Update 1: Freeport stops operation as strike begins
Minister calls on Freeport to negotiate with workers
Wednesday, April 18 2007 - 04:05 AM WIB
?Information that we just received say that production activities have been brought to a standstill,? Frans Pigome, head of Tongoi Papua group, was quoted by Kompas Online as saying.
Pigome said Freeport?s production had significantly declined since Tuesday night as many workers refused to work.
Tongoi Papua, which represents native Papuans, is demanding the basic monthly salary of lowest-grade workers at the mine be raised to Rp 3.6 million ($396) from Rp 1.45 million.
Sources in Timika confirmed that Freeport has stopped operation as workers have started to rally.
Earlier, Mindo Pangaribuan, spokesman for PTFI, insisted that Freeport continued operation.
?Our operations are continuing. We remain at full production of concentrate and metal and concentrate shipping has not been affected.
?We remain hopeful that discussions between PTFI senior managers and Tongoi Papua leadership will lead to beneficial developments for our Papuan workers. The door to PTFI's senior management remains open to T-P leaders to present and discuss relevant issues,? Mindo said.
Meanwhile, Minister of Energy and Mineral Resources said that he had yet to receive information whether Freeport has stopped operation or the workers have launched strike.
He called on Freeport to negotiate with the workers ?business-to-business?, saying a strike will have an impact on Freeport?s production activities.
Mindo said PTFI remains committed to continually advancing its native Papuan employees, including increasing the number of native Papuan employees occupying senior positions within the organization.
To this end, the company is applying two Manpower Preparation programs for native Papuans, namely the New Graduate Development Program and the Apprenticeship Program at the Nemangkawi Mining Institute. These two programs are focused on the selection and development of native Papuan manpower with the potential and skills to succeed in professional work.
He said in the span of 10 years, the native Papuan work force in PTFI has increased significantly.
In 1996, he said, when PTFI made a major commitment to increase its Papuan employment, native Papuan employees in PTFI numbered around just 800, and by January 2007, this number had climbed to over 3,000, including apprentice program participants at the Nemangkawi Mining Institute. This meets the commitment PTFI made in 1996. (Godang).