Sat, 30 May 1998

PT Jamsostek elects new executive board secretly

JAKARTA (JP): PT Jamsostek, the state-owned workers insurance company, recently criticized for allegedly greasing the passing of a controversial manpower bill, elected a new executive board behind closed doors Wednesday.

Spokesman Ronny Irawan said yesterday the board's replacement was based on a recent decree of the state minister for the promotion of state enterprises.

Ackmal Husen, the former director of finance and investment, was appointed president, replacing Abdulla Nusi, while Horas Simatupang of the state-owned Export and Import Bank replaced Ackmal as director of finance and investment.

Yusuf Raden was appointed director of operations, replacing Budi Maryoto; Bambang Purwoko became director of services to replace Sukarna Suriatmadja; and Amin Soemarsono, former inspector general at the Ministry of Manpower, was tipped to be director of general affairs to replace Tjarda Muchtar.

Ronny said the company's board of commissioners whose members represented the government, employers, stakeholders and workers, have also been replaced.

Markus Permadi was appointed chairman of the commissioner board to replace Baroto Sardadi, while the four-member board comprised Syahrial Hamid, Datuk Bagindo, Suratno Hadisuwito and Salamun.

Asked about rumors that the company was running out of funds to pay insurance claims, Ronny said: "It's not true. All funds collected from the workers are in a safe condition. And the company has never faced problems in paying insurance claims to the workers."

PT Jamsostek, established in 1976, has collected about Rp 7 trillion in insurance premiums from about 15.8 million workers who have joined the social security program.

The company was harshly criticized for paying Rp 3.1 billion last year to facilitate legislators deliberating the controversial Labor Law, scheduled to be enforced in October.

It is also facing a law suit at Jakarta High Court over the appropriation of land where a multistory tower project is still under way. (rms)