Workers Criticized MK's Outsourcing Decision

Labor groups are criticizing Constitutional Court (MK) Decision No.27/PUU-IX/2011 for condoning harmful outsourcing practices. They say the decision, which offers two forms of worker protection, is inadequate.

“We were dissapointed when MK didn’t eliminate outsourcing. MK even stated that outsourcing is not modern slavery,” said Saepul Tavip, President of the Indonesian Workers Organization (OPSI), Tuesday (24/1).

Saepul gave three reasons for criticizing the decision. First, MK’s decision reinforced the legitimacy of outsourcing in Indonesia's labor system. According to Saepul, trade unions want outsourcing to be eliminated, so workers are employed directly by the company that uses their services.

Second, MK’s decision narrows the benefit gap between outsourced labor and permanent labor. Saeful agreed with this decision. However, he said it would still be dificult for outsourced labor to become permanent labor. Third, outsourced labors’ bargaining position is weak, particularly since it would be difficult for outsourced labor to form a trade union.

Saeful is concerned that MK’s decision will be poorly executed, due to weak government supervision and ineffective enforcement of labor regulations. Workers, Saeful said, believe the government still handles companies that violate labor regulations inconsistently.

Meanwhile, Suprayitno, Chairman of the Indonesian Businesses Association (Apindo) in Jakarta, said that MK’s decision was meant to protect workers rights. “However it causes uncertainty for businesses, due to different cost structures in each business field,” he said to hukumonline, Tuesday (24/1).

He also explained that MK’s decision will be difficult to implement, because it does not apply retroactively. Thus, any business thatis a party to an outsourcing agreement should wait until the agreement expires. Furthermore, the government should educate the public and explain MK’s decision to avoid incorrect interpretations.

Sunarno, Head of the Legal Bureau at the Ministry of Labor and Transmigration, said his ministry issued a circular letter to clarify MK’s decision. He argued that the most important thing in the decision is the protection of workers rights and the assertion that temporary work contracts do not violate the 1945 Constitution. Furthermore, Sunarno said the ministry is currently drafting a decree based on MK's decision.

“The decree, will act as an implementing regulation for the Labor Law. However, the best solution is to make a new law based on MK’s decision,” he concluded.

(Ady Thea Dian Achmad / Mahinda Arkyasa)