Indonesia ends port operator Pelindo's monopoly
Indonesia's parliament has passed a bill ending PT Pelabuhan Indonesia (Pelindo)'s monopoly operation of the country's 112 ports.
The bill, designed to improve port infrastructure and open up investment opportunities for local government and private companies, was passed Tuesday.
Reports say the bill also calls for a separation of Pelindo's role as regulator and operator.
But unions have opposed the reform. “We reject the government's bill to end PT Pelabuhan Indonesia (Pelindo)'s exclusive right to operate ports,” said Sudjarwo, Indonesian Port and Dredging Worker Union (SPPI) chairman.
He said the bill would mean Pelindo workers losing their jobs. He had already warned that workers at the country's ports would strike if it was passed.
A Reuters report today however, quoted union leaders saying that they would study the bill before deciding whether to go ahead with any form of labour action.
Sudjarwo was quoted saying: “We will consult first with our colleagues and study these articles before we decide what kind of action will be taken.”
Rias Wisnoe Wardana, secretary general of the state-owned enterprises union, also said it would hold consultations before taking any further action.
A national strike by port workers would be the first of its kind at Pelindo, which employs more than 10,000 workers. Some 80% of Indonesia imports and exports move via ocean shipping.Transport Minister Jusman Safii Djamal said this week that a contingency plan wasin place for government port officials to fill in for Pelindo workers if they strike.
The bill, designed to improve port infrastructure and open up investment opportunities for local government and private companies, was passed Tuesday.
Reports say the bill also calls for a separation of Pelindo's role as regulator and operator.
But unions have opposed the reform. “We reject the government's bill to end PT Pelabuhan Indonesia (Pelindo)'s exclusive right to operate ports,” said Sudjarwo, Indonesian Port and Dredging Worker Union (SPPI) chairman.
He said the bill would mean Pelindo workers losing their jobs. He had already warned that workers at the country's ports would strike if it was passed.
A Reuters report today however, quoted union leaders saying that they would study the bill before deciding whether to go ahead with any form of labour action.
Sudjarwo was quoted saying: “We will consult first with our colleagues and study these articles before we decide what kind of action will be taken.”
Rias Wisnoe Wardana, secretary general of the state-owned enterprises union, also said it would hold consultations before taking any further action.
A national strike by port workers would be the first of its kind at Pelindo, which employs more than 10,000 workers. Some 80% of Indonesia imports and exports move via ocean shipping.Transport Minister Jusman Safii Djamal said this week that a contingency plan wasin place for government port officials to fill in for Pelindo workers if they strike.