Indonesia Anticipates Threats of Recession by Focusing on Labor Absorption

TEMPO.CO, Jakarta – The government chooses to focus on absorbing labor amid threats of recession this year. Coordinating Minister for Economic Affairs Airlangga Hartarto said that the government continues to maximize employment amidst frequent layoffs.

“Regarding employment, we are optimizing central regional spending for labor-intensive programs in both cities and villages,” Airlangga said during a press conference after a cabinet meeting at the State Palace, Monday, January 16, 2023.

The next step, said Airlangga, is to optimize government-to-government cooperation programs related to migrant workers. “Then there is financial inclusion, both PNM, and KUR,” said Airlangga.

The minister said that the government will also continue to boost the upskilling program or capacity building and reskilling or capacity training outside the field of expertise, one of the programs is with a pre-employment card.

Airlangga said that the directives were given directly by President Joko “Jokowi” Widodo Jokowi during a cabinet meeting held at the State Palace on Monday morning, January 16, 2023.

President Jokowi, Airlangga said, also asked his ministers to prevent layoffs using short to medium-term efforts and strategies.


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