Indonesian Labor Union Pressures Government on Outsourcing Reform

Longstanding Campaign Against Outsourcing

The Indonesian Confederation of Workers Unions (KSPI) has intensified its campaign against the current outsourcing system, calling on President Prabowo Subianto to fulfill his promise to abolish outsourcing practices. KSPI Chairman Said Iqbal reminded the public of Prabowo's commitment made during last year's May Day celebration, where he vowed to eliminate the controversial labor practice.

Legal Framework Challenges

The labor union's push comes amid ongoing debates about the legal framework governing labor practices in Indonesia. Iqbal pointed out that the absence of a revised Labor Law remains a significant obstacle to implementing Prabowo's promise. The union is now urging Parliament to expedite the discussion and passage of the draft Labor Law, which they argue is essential for formalizing workers' status and ending outsourcing.

Constitutional Court Ruling Adds Pressure

The KSPI's demands gain additional weight from a recent Constitutional Court ruling (Decision No. 168/2024) that mandated the establishment of a new labor law by October 2024. Iqbal criticized the government's priorities, noting that while laws favorable to investors are passed quickly, legislation benefiting workers faces significant delays. The union views the swift passage of the new Labor Law as crucial for fulfilling Prabowo's campaign promise and improving workers' rights.