Aprindo Optimistic Retail Business To Stay Amid The Wave Of Layoffs

Chairman of the Indonesian Retail Entrepreneurs Association (Aprindo) Roy N Mandey. (Photo: Doc. Antara)

JAKARTA - The Indonesian Retail Entrepreneurs Association (Aprindo) said that retail businesses were still able to survive in the midst of the wave of layoffs (PHK) that hit other sectors.

Chairman of Aprindo Roy Mandey is optimistic that the retail business will still grow until the end of 2024. In addition, this sector is not a labor-intensive industry that is vulnerable to various economic challenges.

"We haven't done layoffs because we are not labor-intensive. However, we provide information, on various occasions we convey that it is also necessary to maintain economic buffer sectors like us, this retail sector is an economic buffer," said Roy in Jakarta, quoted from Antara, Thursday, November 14.

In the retail sector, continued Roy, the closure of a number of businesses was not due to the bankruptcy of the company. However, this usually happens due to relocation or changing business models.

According to Roy, the closure of the retail business had indeed occurred during the COVID-19 pandemic. However, after that, many retailers made efficiency by changing business formats.

"After the pandemic period, on average we are trying for efficiency or relocation, or we are working with suppliers for rebranding. So steps are in nature to survive," said Roy.

However, Roy hopes that there will be a provision of wage subsidies, interest rates subsidies and fiscal tax subsidies to be able to encourage people's purchasing power and maintain the retail industry so that it continues to grow.

Regarding the retail industry projection in 2025, Roy said, this really depends on the performance of the new cabinet, where the government is starting to revive old programs and also free nutritious meals.

"The government has only started to move the economic sector now, moving the continued BLT again, even later there will be a free nutritious eating program, it can attract workers and increase income," he said.