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Labor Day Gift: Prabowo Announces Formation of National Workers’ Welfare Council and Mass Layoff Task Force

Jakarta — On International Labor Day, President of the Republic of Indonesia Prabowo Subianto announced two major policies aimed at strengthening labor protection and improving the welfare of Indonesian workers: the establishment of the National Workers’ Welfare Council and a Mass Layoff Task Force (Satgas PHK).

The announcement was made during his Labor Day address on Thursday (May 1) at the National Monument (Monas) field in Jakarta, in front of hundreds of thousands of workers from various organizations and labor confederations.

In his speech, Prabowo emphasized that these policies reflect his administration’s commitment to listening to and directly involving workers in the formulation of national policies.

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“Today, I want to give a gift to our workers. I will immediately establish the National Workers’ Welfare Council, which will consist of key labor leaders from across Indonesia. Their task will be to study the condition of workers and provide recommendations to the President: which laws are flawed and fail to protect workers, which regulations are problematic. We will immediately fix them, my brothers and sisters,” said Prabowo, greeted with loud applause from the crowd.

The President also stated that feedback from labor leaders formed the basis for creating the Mass Layoff Task Force, designed to prevent arbitrary dismissals by companies.

“Also, following suggestions from labor leaders like Mr. Said Iqbal and Mr. Jumhur, we will swiftly form a Mass Layoff Task Force. We will not allow our people… we will not allow workers to be dismissed at will. If necessary, the state will intervene without hesitation,” he asserted.

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These two initiatives represent concrete steps by Prabowo’s government to address workers’ concerns over job insecurity and the lack of legal protection in industrial relations.

Prabowo further stated that the government would accelerate deliberations on the Domestic Workers Protection Bill and the Seafarers Employment Law.

Additionally, he instructed the National Workers’ Welfare Council to comprehensively review the outsourcing system.

“I will also ask the National Welfare Council to find the best way to eliminate outsourcing as quickly as possible. But we must also be realistic—we have to safeguard the interests of investors as well,” he said.

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This year’s Labor Day commemoration marks a turning point for labor relations in Indonesia, with the government, labor unions, and businesses committed to sitting together at the same table. Prabowo even plans to convene a national dialogue between 150 labor union leaders and 150 business executives.

“I will hold a meeting at the Bogor Palace. I will bring together 150 labor leaders and 150 company leaders. We will sit down together, brothers and sisters,” he concluded.

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