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Jakarta Post

Government to mediate Chevron and labor union dispute

  • Anton Hermansyah
    Anton Hermansyah

    The Jakarta Post

Jakarta   /   Fri, December 9, 2016   /  09:37 pm
Government to mediate Chevron and labor union dispute A Chevron energy company sign against the blue sky in West Palm Beach, Florida. (Shutterstock/LesPalenik)

The Manpower Ministry will facilitate mediation between US-based oil and gas company Chevron and its labor union related to the divestment of Chevron Geothermal Indonesia (CGI) and Chevron Geothermal Salak (CGS).

Chevron Indonesia labor union chairman Indra Kurniawan said that the first official mediation would be held on Dec. 13. The government reportedly agreed to hold the mediation to avoid a union strike.

"Despite the divestment plan being almost final, problems between the labor union and company are not yet solved. Some workers have even pushed for the union to strike," Indra said in an official statement on Friday.

Indra added that the union hoped the dispute could be settled through mediation, saying that if the dispute had to be brought to court it would drain a lot of money, time, and energy from both parties.

Chevron Indonesia started the divestment process of CGI and CGS in February. Indra said that 600 workers were still worried about their future as company's post-divestment labor plan was still unclear.

"It has been nine months since our first discussion with the company. We hope the government's mediation can help," Indra said. (evi)


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