Rio Tinto Foundation?s workers go on strike, demand severance pay

As many as 67 workers of Rio Tinto Foundation in East Kalimantan went on strike on Tuesday demanding the foundation management to give them severance pay before it is changed into West Kutai Foundation (YKB), East Kalimantan-based daily Kaltim Post reported.

The workers did not care about the promise given by the management of Rio Tinto Foundation (YRT) that they would be employed as workers of YKB which is planned to be officially launched this year.

The workers had earlier notified the local police about their plan to go on strike in accordance with existing regulations.

Their action was in protest of the YRT management?s disagreement to give them severance pay. It argued that the workers would be employed as YKB?s workers.

World mining and energy giants Rio Tinto and BP Plc equally own East Kalimantan-based coalminer PT Kaltim Prima Coal (KPC) in East Kutai, East Kalimantan. Meanwhile, Rio Tinto?s unit PT Kelian Equatorial Mining (KEM) operates in West Kutai. (*)