Government Affirms Layoff Task Force Collaborates with Labor Groups to Prevent Negative Impacts of Layoffs
Jakarta – The government together with labor unions are pushing for the formation of a Termination of Employment Task Force (Satgas PHK) in response to the increasing potential for layoffs in the labor-intensive industrial sector. This task force is a coordinating instrument that can prevent mass layoffs, guarantee workers’ rights, and match affected workers with new job opportunities.
The push for the formation of the PHK Task Force came from labor unions. The General Chairperson of the Confederation of Indonesian Prosperous Labor Unions (KSBSI), Johannes Dartha Pakpahan, emphasized the urgency of the existence of this task force when opening the 8th KSBSI Congress in Rawamangun, East Jakarta.
“A concrete proposal is the formation of a Layoff Task Force, a task force tasked with anticipating, investigating, and handling the potential and impacts of layoffs,” said Johannes.
According to him, the threat of mass layoffs looming over at least 50 thousand workers, especially on Java Island, is an important signal of the need for state protection of the rights and future of workers amidst global economic uncertainty.
The President of the Confederation of Indonesian Trade Unions (KSPI) who is also the Chairman of the Labor Party, Said Iqbal, also voiced the urgency of the Layoff Task Force as a preventive measure.
“Before the layoffs are carried out, there must be a thorough examination. Don’t let the layoffs be carried out rashly,” he said.
He also revealed that he had met with important figures such as Cabinet Secretary Pratikno and the Chief of Police to strengthen the legal basis of the PHK Task Force through presidential instructions (inpres).
“If severance pay is paid below the minimum wage or not paid at all, there is a criminal element. So it is important that this task force is also equipped with a strong legal umbrella,” he said.
Responding to this proposal, the Minister of Manpower (Menaker) Yassierli said that the government is very open to workers’ aspirations.
“For us, our friends in the labor unions/worker unions are strategic partners. So please come, whether you want to gather, shout outside or come inside, we are very welcome,” said Minister of Manpower Yassierli.
Meanwhile, three main focuses of the PHK Task Force have been formulated. First, early prevention of layoffs when companies show signs of difficulty. Second, guaranteeing all workers’ rights, from severance pay to job loss insurance (JKP). Third, providing new job information that bridges affected workers with job opportunities through a digital system.
The formation of the PHK Task Force is also part of the government’s grand strategy to deal with external pressures, including the new import tariff policy from the United States. Deputy Chair of the National Economic Council, Mari Elka Pangestu, said that the government is preparing a special economic package for labor-intensive sectors, in addition to the formation of the PHK Task Force.
