Jamsostek workers want boss replaced

The Jakarta Post ,  Jakarta   |  Tue, 07/11/2006 5:13 PM

Ridwan Max Sijabat, The Jakarta Post, Jakarta

Workers of PT Jamsostek presented the government and the House of Representatives with a no-confidence motion against their management Monday in connection with alleged corrupt practices at the company.

The move won full support from a number of Jamsostek directors and other high-ranking executives of the state-owned labor insurance company, which controls some Rp 30 trillion of workers' funds.

The motion was filed with State Minister of State Enterprises Sugiarto and with House Commission IX for labor and social affairs by the Jamsostek Workers Union (SPJ).

""We want Jamsostek president director Iwan P. Pontjowinoto replaced in order to salvage the company from possible bankruptcy and to improve our services for workers,"" SPJ chairman Abdul Latief said.

He said the motion shows the accumulated disappointment of Jamsostek workers with Iwan's alleged poor performance and unpopular decisions blamed for discouraging them from working hard. The workers also accused Iwan of permitting corrupt and collusive practices to flourish.

""Workers were disappointed with the management's decision to stop trading in the stock market, which had made great contributions to the company's annual profit for a long time.

""And, the president director has barred Jamsostek from being involved in the capital market and instead appointed two securities companies, PT Bahana and PT Danareksa, as its main partners in managing the company's huge investment funds,"" Latief said.

According to him, Iwan wanted to entrust Rp 6 trillion of Jamsostek's funds to the two partner companies to manage. The company's board of commissioners opposed the plan, however.

""Iwan has frequently called his senior subordinates 'stupid' in public and has run a one-man show in terms of leading the decision-making process,"" Latief said.

The much-criticized president director was often involved in disputes with other directors over his policies and decisions, sources at the company said.

The sources said the workers have also asked the Supreme Audit Agency (BPK) to investigate the company's management, especially in connection with the alleged appointment of Iwan's cronies in strategic positions at Jamsostek's provincial branch offices, and of his consulting firm to handle the company's IT project and public relations affairs.

Iwan could not be reached for comment. His secretary said he was out of town.

Some members of the board of directors threw their weight behind the move. They included Tjarda Muchtar, director of service and operational affairs, Tri Lestari, director of finance, and Andi W, director of human resources and general affairs.

They asked the workers to promote their cause peacefully.

The directors said the government and the House should exercise wisdom in handling the case because any failure to do so would affect the company's performance in running social security programs for workers.

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