Unions record 70,000 workers laid off in four months

  • Published on 27/05/2025 GMT+7

  • Reading time 2 minutes

  • Author: Gusty Da Costa

  • Editor: Imanuddin Razak

Labor unions across Indonesia are preparing nationwide rallies following a wave of mass layoffs that has affected 70,000 workers in just the first four months of 2025, according to data released by the Labor Party and the Confederation of Indonesian Trade Unions (KSP-PB, KSPI).

The latest blow came in early April when PT Maruwa Indonesia, a manufacturing company in Batam operating since 1999, abruptly shut down operations, leaving 205 workers − 49 permanent and 156 contract employees − jobless without clear severance arrangements.

From January to March 2025, 60,000 layoffs were recorded across 40 companies. By April, the number had surged to 70,000 workers laid off from 80 companies − doubling the total in just one month.

However, the Ministry of Manpower has reported a significantly lower figure of 26,000 layoffs during the same period, a discrepancy that labor leaders denounce as misleading.

"Why does the Ministry of Manpower claim only 26,000? This is clearly manipulative − an attempt to polish the image in front of the President. This is not just a data error; it borders on public deception," Said Iqbal, President of the Labor Party and the Confederation of Indonesian Trade Unions (KSPI), said on Monday, May 26, 2025.

Iqbal pointed to several sources to dispute the ministry’s claim, including the Central Statistics Agency (BPS), which recorded an 80,000 increase in unemployment, and data from the Employers’ Association of Indonesia (Apindo) and the Social Security Agency for Employment (BPJS Ketenagakerjaan), showing over 73,000 withdrawals of old-age savings − typically allowed only after layoffs − and more than 52,000 recipients of the Unemployment Benefit (JKP) in the same period.

“Given the scale of this crisis, we are demanding the formation of a National Task Force on Layoffs,” Iqbal continued. “This task force must provide accurate data, classify the causes, and deliver real solutions to protect workers and their families.”

In response, KSPI and KSP-PB are planning for a coordinated national strike in cities and regencies across Indonesia scheduled for June 10, 2025, with a central rally in Jakarta in front of the House of Representatives (DPR) and the Presidential Palace.

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