JP/4/Editorial

JP/4/Editorial

Lessons from Medan

If the latest reports from Medan are correct, then the ban on
further labor protests which the North Sumatra security
authorities issued late last week in the wake of some ugly
rioting has been of limited effect at best.

In Jakarta, reports said yesterday evening that far from
having abated, the demonstrations and rioting by protesting
laborers had spread to nearby towns. At least 29 persons were
being held by the police for questioning as an estimated 9,000
workers from 22 factories continued their protests.

As was reported during the weekend, the trouble started on
Friday, when about 10,000 workers rallied in Medan to demand that
the government raise the daily minimum wage in the province from
the present Rp 3,100 (US$1.44) to Rp 7,000. The workers also
demanded that the government allow them to set up an independent
trade union and that it investigate the death of a labor activist
whose body was found in the Deli River last month.

As if this was not enough, reports said the SBSI -- which
organized the Medan labor protests although it denies having a
hand in the rioting -- was threatening to organize more strikes
if the government refuses to raise the minimum wages for workers
throughout the country. Specifically, a SBSI official mentioned
Lampung, Tangerang and Surabaya as target areas for such actions.

Two conflicting aspects may be noted with regard to the Medan
incidents. First, there is the persistent demand that the
government's allow the establishment of a trade union which
workers regard as independent. So far, the authorities have been
steadfast in their refusal to permit no more than one labor
union, the government-sanctioned All Indonesian Workers Union
(SPSI).

The irony of the situation is that it is precisely this policy
that is undermining the credibility of SPSI and making it
unacceptable in the eyes of many workers -- not to mention the
union's apparent failure to effectively stand up for the rights
of its members. Considering the persistence of such demands and
the effects that a stubborn refusal can have on the country's
cherished stability, it may be judicious for the government to
allow more leeway for workers by providing them with such
options. Surely, adequate yet acceptable regulations can be
devised if a certain degree of restraint is regarded as still
necessary.

Of more immediate concern, however, is the second aspect of
the problem, which puts at stake the credibility of SBSI -- the
only currently existing "independent" alternative to SPSI -- as
an effective and responsible organization. As much as we
sympathize with the workers' demands, we do not believe that the
course the SBSI leaders are taking at present will benefit either
the organization or the workers in general in the longer term.

A number of points may be raised. First, there is the question
of our national security and stability -- exceedingly important
matters which, under the present circumstances, define the
boundaries of what is possible in this country. Can the SBSI
guarantee that it will be capable of controlling any large
protest movements in such places as Tangerang and Surabaya? The
Medan example shows how difficult this can be.

One more glaring example of how easy it is for demonstrations
to get out of the organizers' control is the Malari incident of
the 1970s, when initially orderly student protests against the
visit of Japanese Prime Minister Kakuei Tanaka turned into
uncontrolled riots that, in a manner of speaking, almost set
Jakarta ablaze. Up to this day the question of how that could
have happened is still a subject of speculation. In any case, for
those who were involved in those riots, or witnessed them, surely
the lesson is one that is not easily forgotten.

Another point worth considering is that a minimum daily wage
of Rp 7,000 may not be very realistic and, therefore, difficult
to push through at the present stage. As much as we support
efforts to improve the lot of our workers, we believe that the
rational thing to do is to maintain a proper sense of realism and
balance. After all, whether we like it or not, factories have to
stay in business and make sufficient profits before they can
improve their employees' welfare.

All in all, we think there is a lesson to be learned for both
employers and workers in the Medan incidents. There are, of
course, miserly employers, and for them it is well to remember
that it does not pay to keep testing their workers' patience. For
the protesting workers, and for the leaders of the SBSI in
particular, it is good to remember that actions, if recklessly
chosen, can be counter-productive.