Layoffs Surge to 88,519 in 2025, West Java Hit Hardest

JAKARTA, Investortrust.id — Indonesia records a sharp rise in layoffs in 2025, with 88,519 workers losing their jobs nationwide as economic pressure intensifies across export oriented sectors and global uncertainty weighs on domestic businesses.

The figure is compiled by the Ministry of Manpower using data from the Employment Data and Information Technology Center and reflects participants registered under the Job Loss Insurance program of BPJS Ketenagakerjaan.

Compared with 2024, total layoffs increase by 10,554 workers from around 77,000, while the longer term trend shows a near fourfold jump from 25,114 cases recorded in 2022.

Director General for Industrial Relations and Labor Social Security at the Ministry of Manpower Indah Anggoro Putri says external pressure is the main driver behind the surge.

“Export import pressure is unavoidable, because from early 2025 through the first half, global conditions remain highly dynamic with geopolitical tensions and wars,” Indah says when met at the House of Representatives complex in Jakarta on Wednesday, Jan 21, 2026.

.

She says weakening global trade has narrowed business capacity, particularly for industries closely linked to international markets.

Indah stresses that the rising trend of layoffs cannot be addressed by a single institution, as labor issues are influenced by cross sector factors that require coordination among ministries and agencies.

To mitigate the impact of layoffs and strengthen workforce competitiveness, the government runs several programs, including a national internship scheme for fresh graduates that absorbs around 100,000 participants throughout 2025.

The government also involves labor unions in workforce training programs, a measure that will be expanded in 2026 to enhance worker skills and broaden employment absorption across sectors.

Regionally, Java remains the epicenter of layoffs, with West Java recording the highest number at 18,815 workers.

Central Java follows with 14,700 layoffs, while Banten posts 10,376 cases, reflecting sustained pressure on manufacturing and industrial hubs.

Jakarta sees 6,311 workers affected, followed by East Java with 5,949 cases.

Outside Java, South Sulawesi records 4,297 layoffs, East Kalimantan 3,917, Riau Islands 3,265, West Kalimantan 2,577, and Riau 2,546.

The regional spread indicates that labor market stress is no longer concentrated solely in major industrial centers, but is increasingly affecting a wider range of provinces.