Rising Fuel Prices and Labor Day - A Causal Relationship

12:09 PM Etna Khairullah 0 Comments

Fuel price hike second quarter will be announced on May 1, 2013. The announcement of the increase will be delivered directly by the President Susilo Bambang Yudhoyono.

Besides May 1 is also the day that is no less important for the entire workforce in Indonesia because it is International Labor Day.

As we know, laborer or worker has an important role in the development of the industrial sector in Indonesia. The workers did not want to miss celebrating a historic day for them. At the date of 30 April 2013 a large number of trade union demonstration warmed up for action they would do to celebrate Labor Day. At some point in the city of Jakarta has been met by the labor action such march in the MPR building in Senayan.

Since the 2003 decision companies in Indonesia imposed a system of outsourcing to its workforce. The system is applied to reduce expenses by factory under the production sectors. The company will pay for the labor they use through labor brokers company. Labor costs will be adjusted to the deal that has been specified by the user company.

Workers in Indonesia are not getting a clear working agreements. They do have a standard minimum wage of Rp work. 1.400.000, - after a few times union conduct tough debate with the government to establish the MSEs. Even so wages are given by the company remains unprofitable for labor. User company workforce can perform whenever Termination if labor can not achieve the quality desired by the company even though Employment contract has not been completed. It can not be avoided by them, as well as the company made progress in the production of goods. Labor does not get incentives based on the percentage increase in wages according to constitutional law.

This above is further exacerbated by the government's plan to raise fuel prices. Although the interviews with the mass media entrepreneurs say that the fuel price hike will not affect the cost of production. But of course the fuel price hike will be followed by a rise in prices of these goods f or daily needs. This way if the wage is set by the user company workers raised the standard of living of workers would be threatened.

While they are bound by working hours solid but does not have a clear future and threats to economic prosperity. International Labor Day is commemorated each year by nearly all workers in 180 countries around the world is to commemorate their fight regardless of the capital-labor system. But it's nearly 200 years celebration of May Day, Indonesia still feels like a modern-Voc colonized by the hands of capital companies both within and outside the country who deceive our human resource.

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