Vico cooperative in resolving labor dispute: Executive

A senior executive of oil and gas producer PT Vico Indonesia insists that they had fulfilled nearly all summons issued by East Kalimantan provincial legislative council (DPRD) which tried to help resolve labor dispute between the company management and its former workers, local daily Kaltim Post reported Monday.

?Indeed, we did not come to the council only one or two times. But, we went there on other occasions. We gave councilors our answer, orally and in writing. Even, we still keep the minutes of our meetings with them,? the paper quoted as saying Syaiful Rahaman, Vico?s general affairs senior manager.

Syaiful was responding to reports that Vico?s officials had ignored seven summons issued by DPRD which had been pressured by around 400 former workers of Vico to help resolve their dispute with the company management. Vico had discharged the 400 people since 2000, giving them separation pay allegedly below the amounts stipulated by existing labor regulations.

The former workers demand that the company raise their separation pay.

DPRD member Ridwan Suwidi said recently Vico was legally obliged to pay a total of Rp40 billion (US$=Rp8,870) to the 400 people. He also said they had planned to report the labor dispute to the House of Representatives (DPR).

Vico, partly owned by BP Plc, produces oil and gas in its Bontang fields in East Kalimantan. Its gas goes to Badak NGL?s liquefied natural gas plant in Bontgang. (*)