Workers demand higher minimum wages

Workers demand higher minimum wages

JAKARTA (JP) Activists from five worker unions called on the
city administration to increase the new regional minimum wage
(UMR) of Rp 286,000 (US$38), which they said was insufficient to
cover the cost of living in the capital.

The new minimum wage was set in Ministry of Manpower Decree
No. 20/1999, which took effect on April 1. The previous monthly
minimum wage was Rp 231,000.

"We demand the city administration cancel the new minimum wage
and submit a new proposal, and involve workers in its
formulation," Mustakim, the coordinator of the some 70 activists,
told councillors and officials in a meeting at City Council.

The activists were from the Jakarta chapters of the All-
Indonesian Workers Union Federation, the Indonesian Prosperous
Labor Union, the Indonesian Metal Workers Union, the Indonesian
Muslin Workers Brotherhood and the Coalition of Indonesian Labor
Unions.

"We regret Governor Sutiyoso recommended the minimum wage only
be raised to Rp 286,000, while the minimum living requirement
(KHM) is higher," Mustakim said.

The Ministry of Manpower calculated in 1999 that the KHM for a
single worker in Jakarta was Rp 437,873. According to a study by
the unions in January and February, this figure was much higher
at Rp 758,471.

The activists also deplored that Sutiyoso submitted his
recommendation on the new minimum wage without first consulting
with workers.

"It's totally unfair for the workers, especially when the
government has decided to hike government officials' allowances
by between 400 and 2,000 percent. It's discriminative," Mustakim
said.

Contacted on Thursday, City Councillor Wasilah Sutrisno of the
National Mandate Party (PAN) said a meeting would be held on
Friday to discuss the problem.

"The assistant to the city secretary on social welfare
affairs, Ritola Tasmaya, has invited the unions and the employers
to settle on a new and proper UMR," she said over the phone.

"I have calculated that the minimum wage should be set at
between Rp 300,000 and Rp 400,000 to anticipate recent and
upcoming rate hikes," she added, referring to plans to raise
electricity rates and fuel prices.

Wasilah also said the regional minimum wage for West Java
needed to be recalculated.

"We really have to recalculate the wages during the current
hardships. However, it's also important that both workers and
employers respect each other," she said, suggesting the new
minimum wages should cover the workers' cost of living while not
unduly burdening employers.

Earlier on Monday, 20 drivers from Radio Taxi Armada, which is
partly owned by the city, filed a complaint with city councillors
demanding better wages and benefits.

"The company has not given proper wages to the drivers since
the company was established during the Jakarta governorship of
Ali Sadikin in the seventies," the drivers' coordinator, Nandang
R., told the councillors.

"We've never been registered in the workers' social insurance
scheme (Jamsostek). Drivers also have no security guarantees
during their 18-hour working days," he added.

Nandang also accused the company of unfair working practices.
"The management demands we meet our daily target of Rp 100,000,
while they never really pay attention to our welfare. The company
also fires drivers without any prior warning or evidence."

"The city administration has a share in the company, so it's
the responsibility of the city administration and the councillors
to improve the drivers' welfare," he said. The city
administration owns 28 percent of the company.

The drivers also demanded the company implement a new mutual
labor agreement. "We can't guarantee that we will continue to
work if our demands are not met," Nanang said.

Councillor Mulyono of the Golkar Party, who sits on the
council's Commission E for social welfare affairs, said the
commission would convey the drivers' demands to the authorities.

The taxi company is expected to contribute Rp 200 million to
the city's revenue in 2000. This would be a 105 percent increase
over last year, when the company brought in Rp 97 million for the
city. (nvn)