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 Formulates Rule on Labor-Intensive Wage
Tempo, Oct 10, 2013
 
The Ministry of Manpower and Transmigration is preparing a ministerial regulation that would implement the rule stipulate the Presidential Instruction No.9/2013 on factory workers' minimum wage. One of the points mentioned the presidential instruction stated that the workers' wage of labor-intensive industries should not be based on survey for decent living--set by the Wage Council.
 
"We are formulating the ministerial regulations that will not incur losses to businesses, and one that will still be based on workers' welfare," Manpower and Transmigration Minister Muhaimin Iskandar said in his office yesterday.
 
In general, Muhaimin said, labor-intensive industries prioritize manpower, require no specific education, and does not require special skills. The minister said that labor-intensive industries and small-medium entrepreneurs have been complaining about the pressure from several labor groups asking for salaries that are in accordance with the decent living survey results. The businesses consider that providing salaries based on decent living is too burdensome for the companies. 

Read the full article here 

As Signing the Inpres, The President Wanted The Minimum Wages To Be Based On KHL, Productivity And Economic Growth
Setkab, Oct 2, 2013
 
In an effort to align the minimum wage policy with productivity and national economic growth, President Susilo Bambang Yudhoyono (SBY) signed the President Instruction (inpres) Instruksi Presiden Nomor 9 Tahun 2013 on September 27th 2013 on the establishment of minimum wage policy in the context of business continuity and the increase of labours.
 
President instructed Coordinator Minister of Economy, Minister of Manpower and Transmigration, Minister of Home Affairs, Minister of Industry, Head of National Police, Governors, Regents and Mayors, to coordinate and integrate in taking necessary actions according to their respective authority and functions in order to align the minimum wage policy with national economic growth and productivity considerations. The aim is to establish business continuity and national industry growth, also to improve workforce welfare.
 
President SBY specifically instructed Menakertrans to define and enact the wage and national wage system development  policy, with provisions such as follow; 
 
Read the full article here 
KSPI: Government pave ways to cheap wage policy
Kompas, Sep 30, 2013
 
Government accused of deliberately perpetuating low wage policy. Because the concept of lobby action (KLA) that has been done, has not give any result. President of the Confederation of Indonesian Trade Unions (KSPI) Said Iqbal said, lobbying is done to the union government and business associations have not found common ground.
 
KLA which had been done by labourers actually implies a strong desire from Indonesian labour movement to dialogue on looking for solution of problem in labour and people issues, but apparently the formal institutions that exists has not played a proper function", Iqbal stated in his written statement in Jakarta, Sunday (29/9/2013) .  
 
He stated, since the increase in fuel prise, workers purchasing power keep on declining. Highest minimum wage in Indonesia, Jakarta Rp 2.2 million per month, still lower than Thailand (Rp 2.8 million per month) and the Philippines (Rp 3.2 million per month), and only slightly more than Cambodia and Vietnam. In fact, Indonesia's economic growth ranked second in the world, with gross domestic product is the 16th largest in the world.
 
Read the full article here (Article is in Bahasa Indonesia)
Read the Google Translate English Version here


Improvement of Occupational Safety in Indonesia have to be taken seriously
BBC Indonesia, Oct 10, 2013
 
The collapse of Rana Plaza becomes one of the worst factory accident that shock the world. In the incident that happened 6 months ago, more than 1000 garment workers died and thousand others injured
 
Thousands of people then march on the streets demanding improvement in the workplace safety. Retailers from Europe and US whom are the main clients of factories in Rana Plaza also critisized  for not showing their commitment in ensuring workers welfare
 
What about Indonesia, which majority of garment also exported abroad? Will government target to create a healthy and safe culture in 2015 can be achieved?
 
Even though not as bad as Bangladesh, the implementation of safety and health in workplace in Indonesia is often being ignored by employer, government, even the workers themselves.  

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



North Jakarta Court decline to proceed on 2 Billion rupiah Law suit case against workers
Kompas, Oct 9, 2013
 
The judges of the North Jakarta District Court declared that they have no authority to handle the case of Rp 2 billion lawsuit by PT Doosan Cipta Busana Jaya against two labor activists. The judges assess the problem as a labor dispute and not a criminal offence.
 
"North Jakarta District Court was not authorized to try this case in this court," said Chief Judge Henry Tarin in the reading of interim decision hearing in District Court North Jakarta, Wednesday (09/10/2013) afternoon.
 
The judges accepted the defendant's exception, the are: Chairman of the Branch Board of Leaders (DPC) National Workers Union (SPN) North Jakarta Moch Halili (44) and the Chairman of the PSP SPN Umar Faruq (31). According to the judges, the trial should be held in the Industrial Relations Court (IRC) for the cause in the case of disputes involving industrial action and not a criminal offense.
 
Read the full article here (Article is in Bahasa Indonesia)
Read the Google Translate English Version here

Ministry of Manpower and Transmigration opens Disability Job Fair in Kemayoran
Kompas, Oct 9, 2013
 
Manpower and Transmigration Minister Muhaimin Iskandar officially opened the National Job Fair Exhibition The 11 and opened the first job fair for the disabled people in Jakarta International Expo Kemayoran Jakarta.
 
The job fair lasts for two days (4-5 October 2013) and it is free of charge. At least 120 firms providing 4,326 jobs, which is composed of a variety of positions, both for inside and outside the country.
 
Available employment among others are the field of communications, information technology, contracting, shipbuilding technology, automotive, manufacturing, mining, banking, distributors, pharmacy, recreation, and food and beverages. 
 
Read the full article here (Article is in Bahasa Indonesia)
Read the Google Translate English Version here

Positive economic outlook in 2014
Jakarta Post, October 11 2013
 
Despite the projection of an economic slowdown in the coming months, the country is in a position to experience better conditions next year as the government has successfully managed to maintain the growth rate at 5.6 percent this year — an accomplishment that will continue to attract foreign investors.
 
Indonesian Chamber of Commerce and Industry (Kadin) chairman Suryo Bambang Sulisto said the success of the government in maintaining the growth of the economy would boost confidence among investors.
 
“Indonesia is in a far better condition compared to most European countries, which only experienced growth of 1 to 2 percent this year, “ Suryo said at the CIMB Niaga Economic Outlook 2014 seminar: “Indonesia: Sustaining Growth Story amidst Challenges” on Thursday. 

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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