Boycott call makes no difference: Bank management

JAKARTA (JP): HongkongBank management said a call from a national union for a boycott against the Bank would have no impact on its business.

The Federation of the All Indonesian Workers Union (FSPSI) last week called for a boycott after a court ruling allowed HongkongBank to dismiss the Bank's 11 union executives. The ruling was issued by the Ministry of Manpower's arbitration body.

Eric W. Gill, the new chief executive officer of the Bank's Jakarta office, said yesterday he could not comment much on why the boycott appeal was considered harmless.

This is the union's first call for a boycott.

Speaking after introducing the Bank's first credit card, the HongkongBank Visa International, Gill said most of the Bank's customers in the corporate sector had been clients for eight to 10 years, and that the Bank had operated here for "a very long time."

HongkongBank, or the Hongkong and Shanghai Banking Corp. Ltd., started operating here in 1884.

In response to suggestions the appeal was harmless because the FSPSI lacked clout, he said, "I can only say that we operate within Indonesian law".

Union chairman Bomer Pasaribu has said the boycott appeal was the last resort because the management showed "no intention" of implementing the arbitration body's order to reinstate 189 employees.

Strike

The arbitration body turned down the management's request to dismiss the employees following a strike in April, in which employees accused the management of stalling negotiations in collective bargaining negotiations.

The management has appealed to the Jakarta Administrative High Court.

Lela Djafaar, the Bank's public relations officer, said about 70 employees were still waiting to be reinstated. Many had taken up early retirement offers or have found work elsewhere, he said.

The Union's call for a boycott followed an announcement of a world wide solidarity campaign from the Asian and Pacific regional organization of the International Federation of Commercial, Clerical, Professional and Technical Employees. Bomer also chairs the Union's banking and commercial sector.

Gill said his replacement of Philip CL Holberton six weeks ago had nothing to do with the problems. (anr)