Indonesian Political, Business & Finance News

This Labour President Reveals 10 Companies Preparing for Layoffs, What's Going On?

| Source: CNBC Translated from Indonesian | Economy
This Labour President Reveals 10 Companies Preparing for Layoffs, What's Going On?
Image: CNBC

The threat of redundancies (PHK) due to the impact of global conflicts is no longer just talk. The Indonesian Workers’ Confederation (KSPI) has revealed that several companies are already discussing workforce efficiency measures.

KSPI President and Labour Party figure Said Iqbal is calling on the government to respond swiftly to the situation before a wave of layoffs truly occurs.

“Stop the threat of layoffs due to war. Even though the war has a ceasefire, the consequences stem from the impact of fuel prices (BBM), and unsubsidised industries, the effects are widespread,” he said during an online press conference on Friday (10/4/2026).

Said Iqbal claimed to have received reports from several companies that are moving towards workforce efficiency steps.

“We have received reports from 10 companies in West Java, Central Java, and parts of East Java,” he revealed.

However, he declined to detail the identities of those companies as the process is still in the internal discussion stage.

“But we cannot name the companies that have started negotiations. They have begun negotiations for rationalisation or employee efficiency. It’s already happening, so this is not empty talk, no! It’s really happening,” he stressed.

He emphasised that this condition is an early signal that must be anticipated immediately by all parties, especially the government.

“There are 10 KSPI member companies that have indicated potential layoffs looking at the next three months,” he stated.

Therefore, Said urged the government not to take the potential wave of layoffs lightly, triggered by a combination of global war and import pressures.

“Therefore, regarding the issue of stopping the threat of layoffs due to war and imports, this must be addressed seriously by the government,” Said asserted.

Nevertheless, he still hopes that the worst-case scenario does not materialise. Said reiterated his push for the formation of a special task force to anticipate layoffs.

“Hopefully, layoffs do not occur. That’s why KSPI has repeatedly reminded about the PHK task force proposed by KSPI to President Prabowo; it was truly serious,” he concluded.

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