Indonesian workers clash with police

The protesters say the new laws make it easier for employers to fire workers

JAKARTA, Indonesia -- Clashes have broken out in a number of Indonesian cities as thousands of workers took to the streets, demanding the government revoke new labor laws.

In Jakarta, an estimated 2,000 workers threw stones at police while they were protesting outside the presidential palace, but there were no immediate reports of any injuries.

Meanwhile in the city of Surabaya in East Java police fired warning shots and tear gas to disperse thousands of workers after they broke down the gate to the parliamentary building.

The workers were protesting against recent ministerial decrees which they say undermines their rights.

The new laws abolish severance and service payments for workers who resign or retire, and the protesters asdy that makes it easier for employers to fire their workers.

Clashes also took place on the outskirts of Surabaya where police had erected barricades to prevent some 3,000 other protesters from entering the city.

At least one person was reported injured, hospital sources said.

Investment climate

There were also protests in Bandung, capital of West Java province, where witnesses said more than a dozen cars were set ablaze.

Earlier, police had to evacuate legislators from the parliamentary building after thousands of angry workers tried to storm it.

In a meeting with union leaders Tuesday, Indonesian President Abdurrahman Wahid turned down the demands to nullify the controversial decrees.

A union leader quoted Wahid as saying that he had made the decision to maintain an economic climate conducive to investment in the country.

Indonesia has been grappling with a growing economical and political crisis since 1997 when the Asia economic crisis sent the Indonesian economy into freefall.

Since then the government has been battling hard to attract foreign investment back into the floundering economy.