Effect given to the recommendations of the committee and the Governing Body - Report No 388, March 2019

Case No 3124 (Indonesia) - Complaint date: 27-FEB-15 - Closed

Effect given to the recommendations of the committee and the Governing Body

1. 31. The Committee last examined this case, which concerns allegations of dismissal of trade union leaders, restriction on the exercise of the right to strike by using police and paramilitary force on striking workers, dismissal of trade union members and other workers for having participated in a strike and the employer’s interference in trade union affairs by intimidating workers to change their trade union affiliation in favour of a union supported by the management, at its October 2017 meeting [see 383rd Report, approved by the Governing Body at its 331st Session, paras 394–416]. On that occasion, the Committee made the following recommendations [see 383rd Report, para. 416]:
   • (a) The Committee requests the Government to provide a copy of the Municipal Regulation No. 2 of 2017 and expects it to take the necessary measures to ensure that all workers may exercise their right to peaceful demonstration in line with the principles of freedom of association.
   • (b) The Committee requests the Government once again to take the necessary measures to initiate an independent inquiry to address the allegations of anti-union termination of hundreds of workers following the July 2012 strike and to determine the real motives behind these measures and, should it be found that the workers were terminated for legitimate trade union activities, take the necessary measures to ensure that they are fully compensated. The Committee firmly hopes that the Government will be able to report progress in this regard without further delay. The Committee also invites the parties to present a formal request for mediation in relation to the issue of dismissed workers to the local Manpower Office.
   • (c) The Committee invites the complainant to provide to the competent national authorities detailed information concerning the allegations of interference in trade union affairs by forcing workers to change their trade union affiliation in favour of a management-supported trade union, so that they can conduct an investigation and determine whether these allegations are founded, and if so, to take the necessary measures to remedy and sanction these acts. The Committee requests the Government to keep it informed of any developments in this regard.
   • (d) Bearing in mind the complex nature of the case, the large numbers of workers concerned, and the multitude and serious nature of interconnected allegations, some of which were not contested either by the Government or the employers’ representatives, the Committee requests the Government to take the necessary measures to ensure that all pending matters are dealt with without further delay and in line with the Committee’s recommendations and to report in detail on any measures taken or envisaged in this regard.
2. 32. The Government provides its observations in communications dated 2 February and 24 October 2018 and 29 January 2019. With regard to the right of workers to peaceful demonstration, the Government reiterates that the right to express opinion in public is a fundamental right of all Indonesian citizens, including all workers, but it is necessary to have an arrangement to ensure public order, peace and protection of human rights and freedoms of citizens. The Municipal Regulation No. 2 of 2017 is therefore intended as guidance in expressing public opinion in an orderly, ethical and safe manner. The Government provides a copy of the Regulation (in Indonesian).
3. 33. Concerning the allegations of anti-union termination of hundreds of workers following their participation in the July 2012 strike, the Government affirms that in-depth investigation had been conducted seriously, in accordance with the applicable procedures, and that after a number of mediations and negotiations between the PT Panarub Dwi Karya Benoa (the company), the Textile and Footwear Union on Company Level (PTP SBGTS-GSBI PT PDK) and the Federation of Indonesian Trade Unions (GSBI), the parties agreed on several matters and, on 18 October 2018, signed a collective agreement in this regard. Firstly, the agreement clarifies that: in July 2012, the workers went on strike to demand for the execution of normative rights; after the strike, the company terminated the employment of 284 workers on the basis of resignation; each party carried out dispute resolution between 2012 and 2016; negotiations were ongoing since January 2017; and the union demanded a compensation of 20 million Indonesian rupiah (IDR) (equals to US$1,423) per person but the company did not agree to this demand. Secondly, the parties agreed to: the termination of the working relationship between the company and the 284 workers; the payment of compensation by the company in the amount of IDR1.42 billion (equals to US$100,745), paid to each worker in the amount of IDR5 million (equals to US$356); and not to go into dispute against, or sue each other for the termination of their working relationship. According to the Government, the concerned workers have already been compensated. The Government also clarifies that earlier in the negotiations, the union was requesting the company or the Government to take the responsibility to resolve the debt of 62 workers, incurred while awaiting compensation, but that despite two proposals from the company, agreement was not reached in this regard.
4. 34. As regards the allegations of company interference in trade union affairs by forcing workers to change their trade union affiliation in favour of a management-supported trade union, the Government reiterates that it had demanded the Committee to urge the complainant to provide evidence on these matters.
5. 35. The Committee takes note of the information provided by the Government. It notes, in particular, that, after years of negotiations and mediation, the company and the trade union reached a collective agreement on the issue of massive dismissals of workers following their participation in the July 2012 strike, and that the concerned workers have already been compensated. The Committee observes that the compensation received by each worker amounts to roughly US$356 (one-quarter of what the union was asking and approximately the equivalent to one-month’s minimum wage) after several years of mediation and in circumstances where 62 dismissed workers faced bankruptcy while awaiting compensation. The Committee further observes that the Government has not provided any information as to the outcome of the independent inquiry into the anti-union nature of the dismissals it was called upon to institute and trusts that it will fully assume its responsibility in future cases to ensure protection against anti-union discrimination and effective and dissuasive sanctions and full compensation in cases where it has occurred.
6. 36. The Committee also notes that the Government provided a copy of the Municipal Regulation No. 2 of 2017 (in Indonesian). The Committee recalls its previous recommendations in this regard [see 383rd Report, para. 410] and expects the Government to take the necessary measures to ensure that all workers may exercise their right to peaceful demonstration in line with the principles of freedom of association.
7. 37. The Committee further understands from the information provided by the Government that, despite the Committee’s invitation to do so [see 383rd Report, para. 414], the complainant failed to provide to the competent national authorities information concerning the allegation of interference in trade union affairs so that they could conduct an investigation into these matters. In the absence of further details from the complainant in this regard, the Committee will not pursue the examination of this allegation and closed this case.