Survey Responses from Women Workers in Indonesia's Textile, Garment, and Footwear Industries
Overattention to the minimum wage may have led Indonesian firms to lower other costs, including those associated with overtime pay and safe working conditions. Indonesia's workers need to be made more aware of the rights and benefits to which they are entitled.Young, single, women workers dominate the labor-intensive textile, clothing, and footwear industries in Indonesia. This survey interviewed 300 such workers to examine three main questions:(1) Are firms complying with labor regulations?(2) Are women workers aware of their legal rights with respect to wages and working conditions?(3) Does the presence of the official labor union (SPSI) in the workplace make a difference in the implementation of labor regulations?The survey finds that compliance with minimum wages was high - 80 percent of the permanent workers earned at least the minimum wage. Compliance was also high for maternity leave and hours worked a week (forced overtime work was not a major issue). Compliance was low for overtime compensation and menstrual leave with compensation. Compliance with labor regulations was higher for large firms, higher based on length of service, and relatively higher in textiles and garments compared with footwear.The survey finds that workers are most knowledgeable about the minimum wage rate and least knowledgeable about overtime pay. The minimum wage regulation has the highest compliance rate, while overtime pay the lowest compliance rate, by firms.The survey also found that half the members of the official labor union thought that it had not been effective in improving their wages or working conditions. While fewer workers knew whether a collective labor agreement existed in their workplace, most of the respondents who were aware of one indicated that it resulted in improved working conditions. This paper - a product of the Indonesia Policy and Operations Division, Country Department III, East Asia and Pacific - was written as part of a broader study of Indonesia's labor market. It was presented at a joint workshop of the Ministry of Manpower and the World Bank, Indonesian Workers in the 21st Century: Workshop for Economic Reforms and Labor Market Restructuring for Indonesia, Jakarta, April 2-4, 1996
Year of publication: |
[2016]
|
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Authors: | Pangestu, Mari |
Other Persons: | Hendytio, Medelina K. (contributor) |
Publisher: |
[2016]: [S.l.] : SSRN |
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