House agrees to delay labor law enforcement

JAKARTA (JP): The House of Representatives unanimously approved on Monday the government regulation in lieu of the controversial 1997 labor law, allowing an extension of the old law which was passed in 1968 until Oct. 1, 2002.

All the 11 House factions endorsed the government regulation in a bid to avoid a legal vacuum in the labor field, pending completion of an amendment to the 1997 law now being pursued by the government and the House.

The Indonesian Democratic Party of Struggle (PDI Perjuangan) faction said it supported the review of the 1997 labor law because it contained fundamental flaws and it would take more time to amend it.

"We need much more time to complete deliberation of the amendment to the 1997 law because we still have urgent legislative duties, including amending the central bank law and probing high-profile financial scandals known as Buloggate and Bruneigate," the faction said in its statement.

The House had postponed the enforcement of the 1997 labor law on Oct. 1, 1998 on grounds that it needed fundamental changes in line with the reform movement and the implementation of regional autonomy next January.

Labor activists strongly criticized the law, which was passed under a cloud of suspicion after it was discovered that state- owned PT Jamsostek had forked out Rp 7.3 billion to finance deliberation of the bill. The bill was sponsored by the ministry of manpower, then under the auspices of Abdul Latief.

The National Awakening Party (PKB) faction suggested on Monday that the House focus efforts on expediting the deliberation of the bill amendment to help reduce labor problems.

Fuad Imam Imran, spokesman for the faction, said labor problems deserved extra attention because they were closely linked to human rights abuses.

"In line with the reform movement, the House and the government have approved a law on the freedom to unionize and are deliberating two bills on labor protection and on industrial relations and labor standards," he said.

Deputy House Speaker Muhaimin Iskandar who presided over the plenary session, called on people, especially workers, to remain patient as they waited for a new, comprehensive law to replace the old one which was certainly no longer appropriate in the reform era.

Acting Manpower and Transmigration Minister Erna Witoelar who represented the government in the plenary session conceded the government's slow pace in drafting a comprehensive law on manpower.

She said the government would submit a bill on settlement of labor disputes, which would give authority to district courts to try labor disputes.

"This bill is aimed at giving legal certainty to investors and employers on one hand and workers on the other hand when both sides are in dispute," she said. (rms)