Layoffs feared to spark urban violence

Layoffs feared to spark urban violence

YOGYAKARTA (JP): The massive layoffs brought about by the
current economic crisis may trigger more violence in urban areas
as the competition for jobs in the lower economic strata
increases, an economist warned here yesterday.

"There will be more competition among pedicab drivers, street
vendors, angkot (public transportation) drivers, urban have-
nots... violence is unavoidable," Revrisond Baswir of Gadjah
Mada University told a discussion on People's Economic Prospects
in 1998 held at the Legal Aid Institute's office here.

Reports have estimated that at least one million workers have
been laid off in Greater Jakarta alone.

In East and Central Java, thousands of workers have already
been dismissed from their jobs.

The drastic appreciation of the dollar against regional
currencies, including the rupiah, has led to an economic slowdown
in Indonesia.

Revrisond said the agricultural sector would be an alternative
for those who have found themselves jobless, but warned that this
sector would also suffer should the national economy worsen.

He said the agricultural sector was always the government's
"bumper", allowing it to soak up thousands of unemployed people.

But Revrisond believes that subsidies in this sector, such as
on fertilizer, would be cut if the situation worsens.

"In this case, villagers who have just suffered from the
drought would become more frustrated and greater urbanization
will occur.

"It will be a national disaster if we fail to cope with these
problems," Revrisond warned.

Revrisond called for a war against corruption and collusion at
the state level to make it more efficient.

"It's not enough for the government to just call for a modest
living amid this crisis," he said while urging the government to
sponsor more labor intensive projects. (44)