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The Rise and Decline of Labour Militancy in Batam

Published online by Cambridge University Press:  12 February 2019

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Summary

EXECUTIVE SUMMARY

  • • Over the past two decades, trade union activity in Batam has been heavily influenced by regional demographics, employment conditions and the prevalent political scenario.

  • • Following the end of the New Order in 1998, the single state-authorized union was fragmented, giving rise to a number of new enterprise unions. Batam's young and diverse immigrant population, with no pre-existing loyalties to particular trade unions, made it a hotspot for industrial relations activities.

  • • Low and stagnant workers’ wages throughout Indonesia and outbreak of social unrest resulted in the formation of three strong national-level unions: FSPMI, KSPSI and the KSBSI. By the mid-2000s, these unions were also active in Batam.

  • • Unsettled ethnic relations resulted in escalation of labour mobilizations from 2011 to 2013. The Garda Metal (union member formation) spearheaded a number of intense demonstrations throughout Indonesia, including Batam, during this time.

  • • The 2012 mobilization was particularly effective, and the union bodies were able to successfully negotiate for significantly higher minimum wages for all workers in Indonesia.

  • • After intervention by the Widodo government, and the signing of a harmony declaration, there has been a change in the unions’ approach in demanding wages and conditions improvement. Instead of addressing employment concerns through national-level campaigns, matters are now to be resolved at the enterprise level.

  • • While there are no visible signs of a confrontational mobilization in the near future, a number of worker welfare issues remain unsettled.

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    Publisher: ISEAS–Yusof Ishak Institute
    Print publication year: 2018

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