More dialogs sought for acceptance of new labor law

Moch. N. Kurniawan, The Jakarta Post, Jakarta

Experts and legislators are calling on trade unions and employers to resolve peacefully their remaining objections to the new manpower bill, saying the new draft could be amended for the sake of both parties.

Bomer Pasaribu of the Center for Labor and Development Studies (CLDS) said on Wednesday the new manpower bill would improve working conditions in terms of severance pay, salary payments during strikes and two months' sabbatical leave.

But he also recognized that several articles, including the use of temporary workers and child labor, were considered by some labor unions to only benefit businesses.

"It is better to accept the endorsement of the manpower bill as the bill is a good regulation. All parties then can talk to each other to resolve the remaining objections and propose a revision," he told The Jakarta Post.

The new manpower bill, approved by the House of Representatives on Tuesday, is expected to be enacted next month whether President Megawati signs the bill into law or not.

But small trade unions have rejected the bill, saying it disadvantages workers. They pointed at the low compensation for workers dismissed for committing a crime and the use of temporary workers and child labor.

Employers associations have also complained about the requirement to provide severance pay of a maximum nine times the monthly salary for dismissed workers, saying it was higher than the present rate of seven times the monthly salary.

Rekso Ageng Herman of the Indonesian Democratic Party of Struggle (PDI Perjuangan) concurred with Bomer.

He expressed disappointment with those who still reject the new manpower bill without suggesting a concrete solution.

"We have been doing our best to produce a good law that accommodates the interests of both workers and employers. So we hope all parties can accept it," he said.

Bomer went on to say that labor unions must also push for the creation of a government regulation to tightly regulate the implementation of the articles on child workers and temporary workers.

"These articles really need further government regulation because the articles are prone to abuse by employers," he said.

He said, for example, the temporary workers article could be abused by employers to recruit as many temporary workers as possible to keep company expenses low.