Official Statements of GSBI on Revision of Labor Act No.13/2003

Statements

Centre of Indonesian Labor Struggle (GSBI)

Strongly Reject Revision of Labor Act No. 13 of 2003 and All Labor Regulation the Imperialist dictation which is increasingly oppressing the workers class

The government of Joko Widodo (Jokowi) continues to attack the democratic rights of the people especially the working class with a planned revision of the Labor Law (UUK) No.13 of 2003 which increasingly oppresses the workers. The new Law plan, which has long been on the agenda of the previous administration, aims to serve the multiplication of capitalist monopoly international or imperialist capital along with its accomplices by increasingly oppressing workers over wage rights, worse work uncertainty with more flexible work flexibility, and freedom of association, strike and negotiating increasingly oppressed.

Labor Law No. 13 of 2003 itself is the product of the imperialist dictation which further strengthened its control after the fall of Suharto's fascist dictatorship in 1998. The imperialists made designs and imposed all controls and dictates on all aspects (economic, political, cultural) carried out aimed at strengthening Indonesia as a semi-colonial country and semi feudal. The imperialist control over the Indonesian working class led to a package of anti-labor labor laws namely Law no. 21 of 2000 concerning trade unions  and Law no. 02 of 2004 concerning Settlement of Industrial Relations Disputes (PPHI).

Therefore, the revision of Labor Law No. 13 of 2003 is a continuation of the imperialist agenda, especially the United States (US), as a product of previous labor laws since the fascist dictatorship of Soeharto came to power until its fall in May 1998 by the Democratic Movement. Continuation of revisions or changes to current labor laws still has the same goal, namely: facilitate the import of capital in the form of foreign investment and debt, maintain land monopoly in underdeveloped agricultural systems, and preserve underdeveloped industries that are export-oriented and not for the primary needs of the Indonesian people.

The chronic crisis which has worsened has made the state more burdensome to the shoulders of the people and the working class by intensifying exploitation and oppression. The Jokowi government also serves the imperialists in order to impose the crisis on the shoulders of workers, peasants and the people by issuing a strategic policy namely the Economic Policy Package (PKE) issued since 2015.  

This package serves the imperialists in order to intensify robberies in the country and exploitation of workers and farmers. One of Jokowi's economic   package plans is the birth of new labor laws which further reduce the democratic rights of workers.

This revised of Labor Law No. 13 also became part of an imperialist campaign on the 4.0 industrial revolution called “Indonesia Making 4.0” which requires a more flexible wage regulation and employment system. This campaign is only a cover for covering its main objective and will never change Indonesia as a backward country. There are three main points in the revision of Labor Law No. 13, namely:  

First, Changes in the wage system (basic wages, benefits, and social security) are worse by facilitating the determination of unilateral wages from companies without the existence of a minimum wage policy and a reduction in benefits. Second, the application of a more flexible system of labor flexibility by perpetuating a shorter contract system, facilitating the implementation of outsourcing, facilitating longer working hours, increasing the amount of work that is more burdensome, and ease layoff and without compensation. Third, intensifying restrictions on freedom of association, strike and negotiation which are increasingly oppressive.

In practice, the government allows violations of workers' democratic rights that are far worse under the provisions of Labor Law No. 13 of 2003, whose nature is already very bad. The government allows wage practices below the applicable minimum wage (such as labor-intensive wages), the contract system for primary work, unilateral layoffs, worse work protection, barriers to freedom of strike and mass action through the application of OVNI (Indonesia national vital object). Jokowi's Economic Package is increasingly oppressing workers with The government regulation (PP) no. 78 of 2015, which limits minimum wages  increasing to no more than 10 percent, provides easier wage deferment facilities, covers the guise of deprivation of wages with internship regulation.

This situation has made the livelihoods of workers worse with wage deficits reaching 50 percent of the minimum level of living necessities. Labor costs also continue to decline in real value due to soaring prices of goods continuously and without state subsidies, wage cuts by taxes and burdensome fees, and the absence of social security.

Based on this situation,  GSBI as the center of Indonesian Labor Struggle,  opinionated that there will never be democratic labor laws and regulations as long as the government continues to bow to imperialism and maintain backward industries and depend on foreign debt and investment. Therefore, the  opinionated and organization attitude of  GSBI towards the revised Labor law No. 13 of 2003  are:  

1.         Reject the planned revision of Labor law No.13 of 2003 or the plan to prepare and create of a new Labor Law which increasingly oppresses democratic labor rights!

2.         Revoke PP No.78 of 2015 concerning Wages!

3.         Abolish the contract and outsourcing work system and all the rules that facilitate labor flexibility and legalize wage grabs including in the form of an internship system!

4.         Freeing laborers from all burdensome taxes and state levies!

5.         Stop all forms of suppression and provide guarantees for freedom of association, strike and negotiation! and revoke the OVNI rules which deprive freedom of association, strike and bargaining for workers!

Jakarta, August 29, 2019

Central Board of GSBI

The Center of Indonesia Labor Struggle

                       

RUDI HB. DAMAN                          EMELIA YANTI SIAHAAN

Chairperson                                     General Secretary