Indonesia launches task force and local measures to curb layoffs

The Bantul district labor office reported 142 workers dismissed between January and May 2026 across health, IT, manufacturing and trade sectors. The office said companies have paid workers' entitlements and urged firms to consider alternatives before resorting to layoffs, while expanding job placement and skills‑training services.

The national government has created a PHK Mitigation Task Force (Satgas PHK) chaired by Minister of State Secretaries Prasetyo Hadi. The task force coordinates with the DPR, police and ministries to map companies at risk, intervene in sector‑specific issues such as high gas prices, and mediate disputes. Labor Minister Yassierli described a multi‑step process that includes bipartite talks and mediation before any layoff proceeds.

To strengthen workforce resilience, the government is promoting vocational and digital training programmes, including the Jakarta‑South regional training centre (PPKD) and a mobile training unit, and has launched the National Internship and Vocational Training schemes. Jakarta’s open unemployment stands at about 334,000, with a recent job fair offering 3,299 vacancies.