Shangri-La labor dispute officially over

Shangri-La labor dispute officially over

JAKARTA: After over two years of protracted litigation, the
management of Shangri-la Hotel and dozens of its former workers
agreed to end their dispute by signing a landmark joint
agreement.

In a press release made available to The Jakarta Post on
Wednesday, the Independent Labor Union Federation (FSPM) said
that PT Swadharma Kerry Satya, the hotel's owner, and the
Shangri-la Hotel independent labor union (SPMS) had agreed to end
the industrial dispute between them backdated to March 12.

The agreement was reached after both parties engaged in a
series of bipartite negotiations. The Minister of Manpower and
Transmigration, Jacob Nuwawea, was present to witness the signing
of the agreement on March 7.

It was signed following a Supreme Court ruling in favor of the
hotel.

About 75 workers had earlier consistently rejected the
compensation package offered by the hotel management and demanded
that they be rehired.

The hotel has now agreed to pay the workers more than ordered
by the Supreme Court while the workers have agreed not to prolong
the conflict.

The dispute, which had drawn the attention of the
International Labor Organization (ILO), broke out after the hotel
fired more than 500 members of the FSPM following a strike
demanding better conditions. --JP