Wed, 24 Dec 2003

Bekasi to increase wages

BEKASI: Bekasi regency agreed on Tuesday to increase monthly wages for workers at metal working factories by 10 percent as demanded by the workers' association, from the current Rp 670,000 (US$79) to Rp 737,000.

The decision was made following a rowdy protest earlier in the day staged by 300 workers, mostly connected to the Association of Indonesian Metal Workers (SPMI), who work at three electronics factories in the Cikarang industrial estate.

According to the rally coordinator, Evi, all indices of the Indonesian economy had shown improvement since 2002.

"Moreover, the government has imposed a tax holiday which further corroborates those indices. Given the facts, there is no reason for the Bekasi administration to delay the wage increase," Evi was quoted by Antara as saying.

One of the protesters, Yanto, 29, said the administration received billions of rupiah in taxes from the companies, but did not protect the interest of the workers.

SPMI chairman Obon said the increase proposal would also be submitted to West Java governor Danny Setiawan for approval.

Meanwhile, the newly elected regent Saleh Manaf said he would boost the industrial sector, which had contributed Rp 32.4 trillion to regional revenue in 2001, by welcoming more investments. -- Antara