Over 300 Bouraq employees protest dismissal plan
Over 300 Bouraq employees protest dismissal plan
JAKARTA (JP): More than 300 employees of privately run Bouraq
Indonesia Airlines staged a demonstration at the firm's head
office on Jl. Angkasa, Central Jakarta, yesterday, to protest the
management's plan to dismiss them amid the economic crisis.
The employees, consisting of pilots, flight attendants and
technicians, started the demonstration at 11 a.m. by sticking
posters that mocked and criticized the firm's executives on
windows.
Capt. Jarot H., spokesman for the demonstrating employees,
said the company's management had announced it would dismiss
employees starting Sept. 1.
Another employee, Rudi, said the number of employees to be
dismissed in stages would be 1,300. The company's total workforce
is 1,700.
"The company promised only to give severance pay amounting to
half the amount stated in the existing manpower regulation,"
Jarot said.
He said the company planned to pay out the employees'
severance pay in installments over one year.
The protesters have rejected the plan, claiming that the
company's financial problems originated from corruption and
inefficiency and had not been caused by the economic crisis.
Jarot said most of the employees had been given furlough since
February and their salaries had been cut by 50 percent. The
employees' monthly salaries range from Rp 2 million and Rp
300,000.
"We offered to continue working despite the salary cuts. But
the company rejected the idea, saying that with half a salary we
would lose our spirit to work," Jarot said.
He said Bouraq currently operated four Boeing planes and four
smaller planes which were wholly owned by the company.
The company's former president, Benny Rungkat, met with the
demonstrators and promised to deliver their demands to the
company's board of directors.
"I think the directors will still listen to me. I support your
demonstration, but don't cause any damages," Benny told the
protesters.
He agreed with the protesters that the company could survive
if the company was clean from corrupt and inefficient practices.
He disagreed with the company's attempts to dismiss the
employees, saying that they were the company's priceless assets.
"The company spent billions of rupiah to improve your work
skills," Benny said.
The employees dispersed at 1:30 p.m. after accepting that no
executive of the company wanted to meet them.
In July, the company dismissed 21 contract flight attendants
and gave them severance pay of between Rp 1.5 million and Rp 3
million each.
The economic crisis has severely hit the local airline
industry and thousands of employees have been dismissed.
The largest number was from Sempati Air, a company controlled
by former president Soeharto's youngest son Hutomo Mandala Putra,
which dismissed its 1,800 employees following its closure on June
6.
Financial turmoil has also hit Mandala Airlines, forcing it to
dismiss 40 flight attendants. (jun)