Legislator Warns of Hidden Unemployment and Poverty Threat in Jakarta
The Democratic Party–Perindo faction of the DKI Jakarta Provincial House of Representatives (DPRD) has reminded the DKI Jakarta Provincial Government not to focus only on positive macroeconomic achievements. Behind the economic growth and low poverty rate, challenges remain regarding the quality of jobs and the economic vulnerability of the community.
Deputy Chair of the Democratic–Perindo faction at the DKI Jakarta DPRD, Neneng Hasanah, stated that Jakarta’s employment conditions need closer scrutiny even though the Open Unemployment Rate in August 2025 was recorded at 6.05 per cent, with the number of working residents reaching 5.18 million people.
According to Neneng, formal sector employment growth actually slowed from 4.87 per cent to 1.63 per cent, whilst informal sector employment grew by 3.68 per cent.
“Formal sector employment growth decelerated from 4.87 per cent to 1.63 per cent, whilst informal sector employment actually grew by 3.68 per cent,” Neneng said during a DKI Jakarta DPRD Plenary Meeting on Thursday.
She assessed that this condition shows new jobs are still largely being created in the informal sector, which offers lower job security and social protection. Consequently, some residents face economic risks despite being employed.
Neneng stated that young people entering the workforce are among the most affected, as they face increasingly intense competition amid rapidly changing skill requirements. Therefore, the Democratic–Perindo faction is urging the DKI Provincial Government to ensure that job training, competency certification and apprenticeship programmes genuinely enhance labour absorption.
“The success of employment programmes must not be measured solely by the number of participants, but must be gauged by how many participants successfully secure employment after completing the programme,” she asserted.
Beyond employment issues, Neneng also highlighted the potential for hidden poverty in Jakarta. Although the poverty rate in September 2025 was recorded at 4.03 per cent, lower than the national average of 8.25 per cent, many residents still live around the poverty line.
She explained that Jakarta’s poverty line has reached Rp897,768 per capita per month, an increase of 28.69 per cent compared to 2021. Of that amount, approximately 69.30 per cent is used to meet food needs.
“Many residents live just slightly above the poverty line and are very vulnerable to being pushed back into poverty when facing staple food price hikes or job losses,” Neneng stated.
The Democratic–Perindo faction also requested that the DKI Provincial Government strengthen staple food price controls and improve the effectiveness of social protection programmes. According to Neneng, the assistance provided must be targeted effectively to protect community groups vulnerable to economic pressures.