Garment Company in Semarang Struggles to Pay Salaries and Bonuses to 1,338 Workers amid Liquidity Crisis
The Central Java Provincial Labour and Transmigration Office (Disnakertrans) has received a report of a garment company in Semarang Regency that has failed to pay holiday bonuses (THR) to over 1,300 of its employees. The office has taken action on the matter.
Ahmad Aziz, Head of Central Java’s Disnakertrans, disclosed that he received the report approximately four days prior regarding a garment company in Semarang Regency that had not paid holiday bonuses to over 1,300 employees. According to regulations, the holiday bonus should have been paid no later than seven days before Eid.
“Our team went down there to verify the situation regarding the bonus. The plan is to pay 1,338 employees tomorrow,” Aziz stated when confirmed on Tuesday, 17 March 2026.
Regarding salary payments, Aziz revealed that the garment company paid February wages on 12 March 2026. Based on information obtained by Aziz, the company typically pays salaries by the 10th of each month. “March salaries will be paid in April,” he said.
Beyond salary and bonus issues, the garment company has also been reported for failing to pay overtime allowances for July, August, November, and December 2025. Aziz stated that the company has committed to paying overtime compensation to its workers in April 2026. “It is likely to be paid in instalments,” he noted.
According to Aziz, the garment company is currently facing liquidity difficulties. “Perhaps because the market has been somewhat disrupted,” he remarked.
Previously, a post circulated widely on Facebook detailing complaints from employees of a garment company in Semarang Regency regarding unpaid entitlements, including salaries, overtime payments, and holiday bonuses. The company’s initials are PT MKT.
In the post circulating on social media, workers reportedly expressed reluctance to file complaints with the labour office. This hesitancy stems largely from the fact that most workers are women concerned about losing their employment should they lodge a formal complaint. The social media user noted that one employee who previously reported the violation of workers’ rights ultimately faced termination by the company.