Indonesian Political, Business & Finance News

Thousands of garment workers in Central Java face layoffs, government intervention urged

| Source: ANTARA_ID Translated from Indonesian | Economy
Thousands of garment workers in Central Java face layoffs, government intervention urged
Image: ANTARA_ID

“If a company can still be saved, then it must be saved.”

Jakarta (ANTARA) - Said Iqbal, the President’s Special Advisor for Labour and Workers’ Welfare, has said the government must act quickly so that thousands of workers in Central Java’s garment industry do not lose their jobs and companies can maintain their operations.

“If a company can still be saved, then it must be saved. If government policy intervention is needed, the state must be present,” said Said Iqbal in Jakarta on Wednesday.

Said Iqbal revealed there is potential for a wave of redundancies (PHK) at two garment and textile companies in Central Java Province, which could affect almost 1,500 workers.

He received the information from the Central Java Labour Union. According to preliminary reports, PT Victoria Apparel in Semarang City, a company with investors from China, is suspected of potentially dismissing around 800 workers.

Meanwhile, PT Samwon in Jepara Regency, a company with investors from South Korea, is reported to be planning to lay off around 670 workers.

Said Iqbal therefore affirmed he would immediately report these developments to the head of the Redundancy Task Force, Minister of State Secretary Prasetyo Hadi. The report will also be forwarded to Deputy Speaker of the House of Representatives Sufmi Dasco Ahmad and Deputy Speaker Cucun Ahmad Syamsurijal as part of coordination efforts to handle the potential redundancies.

“I will report this problem to the head of the Redundancy Task Force so that rescue steps can be taken immediately. The state must be present when companies face difficulties and workers risk losing their livelihoods,” he said.

Said Iqbal also announced that on Monday, 27 July 2026, he will make a working visit to PT Victoria Apparel in Semarang City and PT Samwon in Jepara Regency to gain a comprehensive picture of the companies’ conditions and seek the best solutions together with management, trade unions, and regional governments.

He stressed that, in line with President Prabowo Subianto’s instructions, the government’s main priority is preventing redundancies from occurring.

“The business world must keep running, but workers must also be protected from dismissal,” he said.

View JSON | Print