May 12, 2017 / 8:22 AM / 8 months ago

Labour union calls off planned strike at Jakarta port

JAKARTA, May 12 (Reuters) - An Indonesian labour union has scrapped a planned strike at Jakarta’s Tanjung Priok port next week, ensuring operations would run normally at the country’s busiest port, union officials said on Friday.

Nova Sofyan Hakim, the chairman of the workers’ union of PT Jakarta International Container Terminal (JICT), said by text message the union had reached “a constructive agreement” with the company.

JICT is the company in charge of loading and unloading at Tanjung Priok port, the country’s biggest container port.

Hong Kong-based Hutchison Ports controls 51 percent of JICT, while state-owned port operator Pelindo II has a 48.9 percent stake, according to Pelindo II’s website.

The union had said earlier this week that 2,000 JICT workers would strike on May 15-20 to oppose a decision by Pelindo II to extend an operating contract held by JICT and Hutchison Ports.

The union had accused JICT’s board of directors of cutting workers’ benefits to pay fees related to the contract extension.

Union official Hazris Malsyah, who was supposed to lead the strike, said JICT directors had agreed to curb workers’ losses related to the contract extension.

JICT, Pelindo II and Hutchison Ports were unavailable to comment. (Reporting by Hidayat Setiaji and Gayatri Suroyo; Editing by Simon Cameron-Moore)

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