Abstract
The form of deviation in the application of outsourcing policy and the system of work agreement for a certain time include: (1) the company has not classified the core and noncore business; (2) outsourcing workers and contract workers are not included in the worker's social security program, (3) outsourcing workers have no job security, career guarantees, and continuity of work; and (4) the tendency of job hire companies and employment service providers to pay wages lower than the regency minimum wage. Irregularities in the implementation of outsourcing policies led to conflicts of interest, disharmonious organizational communication, and mistrust of workers towards management. This problem triggerred demonstrations and strikes by workers and trade unions. On the other hand, supervision and guidance from the local manpower office had not been effective. Therefore, the role and existence of trade unions were necessary to fight for workers 'rights and legal certainty to protect workers' rights. The results of this study revealed the existence of trade unions through mass demonstrations nationally and to reject the outsourcing system can pressure the East Java Governor to conduct a moratorium on outsourcing and the Indonesian government to design Omnibuslaw outsourcing. On the one hand, Omnibuslaw aims to facilitate the outsourcing system and on the other hand provides a favorable compensation for workers in the form of a pension guarantee. Previous research showed that trade union advocacy on the implementation of the Law of the Republic of Indonesia No. 21 of 2000 produced a model of trade union advocacy and the role of trade unions in determining district minimum wages. This research was a downstreaming from previous research conducted at employer companies, union outsourcing companies, and labour agencies in East Java.
Highlights
Law of the Republic of Indonesia Number 13 of 2003 concerning Employment and Trade Unions states that the function of trade unions is to be a good mediator between companies and workers or labourers and to fight for the welfare of workers or labourers and their families
Implementation of the function of trade unions is as social control of the implementation of labour laws and regulations carried out by related parties, namely companies and workers or labourers
Increasing competition in international and national markets and the high annual minimum wage increases of districts make companies have to carry out efficiency in all fields and transfer part of the work to the second party to provide workers or labourers who carry out work received from employer companies; so the employer company is more Journal of Public Policy and Administration 2021; 5(1): 24-29 focused on company development and marketing expansion
Summary
Law of the Republic of Indonesia Number 13 of 2003 concerning Employment and Trade Unions states that the function of trade unions is to be a good mediator between companies and workers or labourers and to fight for the welfare of workers or labourers and their families. Implementation of the function of trade unions is as social control of the implementation of labour laws and regulations carried out by related parties, namely companies and workers or labourers. The issue of employment in Indonesia is very complex, especially the problem of outsourcing. Increasing competition in international and national markets and the high annual minimum wage increases of districts make companies have to carry out efficiency in all fields and transfer part of the work to the second party to provide workers or labourers who carry out work received from employer companies; so the employer company is more. Outsourcing is an effort of the company by using assistance from other companies to do work that supports the business and get maximum profit [8]
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