ASPEK Indonesia: Labor Bill Must Prevent Mass Layoffs and Protect Severance Rights

The Confederation of Indonesian Workers' Unions (ASPEK Indonesia) has stated its view that the ongoing deliberation of the draft labor bill (RUU Ketenagakerjaan) necessitates the protection of workers' rights, particularly the prevention of mass layoffs and the guarantee of severance pay rights. While acknowledging the bill's aims to enhance labor market flexibility and attract investment, the confederation expresses concern that this process could lead to unfair dismissals or situations where workers do not receive adequate severance pay commensurate with their years of service. ASPEK Indonesia is calling for the inclusion of specific provisions in the revised bill to ensure employment stability for workers and sufficient compensation in the event of dismissal. This is considered fundamental for Indonesian workers to be protected from the impacts of economic fluctuations and to maintain stable livelihoods. The information indicates this proposal was made on August 4, 2026.