DPR Asks The Government To Overcome The Number Of Layoffs That Continue To Rise

Member of Commission IX of the Indonesian House of Representatives, Arzeti Bilbina, asked the government to move quickly to overcome the threat of a storm of layoffs (PHK) whose numbers continue to increase. He also urged the government to prevent the spread of dismissal in various business lines in Indonesia.

The increasing number of layoffs is a bitter reality that must be addressed immediately. This phenomenon not only has an impact on the macro economy, but also the lives of millions of affected families," Arzeti told reporters, Saturday, August 2.

"We cannot stand still watching the increase in unemployment, while employment is increasingly limited. The government must come with a real solution and move quickly to stop the continuing layoffs storm," he continued.

Arzeti revealed, based on the latest data from the Ministry of Manpower, the number of workers affected by layoffs from January to June 2025 reached 42,385 people. This figure has increased by 32 percent compared to the same period last year.

According to Arzeti, this data adds to concerns about the future of employment in Indonesia. "This data cannot be underestimated. The government must immediately intervene to prevent the number of layoffs from increasing. With the right intervention, I am sure this storm of layoffs can subside," he said.

Arzeti said that the government has several options to prevent a spike in layoffs and maintain the sustainability of employment opportunities. These include providing incentives to the labor-intensive industrial sector in the form of tax breaks.

"The government must also encourage sectors that have the potential to grow rapidly, such as technology, tourism, and the digital economy, to create new jobs," he said.

According to Arzeti, more aggressive economic stimulus is also needed to encourage domestic consumption and create new demand in the labor market. The government, according to him, can increase spending in strategic sectors, such as infrastructure and the development of MSMEs.

"With this step, it is hoped that new jobs will be created that can absorb workers affected by layoffs," he said.

On the other hand, Arzeti requested that the Layoff Task Force (Satgas) that has been formed can function more optimally. He hopes that this Task Force will not only tackle the layoffs that have occurred, but also map the industrial sector that is vulnerable to layoffs and prepare appropriate mitigation steps.

"The layoff task force must be more active, not only dealing with layoffs that have occurred, but also preventing further layoffs," he said.

"The government must also be proactive in identifying risky sectors and providing the necessary support to reduce the impact of layoffs," he added.

Arzeti added that cooperation between the government, entrepreneurs, and the community is also important to reduce layoffs significantly. The government, he said, must be a driving force, but the private sector and the community must also play an active role.

"If we don't take preventive and solution steps immediately, we will be stuck in a bad circle that is difficult to break," concluded Arzeti.