Indonesia is officially set to face recession after two-quarters of negative economic growth. It’s feared that a recession will further increase the number of workers who are laid off across Indonesia.
“Due to COVID-19, many businesses have reduced work hours, by an average of 32.6%. As many as 17.6% of workers have been dismissed without pay. 12.8% of workers have been laid off temporarily,”
said Rosan Roeslani, General Chairman of the Chamber of Commerce and Industry.
“6.45% of individuals who have been laid off have only been paid partially. Meanwhile, 3.69% of workers have been fired with full pay,” he continued.
The Chamber of Commerce and Industry reported that several strategies have been put in place to prevent companies from firing so many workers or ensure they are let off fairly. “As liquidity is still small, if you are laid off, you have to pay severance pay. We are building an effective market network chain to ensure businesses do this,” he said.
Furthermore, the chamber is working on increasing creativity and innovation amidst the COVID-19 pandemic. Human resources are being encouraged to be more creative and adaptable in the current situation.
Source: Oke Finance
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