PTFI union says pay talks stall

By Bambang Atmaja

Negotiations between gold and copper mining giant company PT Freeport Indonesia (PTFI) and its workers union demanding for a pay hike have stalled by the initial September deadline. But both sides have agreed to extend the deadline to October 4, said Juli Pararongan spokesman of the PTFI workers union.

?There has been no agreement. (Both sides) are trying to find an understanding. The offer of the management is not suitable with the expectation of the workers,? Juli told Petromindo.com via phone Friday.

?We have asked for a 40 percent hike for two years, but they (the management) offered 15 percent,? said Juli.

He said that the 40 percent hike could be applied in two stages: 20 percent hike in the first year and another 20 percent in the second year.

The spokesman said that the reason of the worker?s pay hike demand is because of the high inflation rate in Papua.

Besides, he added, Regulation Number 13, 2003 allows for payment adjustment in line with the capability of the firm, he said.

Editing by Reiner Simanjuntak