Indonesian Political, Business & Finance News

Boycott call makes no difference: Bank management

| Source: JP

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)

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