Shortchanged workers face uncertain future
Shortchanged workers face uncertain future
Tertiani ZB Simanjuntak, The Jakarta Post, Jakarta
Thousands of workers from failing factories, formerly run in
whole or in part by international companies, in Greater Jakarta
are facing a bleak future as there is not yet an existing law
that deals with foreign investors who close up shop without
agreeing on settlements with the workers.
Agustinus Santoso, secretary of the national office of the
People's Legal Aid Institution (LBH Rakyat), told The Jakarta
Post on Tuesday that such situations had brought many labor
activists and legal experts into a coalition.
"We will make our way to see a legal instrument established to
prevent foreign investors from fleeing the country and closing
their factories before paying their workers' salaries and
severance pay," he said.
Greater Jakarta's branch of LBH Rakyat (LBH Rakyat Jabotabek)
is currently handling the case of 300 workers from garment
factory PT Elaine which is located in the industrial park Kawasan
Berikat Nusantara (KBN) in Cakung, East Jakarta.
The factory abruptly stopped operations on Feb. 10 after the
investor group left the country for Taiwan, leaving the workers
without jobs or salaries.
The operator of state-owned KBN is reportedly taking over the
factory's machines and assets to auction off without questioning
the employer's responsibility.
"We suspect a deal between KBN and the foreign investors to
allow the operator to obtain the assets for sale, ignoring the
proper procedures including the required court ruling on
bankruptcy," Agustinus further said.
LBH Rakyat demanded the Directorate of Customs and Excises at
the ministry of finance to issue a decree on forcing the employer
to pay the factory's unpaid expenses, including salaries, before
an auction was taken.
Agustinus said he did not know when the workers might receive
the money they are demanding since the directorate office had yet
to respond, saying only that, "it will take time". He added that
LBH Rakyat Jabotabek has also planned to file a complaint with
the police.
Last year, thousands of workers from eight garment factories
also faced similar problems but no solution has been reached.
Six of the factories in question are PT Global, PT Metro, PT
Tongkyung Makmur Abadi, PT Indolim, PT Jaya Toys Rekatama and PT
P and K Garment Indonesia which were all operated by Korean
investors without Indonesian partners.
The other two are: Japanese and Indonesian joint venture PT
Kanisatex, located in Cileungsi, Bogor, and PT Trenton Garment
Indonesia, owned by a company from China.
Many labor activists and legal practitioners accuse the
government of greatly favoring foreign investors in its effort to
generate economic growth, while sacrificing the welfare of local
workers.