“Indonesia mass strike looms over cuts to environmental safeguards and workers’ rights”, 06 October 2020

Indonesia has passed a wide-ranging bill that will weaken environmental protections and workers’ rights in an attempt to boost investment…

Groups representing millions of workers said they would strike on Tuesday in response to protest against the bill…

The bill has also been criticised by both environmental experts and some of the world’s biggest investors, who expressed concern over its impact on the country’s tropical forests. A group of 35 investors – including Aviva Investors, Legal & General Investment Management and the Church of England Pensions Board – said they feared the changes would “risk contravening international best practice standards”.

The government argues that the bill will make the country more attractive to investors at a time when the economy is reeling from the impact of Covid-19…

According to a draft version of the bill, mandatory paid leave for childbirth, weddings, baptism and bereavement will be scrapped, as will menstrual leave for women. Work overtime will be increased to four hours a day, and mandatory severance benefits paid by employers will be reduced…

Regulatory hurdles designed to protect the environment will also be reduced, with only high-risk investments required to obtain a permit or carry out an environmental impact assessment prior to beginning operations…

Restrictions placed on foreign participation in some sectors will be eased, and the government will set up a land bank and manage this to acquire land for public interest and redistribute the land.