual respect to create healthy and sustainable industrial relations.

“Thank you for the support and active role of the central government through the Ministry of Manpower and local governments through Manpower Offices at the provincial and regency levels, as well as the Central Leadership of SPSI and SBSI, which have supported the dialogue process and the achievement of this Collective Labour Agreement,” said Tony.

Tony also emphasised that for PTFI management, workers’ unions are not merely viewed as work partners but as part of the company’s large family that mutually supports and protects each other in PTFI’s shared journey.

“The agreement reached becomes an important foundation to achieve common goals, namely ensuring smooth company operations to improve the welfare of employees, their families, and the community,” said Tony.

Meanwhile, Chairman of the Workers’/Labour Unions’ Negotiation Team Yudha Noya hoped that with the approval of this PKB, all workers can experience a safer and more comfortable work environment, and the PTFI extended family becomes more prosperous under a continuously advancing and developing company.

“The signing of the PTFI PKB-PHI is not merely a ceremonial signing of a document. This is concrete evidence that partnership and consensus through deliberation have truly been realised,” said Yudha.

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