Wed, 05 May 1999

Water firm union leaders to be summoned over protest

JAKARTA (JP): Leaders of the labor union of city-owned water management company PDAM Jaya will soon be summoned for questioning, Governor Sutiyoso said on Tuesday.

He said the continuous rallies of hundreds of PDAM Jaya employees were disrupting provision of water services to the public.

Demands made by the employees at rallies were already out of proportion and they are forcing things for their own interests, the active three-star Army general said.

"If we find violations, I will not hesitate to fire them," he said.

Beginning April 8, hundreds of PDAM Jaya employees from two water management joint ventures have staged rallies, demanding increased wages.

The demonstrations were sparked by salary disparities between 200 PDAM Jaya employees assigned to company headquarters and 2,800 other workers at the two joint venture companies: 1,500 at PT Pam Lyonnaise Jaya (Palyja) and 1,300 at PT Thames Pam Jaya (TPJ).

In April, wages and allowances for employees at PDAM Jaya headquarters were abruptly hiked by PDAM Jaya boss Rama Boedi.

After a series of protests, the employees, grouped in SP PAM Jaya labor union, abruptly changed their demands. They called for the cancellation of water management cooperation deals between PDAM Jaya and Thames Water International of Britain -- in a joint venture called TPJ -- and Lyonnaise des Eaux of France -- in a joint venture called Palyja.

Lawyers representing the workers said the partnerships were illegal due to collusive, corrupt and nepotistic (KKN) practices.

On Tuesday, SP Pam Jaya founder Amir R. Tanjung said he had received a letter from the city inspectorate inviting the union members to a meeting on Wednesday.

Many believe Rama Boedi is behind the rallies, because he failed to stop the protests and even prohibited Sutiyoso from handling the case, saying he could manage the employees.

On Monday, Sutiyoso said Rama could be replaced if he was found incapable of managing the firm's employees.

On Tuesday, the governor drew attention to another factor pointing to the possible involvement of Rama in the protests, following comments made by Rama that TPJ was not yet fully detached from KKN practices.

Five percent of the company's stake remains in the hands of former president Soeharto's son Sigit Hardjojudanto.

"We have had several meetings on water management, but Rama never told me about the stake. That's why I'm really surprised," the governor said.

Earlier, Sutiyoso speculated the constant rallies might be because certain parties in the business could no longer make money through corrupt practices.

The other possible reason was that employees posted at the joint ventures faced a tougher and tighter working atmosphere, he said. (ind)