[Onthebarricades] INDONESIA: Workers protest against outsourcing

[Andy]

Scrap outsourcing, laborers demand

Jakarta Post - June 18, 2007

Jakarta -- Hundreds of laborers with the Force Labor 
Alliance staged a rally at the Cakung Bonded Zone, 
North Jakarta, to demand the government scrap the 
current outsourcing and working-under-contract 
system.

"We demand that the system be scraped as it is unfair 
for laborers," alliance's coordinator Ilhamsyah told 
Antara newswire on Saturday. He explained the system 
affected wages and income and caused uncertainty 
among laborers about their employment period.

Under the current Labor Law, companies can outsource 
their workforce to reduce the need for human resource 
administration. Although some critics say the law was 
introduced to avoid paying severance pay and 
additional annual bonuses.

Business people argue the country's real sector 
needed to take measures to compete with emerging 
manufacturing hubs like China and Thailand. But 
laborers under the alliance said the system only 
provided benefits to companies.
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