Jakarta. At least 70,000 workers in Indonesia have lost their jobs between January and April 2025, according to the Labor Party and a coalition of trade unions. That number nearly matches the rise in unemployment, which increased by 80,000 between February 2024 and February 2025.

The figure significantly exceeds government data, which shows 24,000 layoffs as of May 2025. Manpower Minister Yassierli told lawmakers earlier this month that the number already represents nearly a third of all layoffs recorded throughout 2024.

According to Labor Party President Said Iqbal, at least 80 companies have carried out layoffs since January. One of the latest cases involves Maruwa Indonesia, a manufacturing firm established in 1999, which abruptly shut down operations at its facility in Bintang Industri II, Batam, in early April without formal notice.

The sudden closure led to the termination of 205 employees without clear severance compensation.

Iqbal said Wednesday that around 60,000 workers were laid off between January and March. By April, that number had climbed to 70,000, triggering growing concern among labor groups.

Data from the Central Statistics Agency (BPS) showed the national open unemployment rate dipped slightly to 4.76 percent in February 2025 from 4.82 percent the previous year, yet the number of unemployed rose by 80,000 due to a rapidly growing labor force.

Additional figures from the Indonesian Employers Association (Apindo) and state employment insurer BPJS Ketenagakerjaan revealed that around 73,000 people had withdrawn their pension benefits (JHT), a move allowed only after layoffs or retirement. BPJS also reported that 52,000 individuals had claimed Job Loss Insurance (JKP) during the same period.

In response, the Labor Party is urging the formation of a National Layoff Task Force, an independent body aimed at providing accurate data and crafting a coordinated strategy to address the mounting layoffs. On May Day, President Prabowo Subianto also announced plans to establish a National Labor Welfare Council, which would include labor leaders and prominent figures to advise on policies affecting workers' rights.

The Confederation of Indonesian Trade Unions (KSPI) and the Indonesian Labor Union Confederation (KSP-PB) plan to stage a nationwide protest on June 10. Demonstrations are expected in more than 300 cities and regencies, with major rallies set to take place outside the House of Representatives and the State Palace in Jakarta.

“The rally will demand justice for workers and a complete overhaul of the national labor system,” Iqbal said on Wednesday.

Minister Yassierli said the manufacturing sector was hardest hit, followed by wholesale and retail trade, and services. He cited various causes for the layoffs, including financial losses, company relocations to lower-cost regions, labor disputes, retaliation for strikes, and efficiency measures.

Apindo warned that total layoffs could soar to 250,000 by the end of the year.

Indonesia’s labor force reached 153.05 million in February, up by 3.67 million year-on-year. While headline unemployment remained relatively stable, youth joblessness remains a pressing issue, with 16.16 percent of those aged 15–24 unemployed. In contrast, only 1.67 percent of workers aged 60 and above were jobless, though this older age group was the only one to see an increase in unemployment this year.

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