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Task Force for Termination of Employment Involves Entrepreneurs and Labor Unions

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Jakarta – In response to the increasingly complex challenges in the national labor market, the Government is taking progressive steps by preparing the establishment of a Task Force for Termination of Employment (Satgas PHK). The idea of forming this task force was proposed directly by President Prabowo Subianto as part of anticipatory measures against the potential wave of mass layoffs amid global economic uncertainties, particularly due to trade wars and tariff policies from partner countries like the United States.

Minister of Manpower, Yassierli, revealed that his office is still further reviewing the structure, scope, and execution mechanisms of the Satgas PHK. He mentioned that, in line with the President’s directive, the task force must involve the government, labor unions, business representatives, and academics.

Unlike previous reactive policies, this Satgas PHK is designed as a collaborative, cross-sector platform. The tripartite approach, which traditionally involves the government, entrepreneurs, and workers, is expanded to include academics to ensure that policy formulation is based on data and in-depth analysis.

This step has received support from various labor groups. Andi Gani Nena Wea, President of the Confederation of Indonesian Trade Unions (KSPSI), stated that the involvement of various elements would enhance the effectiveness of the task force in handling employment termination issues. The Satgas is not only tasked with addressing layoffs that have already occurred but also with preventing them and providing comprehensive solutions.

Similarly, Said Iqbal, President of the Indonesian Labor Union Confederation (KSPI), emphasized the importance of the Satgas PHK as the front line in facing a wave of layoffs. He first proposed the creation of the task force in an Economic Forum with President Prabowo. The proposal was immediately welcomed by the President, who instructed that the formation of the task force be expedited and involve all labor stakeholders.

Yassierli explained that the scope of the Satgas PHK would not be limited to resolving termination cases alone. With the involvement of multiple ministries and agencies, the task force’s work will include mapping vulnerable sectors, overseeing job creation, and preparing mitigation policies such as reskilling and new employment placement.

“If the team is large and involves multiple ministries, the scope will be broader. However, if it is limited, it may focus only on mitigating layoffs,” he explained, highlighting the flexibility of the task force’s design to adapt to policy needs and the ever-changing economic dynamics.

Although the concept and structure of the Satgas PHK have begun to take shape, its official formation still awaits the issuance of a Presidential Instruction (Inpres). Indah Anggoro Putri, Director General of Industrial Relations and Social Security, stated that the Inpres will serve as the legal basis outlining the specific duties and coordination of the task force. Minister Yassierli added that the content of the Inpres would depend on the extent of the roles and involvement of various agencies in the task force.

President Prabowo emphasized the urgency of forming the Satgas as part of the national preparedness plan to address global economic pressures. The President is keen on the proposal for the Satgas PHK, considering it crucial to involve all stakeholders, including the government, workers, academics, the BPJS, and others.

The formation of the Satgas PHK becomes a key element of the national strategy to respond to the impacts of global tariff policies, especially from the United States. Mari Elka Pangestu, Deputy Chairman of the National Economic Council (DEN), stated that this task force is vital to maintaining stability in the national industrial sector. She reminded that labor-intensive sectors such as textiles, footwear, and electronics are vulnerable to global fluctuations.

The task force will monitor and anticipate layoffs, especially in strategic sectors. The government is also preparing a deregulation package as a rapid response. She stressed that swift and measured actions, like the formation of the Satgas PHK, are crucial to ensuring national economic resilience amid global economic fluctuations and to protect workers’ welfare.

What makes the Satgas PHK unique is its proactive and systematic approach. By involving academics, the task force is expected to develop evidence-based policies, create early warning indicators for the risks of layoffs, and build a warning system for employment-related disruptions.

The Satgas PHK will also play an essential role in mediating industrial relations, ensuring workers’ rights are upheld, and acting as a rapid connector between workers and the government during crises.

The establishment of the Satgas PHK by the government is a strategic step that reflects a serious commitment to maintaining labor market stability amid global economic turbulence. By prioritizing collaboration between the government, businesses, labor unions, and academics, the task force is expected not only to serve as a crisis management tool but also to become a key pillar of Indonesia’s labor system reform, making it more adaptive and just.

The existence of the Satgas PHK addresses concerns about mass layoffs and also strengthens the future social protection and labor system in Indonesia. The public now awaits the realization and effectiveness of this initiative as a concrete manifestation of the government’s commitment to ensuring job sustainability and workers’ welfare in the country.

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