KEM's workers demand clear guarantee of severance pay
Saturday, April 27 2002 - 01:55 AM WIB
Workers of East Kalimantan based gold miner PT Kelian Equatorial Mining (KEM) have urged the company management to make clear about severance pay they will receive from the company before it closes down its operation in early 2004, local daily Kaltim Post reported on Saturday.
KEM?s management must revise the labor agreement it had signed with its workers because it is effective from June 2001 to June 2004, they said, according to the newspaper.
The workers had repeatedly told the company?s leaders about their demand but so far it had never responded.
They did not say however what action they would take if KEM?s management continues ignoring their complaints.
KEM, an affiliate of Anglo-Australia?s mining giant Rio Tinto, will end its mining operation in West Kutai Regency in 2004 due to gold reserve depletion. The local administration will take over its mining site.
KEM currently produces 13-14 tons of gold annually. (*)