Planned change in Pertamina status worries employees

The government?s plan to change the status of the state owned oil and gas company Pertamina into an ordinary company or a limited business entity has worried most of the company?s employees especially those work outside Jakarta, Kompas reported from Palembang on Wednesday.

"Many employees are still uncertain on the change in the status due to the lack of the familiarization on the change of the company into a limited corporation," Jan Suhairi, the head of Pertamina?s labor union in Palembang.

The uncertainties related to their future especially those related to salaries and welfare allowances have affected the working condition of the workers, he said during a meeting with Pertamina?s finance director Ainun Naim.

According to Ainun, the change in the status will give Pertamina more leeway for a further growth. Pertamina which at present operates under a special law and is given exclusive rights to manage and supervise the country?s oil and gas exploration and production activities. Under the new oil and gas law, Pertamina?s special status should be removed in line with the government?s plan to scrap its monopoly. (*)