ILO and EU launch report on trade impact on jobs in Indonesia

The International Labour Organization (ILO) with the support of the European Union (EU) has today launched a report, examining issues related to trade and employment in Indonesia. The report underlined that the impact of trade on employment in Indonesia presents potential opportunities but could also be a concern for the country.

Press release | Jakarta, Indonesia | 04 July 2013
JAKARTA (Joint Press Release ): The International Labour Organization (ILO) with the support of the European Union (EU) has today launched a report, examining issues related to trade and employment in Indonesia. The report underlined that the impact of trade on employment in Indonesia presents potential opportunities but could also be a concern for the country.

The report, entitled “Trade and Employment: Country Report for Indonesia”, draws on the studies conducted by the ILO-EU Project “Assessing and Addressing the Effects of Trade on Employment (ETE)” as well as discussions held during the meetings of the ETE Policy Working Group in Indonesia, which includes representatives of the Government, labour unions and business community.
The report recognises the impact that trade and particularly exports have in Indonesia's economic growth, and the importance of increasing their value-adding in order to sustain this trend. 


The report recognises the impact that trade and particularly exports have in Indonesia's economic growth, and the importance of increasing their value-adding in order to sustain this trend. It stresses the need for Indonesia to take appropriate measures to mitigate the adjustment costs of trade liberalisation, emphasising the need for additional policies to improve the country’s supply capacity, which would require a significant improvement in physical infrastructure, higher labour productivity and better economic governance.

“We hope that the findings of this report will be of great interests, especially to policy makers and social partners in Indonesia. We also hope that this report could pave the way for useful discussions and contributes to policy reform for inclusive and job-rich development in Indonesia,” said Michiko Miyamoto, the Deputy Director of ILO in Indonesia.

"Eight million people entered Indonesia's labour market just over the last six years. With such rapidly growing workforce it is crucial to focus on job opportunities, skills development and productivity gains to ensure growth is inclusive and sustainable. Trade and Investment can be important drivers to advance this further," added Andreas Roettger, the Head of Economic Cooperation from the EU Delegation to Indonesia, during the launch of the report.

The launch also marked the end of the ILO-EU’s ETE Project in Indonesia. During the past four years, the Project has provided analysis and tools to support the formulation of effective and coherent trade and labour policies. It has done so through the completion of studies, by conducting training for Indonesia Government officials, labour unions and business representatives and by facilitating the policy dialogue between these key stakeholders in labour issues.

Participating in the launch of the report were several speakers and discussants, among others: Rahma Iryanti, Director of Employment of the Ministry of National Development Planning (Bappenas), Djuharsa, Head of Research and Information of the Ministry of Manpower and Transmigration, Said Iqbal, President of KSPI, Anton Supit, Chair of the Indonesian Employers’ Organization (Apindo), Peter McCawley, trade and employment expert from SEADI, and Padang Wicaksono from University of Indonesia.

For further information, please contact:

Mr Lucky Lumingkewas
Project Officer of the ILO’s ETE Project
Tel.: +6221 391 3112 ext. 135
Email

Ms Gita Lingga
Media Relation Officer
Telp.: +6221 391 39112 ext. 115
Email