By: Dirandra Falguni )*
The government is moving quickly to face the threat of mass layoffs (PHK) that could arise due to global economic pressures and protectionist policies such as increased import tariffs from the United States (US). One of the strategic steps taken is the formation of the Layoff Task Force (Satgas). This task force is designed as a preventive measure to maintain national employment stability while anticipating a spike in layoffs.
This step was conveyed directly by the Coordinating Minister for the Economy, Airlangga Hartarto, after leading the Limited Technical Coordination Meeting on April 14, 2025 in Jakarta. The Layoff Task Force is not only a reactive body that is present after layoffs occur, but also has a preventive function. This task force is tasked with mapping the impact of global economic policies, such as the US’s high tariff policy, on the Indonesian employment sector. In addition, the Task Force will also provide solutions to affected companies so that they can survive, and help workers who have lost their jobs to get training and new job placements.
The government’s commitment to protecting Indonesian workers is reflected in President Prabowo Subianto’s plan to accelerate the formation of this Task Force. A Presidential Instruction (Inpres) is being prepared as a legal basis for the implementation of the Task Force, with the involvement of related ministries such as the Ministry of Manpower, Ministry of Industry, and Ministry of Trade.
Previously, President Prabowo Subianto emphasized the importance of the Task Force’s function not only in mitigating layoffs, but also as a liaison between affected workers and potential sectors that need workers. In the Economic Discussion in Jakarta on March 8, 2025, Prabowo gave an example of a large investment project in the agricultural sector which is estimated to absorb up to 8 million workers.
With the Task Force, the government hopes to be able to link and match job seekers and government economic programs. This is a smart move that positions the Task Force not just as a “firefighter” when a wave of layoffs occurs, but as a catalyst for the transition of the workforce to more productive sectors.
In addition to the Layoff Task Force, the government has also formed a Deregulation Task Force to overcome investment obstacles due to overlapping regulations. This Task Force will review policies related to import quotas and the implementation of the Domestic Component Level (TKDN). These two Task Forces are the government’s holistic efforts to maintain a balance between worker protection and the investment climate.
Through this synergy, the government shows its seriousness in facing global economic challenges that not only affect the export market, but also the stability of the domestic industry due to the flood of imported products.
The idea of forming the Layoff Task Force has received widespread support, including from the President of the Confederation of Indonesian Trade Unions (KSPI), Said Iqbal. According to him, this Task Force is important to guarantee the fulfillment of workers’ rights and prevent potential strikes that could disrupt industrial stability.
In line with that, the Director General of Industrial Relations Development at the Ministry of Manpower, Indah Anggoro Putri, emphasized that this Task Force is not only focused on preventing layoffs, but also opening up opportunities for creating new jobs. She emphasized the importance of viewing the formation of the Task Force from a broader and more positive perspective, as part of the national employment protection and transformation agenda.
Although many have welcomed this step positively, the business world has reminded that the existence of the Layoff Task Force should not cause fear. The Expert Council of the Indonesian Employers Association (Apindo), Danang Girindrawardana, emphasized that the decision to lay off is the last step taken by companies in urgent conditions. Therefore, he requested that the Task Force work with the principle of transparency and respect the confidentiality of company data. The spirit of preventing layoffs should not turn into an effort to punish the Company.
The challenges faced by the domestic industry today are not only about internal efficiency, but also the onslaught of imported products and export barriers due to tariff policies from trading partner countries. In this context, the Layoff Task Force must work together with other ministries to formulate a trade strategy that protects the domestic industry.
Danang also highlighted the dangers of global market shifts due to the trade war between the US and China. Products from China that are no longer absorbed in the US market will flood developing countries such as Indonesia. If not anticipated properly, this will suppress the local industrial sector and trigger a new wave of layoffs.
The formation of the Layoff Task Force is not just a tactical solution, but also a strategic step to maintain social stability. Mass layoffs can lead tourging social unrest and increasing unemployment rates, which ultimately impact people’s purchasing power and national economic growth. With a quick and coordinated response, the PHK Task Force becomes an important tool to intervene and redirect the dynamics of Indonesian employment amidst the global storm.
The government’s move to form the PHK Task Force is clear evidence that the state is present in the midst of society, especially in protecting workers’ rights and the sustainability of the business world.
The success of this Task Force will be largely determined by close collaboration between the government, the business world, trade unions, and the community. Responsive, transparent, and equitable policies are needed so that the PHK Task Force truly becomes an effective instrument in creating an adaptive and resilient employment ecosystem in this era of uncertainty.
)* Contributor Beritakapuas.com