Who we are

Better Work Indonesia is part of the Better Work global program, which is a unique partnership between the International Labour Organization (ILO) and the International Finance Corporation (IFC).  It unites the expertise of the ILO in labour standards with that of the IFC in private sector development. Better Work Indonesia, which became operational in July 2011, is initially designed as a five-year program. The goal is to develop a sustainable approach that will allow the programme to continue independent operations after this five-year period. 
 
What we do

Better Work Indonesia (BWI) aims to improve compliance with labour standards and promote competitiveness in Indonesia’s apparel industry by assessing current workplace conditions and offering customized advisory and training services to factories to address their individual needs. The Better Work programme helps governments, unions and companies achieve compliance with the International Labour Organization’s (ILO) core labour standards and national labour laws through market incentives. It builds the capacity of employers, governments and unions to work together toward solutions that benefit all.

Govt, Businesses Agree on BPJS Insurance Premium Payments
Jakarta, Nov 7, 2013

The government, represented by the Health Ministry, and the Indonesian Employers Association (Apindo) have come to an agreement on the insurance premium payments for the state’s social security program (BPJS), which amounts to five percent of a worker’s salary. 

Since the beginning, the government has stipulated that five percent of a worker’s salary will be taken for premium payments under the BPJS program. 

"The government proposed a 4:1 ratio and Apindo agreed," Deputy Health Minister Ali Ghufron Mukti told Tempo on Wednesday. 

With this ratio, added Ghufron, companies will be obligated to pay four percent out of workers’ salaries for BPJS insurance premium payments and workers will only need to pay one percent. This ratio will be applied to workers who earn a minimum of Rp2.2 million per month. 

Read the full article here 

Administration’s legal division to appeal in labor wage dispute
Jakarta, Nov 9, 2013
 
The Jakarta city administration will be appealing to the Supreme Court to annul the verdict of the State Administrative Court, which annulled gubernatorial decrees to allow eight labor intensive companies in the Cakung industrial estate to postpone the 2013 minimum wage hike.

“We’ll appeal as soon as possible,” said Bayu Mahendra, an official from the administration’s legal division, as quoted by kompas.com. 

The eight companies employing hundreds of workers are PT Kaho Indah Citra Garmen (garment), PT Misung Indonesia (garment), PT Myungsung Indonesia (wig), PT Kyeungseng Trading Indonesia (garment), PT Star Camtex (garment), PT Good Guys Indonesia (garment), PT Yeon Heung Mega Sari (garment) and PT Hansoll Indonesia (garment). 
 
Read the full article here 
Local Government need to be active when discussing City Minimum Wage (UMK)
Jakarta, Nov 6, 2013

Chairman of the Council Confederation of All Indonesian Workers Union (KSPSI) West Java Roy Jinto asked local government element to be proactive in the discussion and determination of Minimum Wage Regency / City (UMK) in 2014. 

"We ask local government representatives to be more proactive and have the initiative in setting the UMK. All these times the local governments elements seem to be less proactive, allowing the impression that employers and workers face each other interests," said Roy Jinto on Jabar 2014 Economic Outlook Seminar held Jabartoday.com in Bandung, Wednesday. 

Roy acknowledged, the government in a neutral position and facilitate the determination of the KHL and MSE district / city, but by no means static and let go the issue unresovled. 

Read the full article here (Article is in Bahasa Indonesia)
Read the Google Translate English Version here


Laborers Urge Govt' to Investigate Act of Violence
Jakarta, 8 Nov 2013
 
Confederation of Indonesian Workers Union (KSPI) claimed that it has gathered support from the International Trade Union Confederation (ITUC) to sue the government of Indonesia to investigate the violence and alleged murder of workers in Cikarang, Bekasi.

"ITUC will demand the government to solve these human rights violations." KSPI President Said Iqbal told Tempo, on Thursday, November 7.

Previously, 10 laborers were injured in a clash with the Pemuda Pancasila and Ikatan Putra-Putri Daerah organization on October 31. The clash occurred when a group of laborers were going to join with another group of workers in the Ejip area, South Cikarang.

Said stated that the case can be reported to the International Human Rights Court because it violates the right to organize and free speech.

Read the full article here
 

 

Employers remain clueless about govt health care program
Jakarta, Nov 7, 2013
 
Many employers remain in a quandary over how they should subscribe their workers to the government’s universal health care coverage program, which is scheduled to be implemented on Jan. 1, 2014.

The 2011 Social Security Providers (BPJS) Law mandates two forms of social coverage, including the universal health care coverage program, which will make both employers and their workers liable for premiums at different rates.

But Indonesian Employers Association (Apindo) public policy and advocacy division head Anthony Hilman said on Wednesday the government had so far failed to explain how companies could switch from insurance provided by private insurance companies to that of the government program.

“We want the government to allow companies subscribing to private insurance firms not to join the national healthcare program until their contracts with respective insurance firms expire,” he said on the sidelines of a seminar set up by Apindo, adding different contracts might expire at different times.
 
Read the full article here 

Police: Bekasi City is conducive approaching the City Minimum Wage determination
Bekasi, Nov 10, 2013

Bekasi City Police, West Java, assessing the local situation before the 2014 State Minimum Wage determination is still in a conducive state . 

"The situation is still under control even though UMK discussion time is narrowing,” said Head of Ops Bekasi City Police, Commissioner Azhar Nugroho, in Bekasi on Sunday. 

Separately, Bekasi Head of Manpower and Transmigration Abdul Iman said the discussions about UMK still difficult because each party remains at their own stance. 

"Discussions will continue on Tuesday (12/11) in the Local Office of Manpower in Bekasi because workers still demanding high wages and employers still do not want to lose money," he said. 

The amount of UMK 2014, he said, had to be recommended at the latest by 20 November 2013 to the West Java Governor Ahmad Heryawan. 

Read the full article here 
Read the Google Translate English Version here

RI will overcome economic pressures: WB
Jakarta, Nov 8, 2013

The World Bank (WB) says Indonesia can cope with current economic pressures due to its strong economic fundamentals and fiscal policy.

"Over the past decade, the world has seen Indonesia emerge as a dynamic middle-income country, thanks to its strong macro-economic fundamentals and prudent fiscal management. The WB is confident that Indonesia will overcome the current pressures affecting the rupiah and will remain resilient against external volatility," said Rodrigo Chaves, newly appointed WB country director for Indonesia, in an official release made available to The Jakarta Post on Friday.

More importantly, he said, what he described as “this great nation” had all that was required to bring great prosperity to its people.

Chaves is an economist with over 20 years of experience working in development and public policy in more than 30 countries.

Read the full article here


Better Work Indonesia

ILO Jakarta Office
Menara Thamrin Level 22
Jl. M.H. Thamrin Kav. 3 | Jakarta 10250
Tel. +62 21 391 3112
Fax. +62 21 310 0766

E-mail: indonesia@betterwork.org

www.betterwork.org/indonesia
Better Work Indonesia is funded by the Australian, USA, Switzerland and Netherlands Government  through AusAID, USDOL, SECO and Kingdom of the Netherlands

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