November 25, 2012

Labor Strike

Labor strike almost happened in all Indonesian big city, because of several demand from labor union. The first demand should remove the contract labor for certain job that directly related to the process industry. The second demand they want new standard minimum salary.

The second demand is very difficult to fulfill because it will change their business network, because it will directly connected to the product price, especially for Labor Intensive Industry. The first demand may can be negotiate and arrange what kind of labor contract they use.

The strike itself have run for a month in certain industry like Sepatu Bata because they direct connecting with labor and depend on the labor power to produce shoes. As long as no deal with labor this strike will run continuously, or will any termination to several worker that don't want to work with current salary.