Wed, 05 Feb 1997

Latief leans harder on employers than workers

By Ridwan M. Sijabat

SURABAYA (JP): Maintaining harmonious industrial relations in Indonesia is more the responsibility of employers than workers.

That was the message Minister of Manpower Abdul Latief gave during a whirlwind visit here Friday to meet employers and workers in Surabaya, Gresik and Sidoardjo.

Two things were on Latief's mind as he made unannounced visits to industrial plants to talk with employers and workers: employers must pay workers Idul Fitri allowances equal to at least one month's salary and comply with the minimum wage regulations.

The government increased minimum wage levels in all 27 provinces last month. In major industrial centers in East Java, the monthly minimum wage was increased 10.4 percent from Rp 120,000 (US$50) to Rp 132,500.

Although the increases are not effective until April 1, Latief has been touring major cities these past weeks to garner support for the increases and ensure employers' compliance.

East Java has a key place in his campaign.

The province has witnessed some of the country's most serious industrial unrest in recent years, including several violent incidents.

It was here that activists associated with the Democratic People's Party (PRD) allegedly organized labor protests. Some of the PRD leaders currently on trial in Jakarta and Surabaya are charged with leading the labor demonstrations in East Java.

If Latief has been campaigning particularly hard this year, it is because 1997 is an election year, and, as events in many parts of the country these past few months have indicated, the tiniest trouble can easily turn into a massive and uncontrollable riot.

"We should learn from past experiences," Latief said during the meetings with employers and workers.

"Businesspeople should help create a climate conducive for investment and help maintain political stability, especially in the run-up to the general election," he said.

Given East Java's industrial might -- 25,000 companies employ more than 1.8 million workers in the province -- it is easy to see why Latief recognizes the potential for chaos triggered by labor conflicts.

"Such disputes could be misused by third parties to incite demonstrations and violence," he said.

The tone of Latief's message however was clear: employers should shoulder the majority of the responsibility to avoid disputes.

Most labor conflicts in the past, he said, resulted from managers' ignorance of workers' rights.

The obligation to pay Idul Fitri allowances and the minimum wage policies are all based on the country's labor laws.

"Employers, without any exceptions, are expected to comply," he said.

Those who infringed the law would be prosecuted, he promised.

The minister cautioned employers against ducking their responsibilities, saying that workers are increasingly aware of their rights and more assertive in securing them.

During the one-day tour of industrial plants in the three towns, Latief was accompanied by East Java Governor Basofi Sudirman, Association of Indonesian Employers Chairman Suratno Hadisuwito and Federation of the All-Indonesia Workers Union Chairman Marzuki Achmad.

Basofi said the provincial administration had not received any requests from local companies for exemption from the new minimum wage regulations.

He also used the occasion to appeal to workers to be wary of attempts by antigovernment forces wanting to create chaos by inciting violence.

Strikes would hurt workers as much as employers, he said.

Marzuki said his federation would encourage workers to fight for their legal rights, but urged peaceful methods which ensure the maintenance of harmonious industrial relations.

"Workers should struggle in a peaceful way. You are not forbidden from going on strike, but you should first go to the negotiating table and talk with management to settle disputes.

"Strikes should only be used if negotiations fail," he said.

Local union leaders said they could not fight their battles alone to secure workers' rights.

Agum Sarjono, 31, head of the federation unit at PT Behaestex, a textile company in Gresik, said the provincial administration and the East Java office of the Ministry of Manpower should lean harder on employers to respect workers' rights.

He said that besides the minimum wage and Idul Fitri allowance, other rights also often provoke conflicts with management; he cited the struggle for overtime payments, menstruation leave and transportation allowances as examples.

Agum recalled one particular dispute over wage increases he once negotiated with management. The two sides were deadlocked and they eventually agreed to take the case to the Ministry of Manpower. "The union was ordered to accept the management's proposal", he said.

Soeryanto, the federation's representative at PT Keramik Diamond Indonesia in Sidoardjo, stressed there was often a lack of goodwill on the part of management in resolving labor disputes.

This has led to deadlocked conflicts and strikes, he said.

Latief said the best way to avoid industrial unrest is for management and workers' representatives to sign a collective labor agreement stipulating the rights and obligations of both parties.

"The agreement, that should be renewed every two years, should include the grade-based remuneration system," he said.