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Fuel price hikes cause hardship for Batam workers

| Source: JP

Fuel price hikes cause hardship for Batam workers

Fadli, The Jakarta Post, Batam

Batam workers expressed concern on Saturday that their lives were
getting tougher after the fuel price hike triggered skyrocketing
cost of living in the city. "The situation has deprived Batam
workers. Sadly, there has been no signal from the government or
employers to raise the minimum wage in order to cushion the
impact of fuel price hike," said Edwin Haryono, the chairman of
the Batam Workers Union.

Edwin has complained that the fuel price hike had jacked up
transportation costs, forcing workers to shell out up to 40
percent of their salary just to get to work.

Edwin claimed transportation fares had increased 100 percent
after the government increased the price of fuel by an average
126 percent last week. Before the fuel price hike a worker had to
pay Rp 2,000 for transport between Batu Aji and the Muka Kuning
Industrial Park, but now they have to pay between Rp 3,500 and Rp
4,000.

Meal costs have also been affected with workers now having to
pay Rp 7,000 per meal, while before the fuel price hike, they
only spent Rp 5,000 per meal.

"The government has to take quick measures. Besides raising
the regional minimum wage, the Batam government should also call
on employers here to raise transportation allowances for
workers," said Edwin.

Bambang Yulianto, the coordinator of the Indonesia Prosperity
Workers Union, said a minimum wage rise was a must amid the
rising cost of living. Worker morale is currently at its lowest
ebb as their lives are getting harder and an wage rise is seen as
important to boost their morale, said Bambang.

"Boosting workers morale is instrumental to increasing
productivity at Batam factories," said Bambang.

Despite the calls, Batam employers were apparently reluctant
to raise transportation allowances or salaries for workers.
Abidin, the chairman of the Indonesian Employers Association
(Apindo), said not only workers, but employers had also
been hit hard by the fuel price hike. He said it would be
difficult for employers to raise transportation allowances or
worker salaries.

Meanwhile, the head of the Batam Manpower Office, Pirma
Marpaung, said the local administration would urge all employers
in the city to take steps to help cushion the impact of higher
fuel prices on their workers.

However, Prima said employers would not be required to heed
the city's call.

Batam is one of the main industrial cities in the country,
thanks to its strategic location near Singapore. As a thriving
industrial city, Batam draws people from across the archipelago
searching for work.

Batam is home to numerous industrial companies, including
electronics and plastic manufacturers, and draws investors from
around the world.

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