Indonesia expands national internship and vocational training programs

The Indonesian Ministry of Manpower is advancing several initiatives to bridge the gap between education and industry. The National Internship Program (MagangHub), a key priority for the Prabowo-Gibran administration, aims to provide university graduates, professional education graduates, and persons with disabilities with six months of work experience. The government has set a quota of 100,000 participants for 2025 and 150,000 for 2026. Participants receive a monthly allowance equivalent to the regional minimum wage, along with accident and death insurance.

Minister of Manpower Yassierli has issued a firm warning to companies that the internship program must not be used to replace regular employees or trigger layoffs. Addressing concerns from economists regarding the potential for low-cost labor substitution, the Minister emphasized that the program is strictly for competency enhancement and that companies have no guarantee of continuous quotas.

In a separate effort to strengthen the vocational ecosystem, the Ministry is exploring cooperation with Universitas Harkat Negeri in Tegal. This partnership includes plans for a ‘teaching factory’ to simulate industrial environments on campus and the integration of Karirhub, the Ministry’s official employment service portal, to facilitate job placement for graduates.