INDONESIA: Six Thousand Adidas Workers Demand Fair Pay
Around 6,000 workers from PT Prima Inreksa Industri, an Adidas supplier, staged another rally at Jakarta's legislative council last Friday after a settlement of their earlier dispute over pay increases failed to materialise, the Jakarta Post reported.
The workers gathered at the council at 9am and gave speeches, while waiting for the resumption of the city council-mediated negotiation with the management. The negotiation began at 4 pm - two hours late.
The workers renewed their earlier demands for implementation of the new minimum monthly salary of Rp426,250 ($44.80), reduce special salary tax for workers, increase maternity leave, provide transport and meal allowances and improve basic salaries for employees with over three years of service. They specifically urged the management to fire human resources development manager Tunggul Sihombing, who they accused of imposing too many regulations on the workers.
An Adidas spokesman said of the dispute: "We have told all our supplier factories in Indonesia that they must pay the new, legal minimum wage from 1 January 2001. If they fail to do so promptly, we will insist that our suppliers make back payments so that the workers are not out of pocket. "
Adidas, like most other major brands, is sensitive about labour problems in its offshore facilities. It has set up a special social and environmental affairs team to regularly monitor standards. It also has a separate section on its corporate website on ethical labour practices.
Its mission statement reads: "To enhance the values of the adidas-Salomon brand by promoting socially responsible, safe and environmentally sustainable practices for the company and its business partners."
It claims to work closely with local offices to improve the lives of its employees by: "facilitating continuous improvements in employment, health, safety and environment."
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