Better Work Indonesia Annual Report 2020: An Industry and Compliance Review

31 May 2020

“Our current strategy is still valid, but a lot has changed due to COVID-19. We will need to assess how great and permanent that change is and how can we can best face the gaps in governance and transparency and overall fairness of global supply chains that the health crisis has uncovered. 2020 will be a year of learning, adaptation and hopefully change in Indonesia and beyond.” Maria Joao Vasquez – CTA Better Work Indonesia

Better Work Indonesia’s latest annual report highlights factories’ assessment results, improvement efforts, and key initiatives from the past year.
Throughout 2019, Better Work Indonesia, along with the broader International Labour Organization (ILO), has advocated and provided inputs to key labour policy areas concerning minimum wage policy, labour law reform and sectoral strategies.

Labour Law Reform and Minimum Wage policy

Better Work Indonesia has played a crucial role in facilitating dialogue constituents and in advising the government on collaborating with stakeholders (including international brands) to stregthen the minimum wage determination system. 2019 also saw increased collaboration between buyers and the provincial government on issues such asfactory closures.

Motivating better workplaces

Having a worker-management committee helps improve relations in the factory, as the needs and grievances of workers are handled better. Through these committees, Better Work has raised awareness among workers and supervisors and provided opportunities for women to take on leadership roles.

Building consensus on the use of non-permanent contract

Better Work has provided support to the Ministry of Manpower by disseminating guidelines to more than 200 labour inspectors and mediators in West and Central Java. The guidelines are now being widely used by industry stakeholders, including factories, brands, and union officials, leading to greater consensus on issues related to the employment of contract workers. The success of the guidelines has also led buyers and stakeholders from other industries (e.g. the palm oil sector) to adopt similar frameworks adapted to their contexts.


Subscribe to our Newsletter

Keep up to date with our latest news and publications by subscribing to our regular newsletter.