Indonesian Political, Business & Finance News

PT Victory Apparel Workers Hit by Layoffs Accuse Semarang Manpower Office of Siding with Employer

| | Source: REPUBLIKA Translated from Indonesian | Business
PT Victory Apparel Workers Hit by Layoffs Accuse Semarang Manpower Office of Siding with Employer
Image: REPUBLIKA

A total of 367 workers at PT Victory Apparel Semarang are still fighting to obtain fair severance pay. They are refusing to accept severance calculated at 0.5 times the provision stipulated in Government Regulation (PP) Number 35 of 2021, a derivative of the Job Creation Law (UU Cipta Kerja).

Lusiatun, Chair of the PT Victory Apparel Semarang Workers’ Union, revealed that 205 workers at the company have already accepted being laid off. According to her, their average length of service is between 10 and 20 years. However, most of them are not union members.

Lusiatun said the 205 workers who accepted the layoffs were only given severance pay at the 0.5 rate. Apart from severance, they did not receive other entitlements such as long-service awards.

“There are now 367 union members demanding justice with severance pay at one times the regulation for our length of service, which averages more than 19 years. In addition, we are hoping for an ex gratia payment from the company,” Lusiatun said in an interview on Monday (3/8/2026).

According to Lusiatun, the 205 workers who ultimately decided to accept the layoffs under the 0.5 severance provision were worried that if they did not accept it soon, the owner of PT Victory, who is a foreign national, could flee at any time without fulfilling their obligations.

Furthermore, Lusiatun added, the Semarang City Manpower Office (Disnaker) also assured them that PT Victory management’s efforts to fulfil the rights of laid-off workers were in accordance with PP Number 35 of 2021. “Disnaker also once said that even if it were taken to the Industrial Relations Court (PHI), the workers would definitely lose,” she stated.

Lusiatun feels that, on this issue, the Semarang City Manpower Office has not shown any partiality towards the workers. “They seem to lean more towards being pro-company,” she said.

She added that recently, the President’s Special Advisor for Employment and Worker Welfare, Said Iqbal, visited PT Victory and met with the workers there. Lusiatun was initially optimistic that Said Iqbal’s visit would help the struggle of the workers in the union.

However, it turned out that Said’s visit had no impact whatsoever. PT Victory management remained steadfast in its stance to implement layoffs under the 0.5 provision.

“I hope our demands can still be heard,” said Lusiatun.

She revealed that on Tuesday (4/8/2026), workers who have not yet signed the layoff letters will hold a mediation meeting at the Semarang City Manpower Office. Lusiatun will reiterate their demand for severance pay at the one times rate.

“If in the end there are those who still reject the 0.5 provision, we will be ready to accompany them to the Industrial Relations Court,” Lusiatun said.

View JSON | Print