A much-needed balance
The government must recognize that economic growth should not be a choice between protecting workers and giving businesses room to grow; it must accommodate both.
In Indonesia, the government must find a balance between economic growth and worker protection, experts say. A new manpower protection bill passed last week reflects this balance, following a 2024 Constitutional Court ruling requiring a new law within two years. Drafts of the bill have circulated for months, but the final version remains unpublished.
Early indications suggest the bill favors workers, according to Iqbal, chairman of the Confederation of Indonesian Trade Unions and the Labor Party. Over 80 percent of labor union proposals were adopted in the bill, marking a shift from the previous law, which favored businesses. Key changes include limiting outsourcing to non-core business services and granting outsourced workers employee status, ensuring they receive minimum wage, severance pay, and potential permanent recruitment.
Written by urgent.news from The Jakarta Post's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.