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Govt welcomes employers' move to better industrial relations

The government welcomed on Thursday employers' proposals to promote relations with labor unions and workers, saying they would benefit the investment climate and add to job security

Novia D.Rulistia and Ridwan Max Sijabat (The Jakarta Post)
Jakarta
Fri, March 28, 2008

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Govt welcomes employers' move to better industrial relations

The government welcomed on Thursday employers' proposals to promote relations with labor unions and workers, saying they would benefit the investment climate and add to job security.

Minister of manpower and transmigration Erman Suparno stressed that investors could invest safely, workers could work in security and fewer industrial disputes would be brought to the labor court if employers and workers could establish mutual trust.

"The implementation of better industrial relations through bipartite negotiations will create a better investment climate for investors and job security for workers," he said after addressing the eighth congress of the Indonesian Employers' Association (Apindo) here Thursday.

He said workers would not take to the streets or face uncertainty over their futures if the management was transparent, complied with the labor laws and brought industrial disputes to the negotiating table.

"Employers will be able to boost their investment if they practice sustainable employment, and workers will get motivated to improve their productivity if they are asked to actively participate in joint and tireless efforts to improve their performance," he said.

Apindo chairman Sofyan Wanandi said during the three-day congress that employers would formulate a bipartite dialogue system as part of a new paradigm in promoting harmonious workplace relations.

"Employers have no choice but to leave behind the confrontation approach and promote dialogue to create a better investment climate and generate more employment," he said.

He said the increase in industrial disputes went hand in hand with the hesitation of foreign companies to invest here.

"Many employers have been wary of labor unions, employing workers under contracts and outsourcing, which has affected not only workers but also the investment climate and the country's economy," he said.

He said Apindo and three major confederations of labor unions had agreed to make all duplicated and harsh labor laws among their top priorities.

In his address to the congress's opening ceremony on Wednesday, President Susilo Bambang Yudhoyono warned employers against resorting to layoffs whenever they were deadlocked with workers over industrial disputes. He called on both sides to promote bipartite dialogue in seeking peaceful settlements.

The President said that with forged partnerships, employers would be able to avoid layoffs, industrial strikes and disputes.

The chairman of the Confederation of the Indonesian Prosperous Labor Union Rekson Silaban also welcomed the employers' move.

"The prevalent use of contracts and outsourcing has created job insecurity among workers, and workers will be cooperative and productive if employers respect their dignity and are transparent and sincere in the problem-solving mechanism," he said in his presentation to the congress.

He emphasized the importance of law enforcement and close supervision from the government to aid dispute resolution efforts.

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