Indonesian Textile Association Calls for Balanced Implementation of New Regulation

Concerns Over Government Regulation No. 49/2025

The Indonesian Textile Association (API) is urging the government to carefully consider the implementation of Government Regulation (PP) No. 49/2025, issued on December 17, 2025. While the regulation aims to protect workers' interests, API warns that a one-sided approach could have negative consequences for businesses and ultimately lead to job losses and reduced employment opportunities.

Balancing Worker Protection and Business Sustainability

API Director Danang Girindrawardana, who is also a council member of Apindo (Indonesian Employers' Association), stressed that maintaining workers' purchasing power is crucial. However, he emphasized that business resilience must also be considered as employers are the ones directly providing jobs, not the government. Girindrawardana warned that if the government focuses solely on workers' interests without considering the impact on businesses, it could lead to reduced workforce and layoffs.

Key Considerations for Implementation

The regulation, while well-intentioned, requires careful implementation to avoid unintended consequences. API suggests that the government should strive for a balanced approach that considers both the welfare of workers and the sustainability of businesses. This balanced approach is crucial in maintaining a healthy employment ecosystem in Indonesia's textile industry, which is a significant contributor to the country's economy.