Boss tried for not insuring workers
Boss tried for not insuring workers
SEMARANG, Central Java: The director of PT Sari Busana Indah
Tekstil is standing trial for failing to insure his textile
workers as required by law.
Prosecutor Bambang Supriyadi said in a court session yesterday
that the 53 year-old director, whose identity is not being
revealed, failed to abide by the law although he was aware that
insuring workers was mandatory.
The law requires that any company employing more than 10
workers or spending more than Rp 1 million (US$480,000) a month
on workers' pay should insure its employees.
PT Sari Busana Indah Tekstil employs more than 200 people and
only some of them have been insured, Antara reported, quoting
witnesses in the trial.
The director of the company established in 1992, the year when
the insurance law was passed, is facing six months imprisonment
and a fine of Rp 50 million. (pan)