Indonesian Political, Business & Finance News

10 Professions Most Affected by Layoffs and the Reasons Behind Them

| Source: CNBC Translated from Indonesian | Business
10 Professions Most Affected by Layoffs and the Reasons Behind Them
Image: CNBC

Generation Z is facing a job crisis in various parts of the world, as the massive development of artificial intelligence (AI) technology and economic uncertainty cause waves of layoffs to continue.

A recent survey by the World Economic Forum (WEF) recorded that 41% of companies worldwide admit they plan to significantly reduce their workforce by 2030. This comes as many jobs can be replaced by robots.

The Ministry of Manpower recorded layoffs for the January–May 2026 period at 23,470. There was an increase of 8,919 layoffs within a single month.

Meanwhile, a JobStreet report titled Hiring, Compensation, and Benefits 2025 shows that 42% of companies in Indonesia reduced their workforce in 2024. The methods varied, from direct layoffs to not replacing positions left vacant due to retirement.

“Full-time permanent employees were the most affected by layoffs, at 27%, followed by part-time, contract, and temporary employees,” the JobStreet report stated.

These are the 10 professions most affected by layoffs throughout 2024:

  1. Administration and HR - 29%

  2. Management - 22%

  3. Accounting - 16%

  4. Marketing/Branding - 15%

  5. Manufacturing - 14%

  6. Sales/Business Development - 12%

  7. Corporate Sales/Business Development - 11%

  8. Information Technology (IT) - 10%

  9. Engineering - 10%

  10. Legal/Compliance - 8%

Six common reasons for layoffs in Indonesia:

  1. Operational cost efficiency

  2. Worsening economic projections

  3. Shift to flexible workforce models

  4. Internal restructuring

  5. Automation of work with technology

  6. Use of outsourced labour

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