West Java Governor Dedi Mulyadi: Mass Layoffs in Garment Industry Part of Business Cycle

West Java Governor Dedi Mulyadi has stated that the phenomenon of mass layoffs in the garment industry due to production shutdowns is part of the business cycle. However, he said, job opportunities in other industries in West Java remain wide open. “Garments are always a problem. The sector is usually labour-intensive. Labour-intensive companies are generally like that,” Dedi said when met in Cimahi on Tuesday.

Dedi’s statement came after news of mass layoffs of workers at PT Namnam Fashion Industries on Jalan Mahar Martanegara, Cigugur Tengah, Cimahi Tengah, went viral on social media. In the video, workers were seen crying and embracing each other after losing their jobs.

Dedi explained that garment companies that have reached break-even point may choose to relocate production to other areas with cheaper labour costs. “If it has reached break-even point and there is another place with cheaper labour, it usually moves. That has happened everywhere,” Dedi said.

This situation differs from capital-intensive industries, which tend to have a long-term investment character. Workers in the garment sector need to understand that industrial locations change over time. “So, they do not make this company permanent like a capital-intensive industry. If there is a labour-intensive garment sector industry, one must be careful that within a cycle of several decades, it will certainly close,” Dedi noted.

On the occasion, Dedi assured that workers have access to new employment. He mentioned that many job opportunities are currently available in West Java, especially in industrial estates that continue to develop in several areas. “There are also many new jobs today. Many job opportunities are open in West Java. Today, industries are starting to grow, industrial estates are starting to grow,” Dedi said.