Speech of Head of APINDO Delegates to ILC 104, Geneve June 8th 2015
"It has been checked against delivery"
First of all, on behalf of the Indonesian Employers Association (APINDO), I hereby would like to congratulate Madame IEVA JAUNZEME on her election to president over the 104th International Labour Conference (ILC).
Madame President IEVA JAUNZEME,
APINDO shares the spirit of the theme chosen for this year's conference, "Building a Future with Decent Work." As a representative of Indonesian employers, APINDO truly pays attention to the forms of implementation of decent work through social security plan. It has been APINDO's priority to promote efforts to create employment for the young labour force.
With a well thought-out, structured, and systematic roadmap, APINDO has taken short-term and long-term initiatives to achieve a shared objective to build sustainable business coupled with productivity and common welfare.
Taking advantage of the momentum of the 104th Session of the International Labour Conference, I would like to ask all business players and strategic partners for workers to develop a dynamic, just, and harmonious industrial relations system. In doing so, together we can achieve business sustainability and common welfare.
In general, APINDO agrees with the objective and principles concerning social security based on the universality of protection for workers, the non-discrimination principle, the enhancement of quality of work through increased workers' competency and protection through a comprehensive social security system. To achieve this, flexible guidelines for employers are necessary so that they could provide the social security to their workers according to the level of risk in their respective sectors.
APINDO embarked on the year 2015 witnessing the implementation of social security that covers National Health Insurance and Retirement Security, resulting from a concrete effort of the national tripartite council to achieve social justice for all the Indonesian people. The long process of synchronizing regulations of the two schemes demonstrates the tripartite's determination to build a future with decent work.
Amid the downtrend in the domestic economy, APINDO remains confident and optimistic in promoting both foreign and domestic investments. In order to create employments for some 5.5 million-strong workforce and boost their competencies, APINDO joins hands with state and private vocational training centers through their corporate social responsibility (CSR) programs that consistently support the development of new entrepreneurs with competencies required by the business sectors.
APINDO, through apprenticeship programs in partnership with multinational and national companies as well as donor agencies, strives to resolve the issues of youth unemployment. This is part of an effort to take the benefit of the country's demographic bonus, which has reached its point in the last 10 years.
APINDO's commitment and determination in creating employment opportunities for the young people would be the priority of APINDO's members across Indonesia by:
a. Facilitating education and training for employability, to reduce low-educated workforce
b. Improving the quality of apprenticeships according to the needs of the industries
c. Increasing the opportunities for the youth to become entrepreneurs
d. Creating employment opportunities at the provincial level in collaboration with the local businesses
e. Increasing access to information on job vacancies in cooperation with the government, private institutions, and universities nationwide
It is a realistic dream to create decent work in tandem with national productivity and to support the government program that encourages the entire nation to create employment opportunities to the greatest possible extent. Decent work would surely lead to decent pay and decent life standard.
APINDO is motivated to stay focused on developing a system that promotes business sustainability through economic policies that supports investment, growth, and optimum business results. Therefore, it is important for workers to cooperate in the principles of partnership through consistent social dialogue that will fulfill their dream for decent life with decent housing, health, and education.
APINDO is in support for the transition of the informal to the formal economy as well as support on the development of SME and social protections. Nevertheless, we see to address the unique needs of developing countries in implementing the universal standards without jeopardizing the interest of developing countries to create more jobs in order to have sustainable growth of the economy.
APINDO has urged the government to build infrastructures that link remote areas with the nearest cities, which will increase flows of goods at affordable costs and equal business opportunities as well as investments in the respective regions. Increase in investment outside the island of Java will become a positive signal to achieve balanced growth geographically. The good news is: the government has responded positively.
APINDO has taken concrete steps to realize Apprenticeship Program for the youth in several regions in order to:
a. Create employments
b. Nurture the potential of creative economy among the young people
c. Develop the talent of the young people and stimulate their passions
d. Nurture the entrepreneurship potential of the young people
These young people are trained through business incubators according to their interests, particularly in sectors such as automotive, heavy industry, and retail as well as creative economy.
APINDO intensively and consistently urges employers to play an active role in enhancing the competencies of the young people by:
a. Supporting education for the youth through planned and integrated apprenticeships
b. Setting up training centers - APINDO Training Center (ATC) was established in Jakarta in 2011 and 8 ATCs have been set up in the regions from 2012 to 2015
c. Facilitating apprenticeships through partnerships with APINDO members with suitable teaching staff, curriculum and facilities
d. Empowering and mentoring the small and medium enterprises (SMEs) that provide opportunities for the youth to become entrepreneurs
The above program reflects APINDO's active involvement in providing the young people with employment opportunities as extensive as possible.
Last but not least, we do hope that this conference would bring enlightenment, opportunities, and certainly the support to create jobs, to help informal businesses shift into formal sector, and to promote the realization of decent work through adequate social security benefits. This will result in prosperity for the people of Indonesia in particular, and the people of the world in general.
Joining forces with the government, union workers, ILO, and other related parties; APINDO relentlessly promotes harmonious industrial relations that will eventually lead to productivity, common welfare, and conducive investment climate. APINDO shall consistently play an active role in the development of Indonesia towards a brighter future.
Geneva, June 8, 2015
Hariyadi B. Sukamdani
The Chairman of APINDO National Board