Labour Response to Outsourcing Policy, Research in Industrial Intensive Area-Indonesia

This paper describes the responses of manufacturing industry labours toward outsourcing policy in Indonesia. Written based on a research done in Karawang which is the most-dense industrial region in Indonesia. The research has successfully identified a number of violations conducted by businessman against outsourcing policy, and this research has also explored the responses of sustainable workers. An effort has been made by the government under the leadership of Susilo Bambang Yudhoyono system in the form of Ministerial Regulation of the Ministry of Labour Number 19 of 2012 which aims to eliminate ill practices of outsourcing employment. The regulation limits the types of jobs in which the outsourcing system can be administered. This regulation has somehow decreased the anxiety among labours. However, labour organizations still demand the ban of outsourcing system. They keep doing protests and demands to both regional and national government to eliminate the outsourcing system in various moments such as May Day. The major trigger of this problem is the different comprehension of the outsourcing system which leads to labour discrimination. Businessmen perceive outsourcing system as an applicable system to apply in all types of job, leading to discrimination toward outsourcing labours in terms of wage difference, fear to make the association, and work termination threat. The weak supervisory of government apparatus and the needs for local politicians to obtain fund from businessmen has caused the protection over labours less optimum. Moreover, the fragmentation inside labour organizations also made them unable to fight for this issue, and this condition has been utilized by businessmen to spay labour movements.