J

ust a few days before May Day, President Susilo Bambang Yudhoyono has promised to build hospitals and more houses for laborers in an apparent move to win the hearts of low-income workers.

The President also pledged to exempt laborers from income taxes.

Speaking during the inauguration of 20 low-cost housing units for workers at the Kabil industrial area in Batam on Friday, Yudhoyono said through the planned revision of the tax law, the government would propose a stipulation that would exempt more workers from the 10 percent income tax.

“The House of Representatives should support the government’s proposal because trying to help low-income workers brings us closer to God and lawmakers will receive His grace,” he said, teasing lawmakers who attended the inauguration ceremony.

Accompanied by First Lady Ani Yudhoyono, the President said the government would build labor hospitals in industrial areas to provide quick medical services for sick workers.

“Like the Indonesian Military [TNI], military hospitals have been built in Bandung [West Java] and Jakarta and other military bases to provide quick medical services because soldiers are in operation 24 hours a day. Similar criteria also apply to workers,” he said.

Aside from hospitals, Yudhoyono said, the government would construct more affordable houses and low-cost flats in other industrial areas to help boost industrial relations, workers’ productivity and their social welfare.

Also attending the inauguration ceremony were Minister of Manpower and Transmigration Muhaimin Iskandar, several other ministers, employers, labor unionists and Jamsostek’s president director Hotbonar Sinaga.

Yudhoyono announced that the hospital and housing programs were part of the government’s effort to care for workers in observance of May Day and were aimed at helping to improve industrial harmony.

He said the government would improve its role in tripartite forums to help accelerate business growth, improve workers’ social welfare and the government’s revenue from taxes.

“Harmonious industrial relations and the improvement of workers’ income will certainly improve business growth and strengthen the investment climate in the country. But, it also improves workers’ productivity, monthly income and purchasing power,” he said.

Muhaimin said besides granting housing subsidies to workers to afford modest houses, the government would construct 40 low-cost flats in industrial areas in Bekasi, West Java, and Tangerang, Banten, to help workers stay in decent housing.

Separately, labor unions said they appreciated the government’s hospital and housing construction programs as well as the tax reduction programs. However, workers would continue with plans to stage national demonstrations in observance of May Day.

The chairman of the Confederation of Indonesian Workers Union (KSPI), Said Iqbal, and Confederation of Indonesian Prosperous Labor Union (KSBSI) Chairman Mudhofir said on separate occasions that all labor unions have consolidated to organize a national strike to press the government and employers to continue reviewing what they described as pro-business labor policies and to uphold workers’ normative rights.

“The government must phase out the outsourcing and contract system and review the minimum wage system,” Said said, adding that May Day and other national events were important moments for workers and labor unions to join together in fighting for their common interests.

Mudhofir said the three major confederations and numerous small unions would concentrate their demonstrations around the Presidential Palace in Jakarta, governors’ offices in the provincial capitals and in industrial areas to push for their three main goals: phasing out the outsourcing and contract systems, review the minimum wage system and implement the national social security program (SJSN).