Indonesian Political, Business & Finance News

6,604 Workers Laid Off in Central Java, Textile and Garment Sectors Dominate

| | Source: MEDIA_INDONESIA Translated from Indonesian | Economy
6,604 Workers Laid Off in Central Java, Textile and Garment Sectors Dominate
Image: MEDIA_INDONESIA

A total of 6,604 workers in Central Java have been laid off from January to the end of July 2026. The textile and garment sector was the largest contributor, accounting for 51.4 percent of total cases.

Head of the Central Java Manpower and Transmigration Office, Ahmad Aziz, stated that the thousands of affected workers came from a number of companies spread across various regencies and cities in the province.

“Up to the end of July 2026, the number of workers affected by layoffs in Central Java reached 6,604 people, spread across several companies in various regions,” said Ahmad Aziz.

Based on data from the Central Java Manpower and Transmigration Office, the textile and garment sector contributed the largest share of layoffs at 51.4 percent. It was followed by the manufacturing and children’s toy industry at 21.1 percent, the wood and furniture industry at 12.5 percent, and the false eyelash industry at 9.4 percent.

Among the companies implementing layoffs were PT Citra Busana Semesta in Sukoharjo with 920 workers, PT Combine Will Industrial Indonesia with 849 workers, PT Victory Apparel in Semarang City with 846 workers, PT Samwon Busana Indonesia in Jepara with 685 workers, PT Sas Kreasindo Utama in Tegal with 681 workers, and PT Cosmoprof Indokarya in Purbalingga with 620 workers.

The most recent case occurred at PT Victory Apparel, which is set to lay off 846 workers. Previously, PT Samwon Busana Indonesia in Jepara had laid off 685 workers at the end of July 2026.

In response to the rising number of layoffs, several regional governments are holding job fairs to expand employment opportunities for the public, including the affected workers.

Demak Regent Eisti’anah said the regency government is collaborating with 30 companies to open thousands of job vacancies. “The Demak Regency Government is partnering with 30 companies in a job fair that provides 2,480 job vacancies,” said Eisti’anah.

A similar effort is being undertaken by the Rembang Regency Government. Rembang Regent Harno said the job fair held in June-July 2026 provided 3,244 job vacancies as a measure to reduce the unemployment rate.

“Holding this job fair is an effort to reduce the unemployment rate and improve community welfare. The open unemployment rate in Rembang is currently recorded at 2.90 percent,” said Harno.

Meanwhile, Head of the Kendal Regency Industry and Manpower Office, Cicik Sulastri, said the regional government is collaborating with 30 companies and Private Job Placement Agencies (LPKS) to open 3,117 job vacancies at a job fair held last July.

“This job fair is one of the efforts to reduce the open unemployment rate in Kendal, which is currently still at 4.60 percent,” said Cicik.

Regional governments hope that holding job fairs can help absorb workers affected by layoffs while also reducing the unemployment rate in Central Java.

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