Workers and Jakarta Water Privatization


This paper reports the issues occur to workers in the middle of Jakarta water privatization. There are at least three major issues. First, and the most problematic, is the workers’ status. The cooperation agreement seems intentionally left this problem into confusion and contradiction with other regulations, that now thousands of workers’ status is not clear whether working for the water utility or the concessionaires. Second, the basic salary of seconded employees that is too low and does not increase as regulated. Third, the peculiar pension policy that harms the retired workers’ financial security.


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This paper reports the issues occur to workers in the middle of Jakarta water privatization. There are at least three major issues. First, and the most problematic, is the workers’ status. The cooperation agreement seems intentionally left this problem into confusion and contradiction with other regulations, that now thousands of workers’ status is not clear whether working for the water utility or the concessionaires. Second, the basic salary of seconded employees that is too low and does not increase as regulated. Third, the peculiar pension policy that harms the retired workers’ financial security.