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Layoffs rise to 32,389 in first half amid manufacturing slowdown

Presidential special advisor for labor and workers' welfare Said Iqbal said he believes the actual number of workers affected by layoffs is higher than the official figures reported by the Manpower Ministry.

Maudey Khalisha (The Jakarta Post)
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Mon, July 20, 2026 Published on Jul. 20, 2026 Published on 2026-07-20T13:21:47+07:00

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Labor union members hold banners and wave posters on May 1, 2025, during a Labor Day rally in Jakarta. Labor union members hold banners and wave posters on May 1, 2025, during a Labor Day rally in Jakarta. (AFP/Azwar Ipank)

I

ndonesia recorded 32,389 layoffs in the first half of this year, with nearly one-fifth of the job losses concentrated in West Java, according to the Manpower Ministry.

Data from the ministry's Satu Data Kemnaker platform, published on Monday, showed that West Java accounted for 6,727 layoffs, 20.77 percent of the national total between January and June.

Banten recorded the second-highest number of layoffs at 3,782 workers, followed by East Java with 2,851.

The ministry noted that the figures only cover workers classified as participants in the Job Loss Insurance (JKP) program. Employees who resigned voluntarily, retired, became permanently disabled or died are excluded from the tally under Government Regulation No. 6/2025 and Manpower Ministerial Regulation No. 2/2025 governing the program.

Presidential special advisor for labor and workers' welfare Said Iqbal said he believed the actual number of workers affected by layoffs was higher than the official figures reported by the Manpower Ministry.

According to Said, who is also president of the Confederation of Indonesian Trade Unions (KSPI) and chairman of the Labor Party, many layoff cases are not captured in the government's data.

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Deputy Manpower Minister Afriansyah Noor responded to the recent surge in layoffs across various sectors, saying President Prabowo Subianto had established the Layoff Task Force to anticipate a potential wave of job cuts amid global geopolitical and economic uncertainty.

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