Indonesia - Joy over Nestlé settlement with Panjang workers turns to nightmare of dismissals (2012)

On 31 March, agreement was reached in a longstanding dispute that brings recognition and bargaining rights to the Union of Nestlé Indonesia Panjang Workers (SBNIP), affiliated to the International Union of Food, Agricultural, Hotel, Restaurant, Catering, Tobacco and Allied Workers’ Association (IUF), at the Nescafé factory in Panjang. However the negotiations that ensued were difficult and eventually deadlocked over Nestlé’s wage proposals. With negotiations at an impasse, SBNIP members went on a sitdown strike. Nescafé denouncing the strike as illegal and ordered people back to work.

On 5 October, the local Labour Department called SBNIP and Nestlé to mediation. In this mediation SBNIP agreed to end the strike at 1.00 pm the same day. A written agreement regarding the end of the strike and return to work was signed by Nestlé and the union and witnessed by the Labour Department. SBNIP members on the second shift reported for duty at 2:00PM and completed their shift. But when SBNIP members arrived for the third shift at 10.00 pm they were faced by a cordon of security guards at the factory gates, with riot police on standby inside the factory grounds. Security guards called out the names of union members, handed them «resignation» letters one by one and then sent them away. The same letters were also sent to their homes. Dozens of termination letters were issued on 6 October. The situation was unresolved at the end of the year.

© ITUC-CSI-IGB 2013 | www.ituc-csi.org | Contact Design by Pixeleyes.be - maps: jVectorMap