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PT DI workers plan to sue director

| Source: JP

PT DI workers plan to sue director

Yuli Tri Suwarni, The Jakarta Post, Bandung

The labor union at PT Dirgantara Indonesia (PT DI) said on Monday
it would sue the state-owned aircraft company's president
director, Edwin Soedarmo, for has been called a "unilateral
decision" to suspend more than 9,000 workers.

The legal threat comes despite the company's promise to allow
around 3,000 workers to return to work in stages starting on
Monday.

However, only 150 employees, mostly managers and supervisors,
did return to work on Monday. Officials said more would follow in
about two weeks.

Cheppy Pamungkas, a lawyer for the Communication Forum for
Employees (FKK), said the labor union would file lawsuits with
the Bandung District Court and the local administrative court
separately on Tuesday.

He said the legal action against Edwin was lawful, arguing
that the FKK was treated unfairly when the decision to suspend
the 9,643 workers was announced on July 11.

"The suspension decision did not involve the workers and it
therefore was procedurally illegal, because it was only agreed
upon by only two of the five directors," he said.

The two directors were Edwin and business operations director
Budi Waskito, while the three who were excluded from the
decision-making were technical director Budi Setiawan, finance
director Pudji Sulaksono and human resources director Sudarma.

Cheppy said the labor union had demanded that Edwin annul the
suspension of all the workers, but it was ignored.

He spoke to journalists as around 2,000 workers continued
their protest outside the company's compound on Jl. Padjajaran in
Bandung.

Businessman and singer Setiawan Djodi appeared to show his
solidarity with the protesters.

Cheppy urged Edwin to delay the suspension, pending the
outcome of the lawsuits.

He argued that under Law 13/2003 on manpower, the decision to
lay off workers should have been made by the board of directors
after negotiations with employees.

The directors then should have notified the internal trade
union and the provincial manpower office seven days before PT DI
locked up the plant and suspended the workers, he added.

Apart from being charged with violating labor laws, Edwin is
also being sued for deploying special Air Force (Paskhas)
personnel to guard the plant after the lockout.

"Using the military to keep workers out has no legal basis...
because it is a security task for the police," Cheppy said.

Edwin had said the suspension resulted from the chronic
financial difficulties that had been plaguing the company for
years.

Speaking to journalists on Wednesday, he said that around
3,000 employees would be reassigned to assemble CN-235 passenger
planes and to produce spare parts for Airbus A-380 aircraft
ordered by British Aerospace.

He said PT DI was currently working on two CN-235 planes
ordered by the Royal Malaysian Air Force, which were scheduled to
be delivered in September 2004 and March 2005 respectively.

The company is also working on four CN-235s ordered by
Pakistan, which should be delivered by the end of this year and
in June 2004.

As for the remaining employees, Edwin said the company had yet
to decide on what to do about them. "In the next six months, we
will do a streamlining program in the company and concentrate on
our core business. This will likely lead to a cut in our
workforce," he said.

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