Foreign investors want fairer manpower regulations

Jakarta (Antara News) - Foreign investors have demanded that the Indonesian government issue fairer manpower regulations in which a distinction is made between deserving and undeserving workers in the matter of severance pay, a spokesman said.

"In addition, incentives should not only be given to companies in special economic zones but also to those in developed economic zone," Yoshihiro Kobi, a member of Jakarta-Japan Club dealing with manpower problems, said here on Tuesday.

He said the existing system in providing severence pay was not fair because those violating manpower regulations still receive big amounts of severence pay.

"We don`t care much about (the unfair practice) as it has happened here, consequently the severence pay should be made available. Therefore, the unfair practice has been made use by those who wish to earn big amount of severence pay, this should not recur," he said.

"I ask the government or labor union to make a fair system, and companies also have right to conduct lay off," he cited, adding that in making the lay-off system, sanction for the minor and major violation should also be distinguished.

He also suggested that the government to create the manpower regulations dealing with the initiative to provide more work opportunities.

Of 158 companies only two which collapsed, meaning that business opportunities are improving in Indonesia, Kobi added.(*)
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