Tue, 21 May 1996

Union slams 'Royal City' rental hike

JAKARTA (JP): The Indonesian Prosperous Workers Union (SBSI) yesterday criticized a taxi company for increasing its rental fee, saying that its drivers are suffering from the raise.

"I think Royal City Taxi's decision to increase the rental fee is unwise, especially since passenger volume is decreasing as a result of the government's decision to increase land transportation fares, which includes taxis," SBSI said in a statement made available to The Jakarta Post.

The standard taxi flag-fall was increased from Rp 900 to Rp 1,500, and the rate went up to Rp 550 per km from Rp 450 per km.

Some 300 Royal City Taxi drivers went on strike on May 15, at the Halim Perdanakusuma pool in East Jakarta, protesting the increase of the daily rental fee from Rp 75,000 (US$32.05) to Rp 86,000.

The drivers also demanded that the company, which runs 682 cabs, scrap the "workers coordinating body", saying that it doesn't fight for the drivers' interests.

The union urged the management of Royal City Taxi to dissolve the workers coordinating body, alleging that the organization was a mere tool of the company, and arguing that the drivers should have the right to set up their own workers union.

Meanwhile, Siswahyudi, an operational official of the taxi company, said the company increased its daily rental fee in line with the transportation hike announced by the government last month.

"We have discussed the rental hike with the drivers and they accepted it," Siswahyudi told The Post yesterday.

He said the company also increased the bonus for the drivers from 2,100 to Rp 2,800 a day.

Asked about the drivers' demand to disband the body, he denied the claim that the body was a stooge of the company.

"The body was set up for the sake of the drivers themselves. Some of the members of the organization are taxi drivers," he stressed. (jun)