2026 Labour-Intensive Programme to Absorb 1 Million Workers
JAKARTA, KOMPAS.com - The Ministry of Public Works’ (PU) labour-intensive programme in 2026 is targeted to absorb up to 1 million workers across Indonesia. This programme will reach 15,364 locations through the Community-Based Infrastructure (IBM) scheme.
Amid global pressures, the labour-intensive programme is strengthened as a primary strategy to maintain public purchasing power, stimulate local economies, and ensure that development benefits are directly felt by communities.
Although budget sharpening led to some adjustments, the government is committed to restoring and enhancing the allocation for this programme.
“The IBM programme has a significant multiplier effect. Besides producing infrastructure, it also provides direct income to communities through the labour-intensive scheme, thereby driving the local economy,” said Dody during a Working Meeting with Commission V of the House of Representatives (DPR RI) in Senayan, Jakarta, on Tuesday (7/4/2026).
This budget strengthening results from reallocations amid fiscal efficiency policies, while demonstrating the government’s commitment to programmes that directly impact communities.
Of the total 15,364 locations, most activities are in the water resources sector through the Accelerated Improvement of Irrigation Water Management Programme (P3TGAI), implemented in 12,000 locations with an allocation of around Rp 2.7 trillion, also serving as the largest contributor to workforce absorption.
In the connectivity sector, construction through the labour-intensive scheme focuses on building 118 suspension bridge units with an allocation of around Rp 1.07 trillion, playing a crucial role in opening access to remote areas and boosting community economic activities.
Additionally, the Community-Based Sanitation Programme (SANIMAS) is implemented in 823 locations, Sanitation for Religious Education Institutions (Sanimas LPK) in 653 locations, and Reduce, Reuse, Recycle Waste Processing Sites (TPS3R) in 56 locations.
The Ministry of PU continues to consolidate with the Ministry of Finance and Commission V of the DPR RI to ensure that IBM allocations remain intact and implementation runs effectively, efficiently, and accountably.
“We ensure that the Community-Based Infrastructure programme remains a priority, even amid budget adjustments. This is a form of the state’s presence in maintaining public purchasing power and creating jobs,” emphasised Dody.