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Jakarta bus drivers strike over back pay

Source
Jakarta Post - August 1, 2006

Jakarta – Hundreds of bus drivers from state-owned transportation company PPD went on strike Monday over nine months of unpaid salaries.

The drivers drove their buses to the Presidential Palace in Central Jakarta to air their grievances. With hundreds of buses clogging the TransJakarta busway lane along Jl. Merdeka Barat, busway passengers were forced to queue for about an hour. The strike also left hundreds of PPD passengers stranded, forcing them to take more-expensive air-conditioned PATAS buses.

Striking drivers demanded a meeting with President Susilo Bambang Yudhoyono, but were blocked by lines of police officers. Some pushing and shoving ensued, but there were no serious clashes.

The drivers demanded their back salaries be paid before Independence Day on Aug. 17. They also demanded changes to the management of PPD. They threatened to seize the company's assets if their demands were not met. Robinson Hasibuan, the secretary of the Indonesian Transportation Federation of the Prosperous Labor Union, refused to meet with presidential spokesman Andi Mallarangeng.

"Why do we want to meet Andi? He's just a spokesperson. If the President has not spoken (about this matter) what would Andi have to say to me?" Robinson said as quoted by detik.com newsportal.

Some 2,000 PPD bus drivers and co-drivers have reportedly not been paid in nine months because of the company's financial problems. The total unpaid salaries amount to Rp 43.2 billion (US$4.7 million).

"Almost every crew member at the bus company is unable to provide for their families," bus driver Slamet said as quoted by the newsportal.

PPD finance director Hendarko told The Jakarta Post the company was suffering monthly losses of about Rp 3.9 billion. "Salaries for the bus drivers total Rp 4.8 billion per month," he said.

He said in 2002 the government stopped subsidizing the company, which operates about 300 busses. The government halted the subsidies to encourage the company to seek outside financing.

Hendarko said the company planned to downsize its workforce from 4,300 to 3,700 this year to save on operating costs. "We also plan to sell four PPD depots to the city administration. We will use the money from the sales for severance pay for dismissed workers," he said.

Jakarta Deputy Governor Fauzi Bowo earlier confirmed the city planned to purchase the depots. According to the Jakarta Transportation Agency, the deal will cost the city about Rp 400 billion.

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