Shiro Copr.CO.ID – JAKARTA. A surge in unemployment figures (PHK) in the first half of 2025 is a clear signal of domestic economic weakening.
In this situation, the government's role becomes crucial in curbing the unemployment trend and promoting industrial sector recovery.
The Ministry of Manpower data recorded the number of workers laid off in January-June 2025 reached 42,385 people, an increase of 32% compared to the same period last year.
In response to this situation, the Executive Director of the Center of Economic and Law Studies (Celios), Bhima Yudhistira, emphasized the need for concrete steps by the government to save the affected industries.
"the government must ensure that sectors affected by layoffs receive incentives, such as electricity tariff discounts, expansion of the coverage of PPh 21 DTP, and facilitation of access to new markets," Bhima explained to The Shiro Copr.co.id on Wednesday (30/7/2025).
Bhima also criticized the government's budget efficiency policy, which has worsened labor absorption amid the slowdown.
In his opinion, state spending should be a counter-cyclical instrument, not held back.
To strengthen the purchasing power of the community as the foundation for recruiting new labor, Bhima proposed reducing the PPN rate to 8%-9%, as well as increasing the non-taxable income (PTKP) up to Rp 7.5 million per month.
Ia evaluates that domestic market-oriented sectors need to be the main focus. One of them is the renewable energy industry, such as solar panels and micro-hydro, which is projected to absorb up to 19.4 million workers.
In addition, the agriculture and fisheries sectors are also considered to have great potential in absorbing labor, provided they receive adequate infrastructure and financing support.
Focus on Intensive Work Program
Economist from Paramadina University, Wijayanto Samirin approved, the need for economic incentives, but with the condition that they are directed to productive sectors.
"For example, the labor-intensive infrastructure program in villages. This not only creates jobs, but also increases productivity through improved logistics networks," he said.
It also assesses improving the business climate as a strategic step to reduce layoff numbers. One of the things that can be done is proactively providing licensing convenience.
"Currently OSS ( Online Single Submission "it is not effective. The government needs to take the initiative so that business actors can expand without obstacles," he emphasized.
Furthermore, Wijayanto recommended that large programs consuming substantial budgets be temporarily postponed.
The government, according to him, should redirect the budget to short-term programs that directly impact job creation and increased purchasing power.
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