Thiess says dispute with ex-workers settled

Australian mining contractor Thiess Contractors Indonesia (TCI) said Friday dispute with ex-workers was settled after most of the workers had agreed to receive severance pay from the company.

?Only 36 of 156 ex-workers which work for Kideco?s coal mine had not take their severance pay, ? said director Samel Rumende, adding that the company had agreed to pay the workers Rp. 3 billion (US$ = Rp. 8,890), much higher from initial offer of Rp. 600 million.

In 2001, the company fired the workers after they refused to return to work at TCI?s projects in Kideco?s mine in East Kalimantan.

Rumende added that dispute with ex-workers which used to work in Arutmin?s Satui and Senakin coal mines in South Kalimantan was also settled after 633 out of 652 ex-workers took their severance pays.

Thiess is one of the top mining contractors, with revenues generated mainly from coal mining contracting activities. It produced some 20 million tons of coal annually from clients? mines such as Kideco Jaya Agung, Arutmin Indonesia, Berau Coal and Kaltim Prima Coal.

The company is allocating US$ 120 million for 2003 Indonesian investment. Thiess is a subsidiary of Australian contractor giant Leighton Group.(alex/godang)