House to press ahead social security system bill

House to press ahead social security system bill

Ridwan Max Sijabat, The Jakarta Post/Jakarta

Ignoring main stake holders' aspirations, the House of
Representatives is determined to complete the deliberation of the
much-criticized bill on national social security system (SJSN)
next week.

Surya Chandra Surapaty, chairman of the House's working
committee deliberating the bill, declined to receive a group of
employers and labor activists who were trying to stop the House
deliberating the bill here on Friday. Surya said that the bill
deliberation has been nearing completion and was scheduled to be
brought to a plenary session on Sept. 21.

He said both the government and the working committee have
agreed to set up a small team to formulate and synchronize all
contentious issues that have been already discussed over the last
several months.

"The small team (Timus) will work on Friday, Saturday and
Sunday to ensure that the bill is ready to be endorsed on
Tuesday," he said.

The Bipartite Forum representing employers grouped in the
Indonesian Employers' Association (Apindo) and labor unions have
opposed the bill since they had not been involved in preparing
the bill's academic draft and its substance would certainly
affect them.

"We are really confused over the working committee's
rejection. Is it a state institution representing the people or a
retail company fighting to reach its sale target? If it is a
legislative body it should not turn a deaf ear to employers and
workers, both main stake holders in the social security bill,"
Hasanuddin Rachman, a spokesman for the Bipartite Forum, told The
Jakarta Post here on Friday.

The Bipartite Forum which sent 200 delegates to meet with the
House's working committee on Sept. 2, proposed to the committee
to suspend the bill's deliberation for numerous reasons, but the
committee decided to continue the deliberation for specified
reasons.

"Two major factions in the working committee have seemingly
been determined to complete the deliberation and endorse it
before their term of office ends at the end of this month.
Although many sides, including employers and workers, have
expressed their opposition to the controversial bill," said a
member of the working committee who asked for anonymity.

Hasanuddin reiterated that employers and workers have opposed
the bill which they claimed to be overlapping with the social
security programs for workers (Jamsostek), civil servants (Askes
and Taspen), public transport passengers (Jasa Raharja) and
servicemen (Asabri).

"Besides, both workers and employers will be asked to give
cross-subsidy for the poor for their participation in the social
security programs," he said.

Hasanuddin added that according to information he gained from
the working committee, the government would ask all the five
state-owned companies to provide a total of Rp 3 trillion to run
the social security programs for the poor.

Hasanuddin explained that the Bipartite Forum has submitted
their objections to the bill to the House but so far no positive
response had been given. He said the working committee has
ignored the objections "because the committee's chairman and
several members of the committee have their own interests in the
establishment of a national body running the national social
security system."

Dita Indah Sari, chairwoman of the National Front for the
Struggle of Indonesian Workers (FPNBI), said workers would stage
a demonstration at the House on Saturday until Tuesday to
pressurize the House to suspend endorsing the controversial bill.

Manpower and Transmigration Minister Jacob Nuwa Wea, said that
he personally opposed the bill because the government did not pay
its own contribution to the social security programs, it was not
fair if workers and employers have to give cross-subsidy for the
poor.

"I have urged the House's working committee to suspend the
bill and leave it to the next new parliament because its
enforcement will certainly raise many conflicts in the field in
the future," he said.

He said that the social security programs for workers could
not be merged under the national system since Jamsostek programs
were jointly financed by workers and employers.

State-owned PT Jamsostek's president Achmad Djunaidi said that
his company has also submitted its opposition to the bill to the
House because the new bill recommended the merger of the five
state-companies under the national social security system.

"Besides we have been running for more than 26 years with 13
million workers participating in the programs and total assets of
Rp 28 trillion (US$3 billion)," he said.