Multa Fidrus, Tangerang – Some 7,000 workers from PT Hardaya Aneka Shoe Industry (HASI), a former Nike supplier, began striking Thursday in Tangerang to protest company policy on Idul Fitri allowances (THR).
"The management has announced this year all workers will receive less money for THR," Agus Widodo, the chair of HASI's workers union (SPN), told The Jakarta Post.
He said workers received 241 percent of their monthly salary for THR last year but this year they were told to expect just 100 percent.
The strike paralyzed production when HASI's 7,000 workers sat down inside the factory compound in Jatiuwung district, Tangerang municipality.
The sit-down turned violent after factory security banned TV reporters from covering the strike. "Security banned journalists from covering our action. They are our friends, our defenders," one worker shouted in a speech.
The workers then mobbed and attacked some 25 security officers at the factory. Police officers arrived later and managed to de-escalate the situation. Police immediately evacuated the security officers, already black and blue from the crowd's beating.
Company representatives Agus Widodo, Sugeng and Fredy said the company had earlier asserted management would not change its THR policy.
The strike was likely triggered by possible massive lay-offs due to an expected September termination of Nike's order contract.
Nike Corporation, an American athletic apparel company, had sent a termination letter July 6, 2007, to Siti Hartati Murdaya, president director of PT Central Cipta Murdaya, HASI's holding company, the workers said.
The letter said Nike intended to end cooperation with them and PT Naga Sakti Parama Shoes Industry (NASA).
The termination letter then led to 13,000 workers from NASA and HASI, which manufacture shoes exclusively for Nike in Tangerang, to rally at the Jakarta Stock Exchange building on July 16 last year to demand Nike restore contracts with the companies.
Agus said the massive lay-off might not take place because the company had secured new contracts with buyers such as Hitech of Taiwan and Armor and Columbia from the United States.