It was a rare victory for the labor movement. At an emergency meeting late on Friday, the Indonesian Employers Association (Apindo) bowed to pressure from protests waged by workers demanding the West Java governor honor its decree to raise the minimum monthly wage.
Hours before the meeting between Apindo members and West Java administrative officials, thousands of workers from at least 300 companies operating in Bekasi, West Java, blocked the Jakarta-Cikampek toll road to protest a court ruling in favor of their employers.
That ruling overturned the original gubernatorial ruling that raised the minimum monthly wage in Bekasi district from Rp 1. 29 million to Rp 1.49 million ($144 to $167). The Court ordered the provincial governor to issue a new decree based on the earlier agreement between the employers' association and workers.
The Manpower and Transmigration Ministry spokesman Suhartono told the Jakarta Globe on Saturday that it would closely watch the administrative process. He said the agreement reached late on Friday would oblige the Court to annul its own ruling, and make the governor produce yet another decree in favor of workers' demands.
"It'll still takes time to administratively process the agreement. I believe everything will only start on Monday," Suhartono said.
In the meeting, Suhartono said it was agreed that if an employer claimed that they could not meet the minimum monthly wage, they would be able to appeal to the governor for exemption by submitting a document following a thorough audit which stated the company's financial state.
"Doors for negotiation are still open because in some cases where companies could not afford the increased monthly minimum wage, a bipartite talk can be proposed between the workers and the employers and be mediated by the administration," he said.
The rallies, staged by workers demanding increased wages, confirmed how communications were lacking between employers and workers, said Sulistri, the vice president of the Confederation of Indonesian Prosperous Labor Union (SBSI).
She also said that local administrations must be more proactive and responsive toward both parties, because in most cases they would act as mediators. "And, of course, it will inspire workers in other places to fight for their rights. Workers will see that taking their protest to street with huge numbers is an effective way to be heard," she said.
The toll road blockade created severe congestion stretching some 20 kilometers, and forced a number of stores in the area to close.
In November, violent riots broke out in Batam, Riau over minimum wage negotiations. At least 15 people were injured as workers and police personnel clashed outside the mayor's office. And late last year, a month-long strike by thousands of Freeport workers and contractors significantly slashed production at the giant gold mine in Papua by 50 percent. The strike ended with a 37 percent pay increase for the lowest earners.