Indonesian Political, Business & Finance News

Civil Servants and Private Employees to WFH Once a Week, This Businessman Warns

| Source: CNBC Translated from Indonesian | Regulation
Civil Servants and Private Employees to WFH Once a Week, This Businessman Warns
Image: CNBC

Jakarta, CNBC Indonesia - The policy of working from home (WFH) one day per week is not expected to automatically turn into a trend of long weekends that boosts tourism activity. Business actors instead see the more dominant impact as a decline in economic activity and people’s purchasing power.

Secretary General of the Indonesian Hotel and Restaurant Association (PHRI), Maulana Yusran, said that the assumption that WFH will encourage people to go on holidays needs to be viewed more realistically.

“Look, on the surface it might seem like a long weekend (extended holiday) that can be used for travelling. But we have to remember that this activity will definitely impact people’s purchasing power. So it’s not automatic that with the WFH holiday on Friday, Saturday, Sunday, people will definitely go travelling,” said Maulana to CNBC Indonesia on Sunday (12/4/2026).

According to him, only certain groups like government employees or civil servants (ASN) with relatively stable incomes are likely to travel. Meanwhile, private sector employees face pressures that limit their spending room.

“Except for government employees… during COVID-19, government employees weren’t affected in terms of income, right? The ones impacted were the private sector. Once the market disappears, their purchasing power vanishes immediately. Because their employment conditions decline directly. Unlike SOEs or ASN, they might still be able to go travelling. Considering the conditions won’t be the same as normal,” he explained.

He added that the long weekend trend amid the WFH scheme, if it emerges, would only be temporary and not sustainable.

“For the private sector, I’m a bit doubtful that they can switch to travelling. Maybe at the beginning yes, but later on it might get heavier and heavier if this continues longer,” he stressed.

Furthermore, Maulana emphasised that the main impact of the WFH policy is the reduction in economic activity that serves as the source of people’s income.

“If I say, WFH actually means there’s economic activity where businesses or markets decline. That’s what really needs to be protected. If it decreases further, new problems will arise there, because many people work because of that economic activity,” he asserted.

The restaurant and cafe sector, said Maulana, is one of the most affected due to reduced worker mobility.

“Yes, one sector that will definitely be impacted is cafes and restaurants. Because with the WFH policy, the activity isn’t absolute. They have to go to the office, right? Well, that certainly means the food and beverage market side will decrease,” said Maulana.

In agreement, Secretary General of the Indonesian Young Entrepreneurs Association (HIPMI), Anggawira, emphasised that WFH should not be interpreted as additional holiday time.

“There is indeed a concern that WFH could be exploited by some as a long weekend or to reduce work productivity. Therefore, companies need to implement clear work targets, measurable output measurements, and performance-based monitoring, not just attendance,” said Anggawira when contacted separately.

“So WFH should not be understood as holidaying while working from home, but still working with a different pattern,” he continued.

He stressed that performance-based supervision is key to ensuring the WFH policy maintains productivity and is not misinterpreted as a long weekend.

Previously, the government officially implemented the one-day-per-week WFH policy for civil servants (ASN), every Friday starting 1 April 2026. This policy was taken as an anticipatory step against the ripple effects of the conflict in the Middle East, which has triggered global energy price volatility.

Coordinating Minister for the Economy, Airlangga Hartarto, said the policy is part of the national work culture transformation.

“Implementation of WFH for ASN in central and regional offices one working day every Friday,” said Airlangga during an online press conference on Tuesday night (31/3/2026).

Meanwhile, on Wednesday (1/4/2026), the Minister of Manpower (Menaker) Yassierli stipulated that private workers, SOEs, and regional SOEs also follow the one-day-per-week WFH policy, but it is in the form of a recommendation.

“The implementation of WFH does not reduce annual leave. Workers or labourers carrying out WFH must still carry out their duties and obligations,” said Yassierli during a press conference at his office in Jakarta.

He also emphasised that several sectors are exempt from this policy, such as health, energy, industry, transportation, as well as food and beverages, to maintain operational continuity and public services.

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