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Home >> World
UPDATED: 13:28, April 09, 2006
Indonesia to revise labor law
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The Indonesian Government plans to submit a revised version of labor law to the parliament to formulate another bill through the tripartite (government, businessmen and workers) forum, President Susilo Bambang Yudhoyono said here late Saturday.

The President called for the initiative of a study involving at least five higher learning institutes such as the universities of Indonesia (UI), Padjadjaran (Unpad), Gajah Mada (UGM), North Sumatra (USU) and Hassanuddin (Unhas) to produce inputs for the tripartite forum.

"We will not present the revised version of Law No 13 of 2003 on manpower to the House of Representatives (DPR) but make improvements to it through the tripartite forum," he was quoted by official news agency Antara as saying.

The President made the statement one day after a meeting with businessmen and 30 representatives of labor organizations where it was agreed to revive the tripartite forum to resolve the controversy on revising Law No 13, 2003.

To improve the life of workers in addition to developing their companies and the national economy, the Head of the State underscored the importance of an additional concept that could be incorporated into the law on manpower.

"The additional concept should cover such matters as compensation (to workers) and insurance (for workers). What Jamsostek (state-owned insurance company) can do to help workers in case of lay-offs," he said.

The president also asked the universities he had mentioned and other independent institutions throughout Indonesia to make a survey of companies on matters relating to the implementation of Law No 13, 2003 so as to know what was already good, what was not good and so forth.

The president hoped that the result of the study could be used as materials to design a a better system and law on manpower.

Protests have continued for several days against the revision of the labor law all over the country. The revision's crucial points are extension of labor contract from three years to five years and softening of severance and service payments for dismissed workers.

The government insists that the revision aims at providing a good climate for investors, who are expected to bring more investment into the country.

Source: Xinhua


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