Sat, 15 May 1999

Fire water firm workers, says former governor

JAKARTA (JP): Former Jakarta governor Ali Sadikin urged Governor Sutiyoso on Friday to fire members of the labor union of the city-owned water management company PDAM Jaya.

Workers from the firm have since April 8 staged strikes and rallies to protest the firm's cooperation deals with two foreign partners.

Ali, an outspoken figure during Soeharto's authoritarian rule, said union members had been "too arrogant" with their demands to the two foreign partners. He argued their demands were contrary to the 1945 Constitution.

"Indeed, the constitution states that water is under government supervision, but what can we say if we have no financial power (to manage it)?" said Ali, who served as Jakarta governor from 1966 to 1977, and was linked to controversial decisions such as the authorization of gambling.

He said essential sectors, such as electricity and other natural resources, were also managed by the government under cooperation with foreign companies.

"If I were still city governor, I wouldn't hesitate to fire those who join the protests, as they no longer put public interest as their first priority."

He said he strongly supported Sutiyoso's decision to fire PDAM Jaya president Rama Boedi and maintain cooperation with the firm's two foreign partners.

According to Ali, the cooperation agreements with British joint-venture company PT Thames Pam Jaya (TPJ) and French joint- venture company PT Pam Lyonnaise Jaya (Palyja) were crucial for the country.

"Neither the city administration nor the central government have adequate (financial) power to fulfill the city's needs for tap water."

The decision to fire Rama was the "correct step", Ali said.

Sutiyoso sacked Rama on Thursday for incompetency in handling the protesting workers. PDAM Jaya's chairmanship has been entrusted to a caretaker team led by Ongky Sukasah, an assistant to the city secretary for development affairs.

Union members are protesting a salary disparity between those assigned to PDAM Jaya headquarters and those at TPJ and Palyja.

Public service has been neglected during the strike and the protesting workers have urged city residents not to pay water charges.

The protest is believed to have been sparked after Rama raised the wages and allowances of 200 PDAM Jaya employees at their headquarters to 45 percent, while the other 2,800 employees posted at TPJ and Palyja were only granted a 20.5 percent increase.

Protesters subsequently changed their demands for a similar pay hike, insisting the firm cancel the cooperation deal with the two partners. They say the agreement is illegal as it breaches the 1945 Constitution.

On Friday, Rama said he had never supported or financed any of the protests.

"It's totally ridiculous! The city administration has no proof. The foreign partners are an essential factor for water distribution in the capital," Rama told The Jakarta Post.

"What would I gain from doing such a thing? PDAM Jaya itself would be at a loss if we lost those foreign partners."

He said he would remain loyal to Governor Sutiyoso despite his dismissal from the company.

"Whatever Pak Sutiyoso decides, I will not fight it. I respect him."

At City Hall on Friday, Governor Sutiyoso announced that the decision regarding Rama's dismissal was based on findings of the city inspectorate office. The office said Rama was behind the rallies.

"I have given him the opportunity to defend himself but we will stick to our decision," Sutiyoso said.

He said that pending the results of a final investigation, Rama could lose his civil servant status.

The governor acknowledged that his dismissal of Rama could lead to new problems for his administration, as workers at the company might protest the decision.

Union spokesman Josie Indrawan said on Friday that a protest letter, signed by all 2,800 PDAM Jaya employees, would be sent to Sutiyoso in the next few days,

"It's very unwise for Sutiyoso not to cancel the agreement between PDAM Jaya and its foreign partners," Josie said.

Palyja and TPJ said in a joint statement on Friday they were ready to cooperate with the newly appointed management of PDAM Jaya. (ind/ylt)