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Indonesia Faces 55,000 Layoffs as Industrial Gas Prices Soar
🇮🇩 Indonesia /Economy & Trade

Indonesia Faces 55,000 Layoffs as Industrial Gas Prices Soar

From CNN Indonesia · () Indonesian

Translated from Indonesian, summarized and contextualized by DistantNews.

At a glance

News Named sources Context piece
  • Indonesian labor union leader Andi Gani Nena Wea warned that 55,000 workers face layoffs due to rising industrial gas prices.
  • The potential job losses primarily affect workers at ceramic factories, including Pabrik Milenium Keramik and Mulia Keramik.
  • KSPSI President Andi Gani urged the government to quickly address the issue, fearing the crisis could spread to the textile industry.

Tens of thousands of Indonesian workers are at risk of losing their jobs as a sharp increase in industrial gas prices threatens the viability of key manufacturing sectors. Andi Gani Nena Wea, President of the Confederation of All Indonesian Workers' Unions (KSPSI), warned that approximately 55,000 laborers could face layoffs within the next ten days.

Next week, within ten days at the latest, 55,000 people will be laid off. This is a concern for all of us because of industrial gas.

— Andi Gani Nena WeaPresident of KSPSI, warning about potential mass layoffs.

The immediate crisis centers on the ceramic industry, with specific concerns raised for workers at Pabrik Milenium Keramik and Mulia Keramik. Gani highlighted the dramatic surge in industrial gas costs, stating it has jumped from $6 to $23 per unit. This steep rise is crippling the ceramic factories, making it impossible for them to continue operations under the current economic conditions.

Speaking at a KSPI National Working Meeting in Jakarta, Gani directly appealed to Deputy Speaker of the House of Representatives, Sufmi Dasco Ahmad, for urgent intervention. "This is a concern for all of us because of industrial gas," Gani stated, emphasizing the dire situation. He expressed fears that if the problem is not resolved swiftly, the wave of layoffs could extend to other gas-dependent industries, particularly textiles.

This is a tragedy for all of us, which is why I ask Bang Dasco to find a quick way out of the industrial gas problem because the price of gas has gone from $6 to $23 as of today.

— Andi Gani Nena WeaPresident of KSPSI, explaining the severity of the gas price increase and seeking government intervention.

"This is a tragedy for all of us, which is why I ask Bang Dasco to find a quick way out of the industrial gas problem because the price of gas has gone from $6 to $23 as of today," Gani explained. The union leader's plea underscores the critical need for government action to stabilize energy costs and prevent widespread economic hardship for Indonesian workers.

So this is very dire. Soon the textile industry will follow, basically anything that uses industrial gas will face difficulties.

— Andi Gani Nena WeaPresident of KSPSI, expressing concern about the potential spread of job losses to other industries.
DistantNews Editorial

Originally published by CNN Indonesia in Indonesian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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