Competent workers are essential for the industrialization of Indonesia
Minister of Labor (Menaker) Yassierli emphasized that competent workers are crucial for strengthening industrialization and the economic independence of Indonesia.
According to him, the downstream agenda, the strengthening of national industry, and food and energy security require a competent workforce capable of creating added value domestically.
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The Minister of Labor made this statement during the ceremony commemorating the 81st anniversary of the independence of the Republic of Indonesia at Kemnaker Square in Jakarta on Monday, August 17, 2026.
The Minister stated that independence offers Indonesia the opportunity to chart its own course. Therefore, economic development must remain focused on strengthening the nation’s capacity to manage its potential and resources, while simultaneously improving community well-being.
“There is no downstream development without skilled people, no industrialization without competent workers, and no economic independence without the strength of the Indonesian workforce,” said Yassierli.
To realize this agenda, the Minister of Labour outlined four key points of the ministry: developing competent workers ready for change, building a flexible labour market, creating an inclusive working environment, and strengthening harmonious and flexible labour relations.
First, the Ministry of Labour continues to strengthen the development of competent workers through vocational training, internships, competency certification, and synergy with the business community and industry.
The developed competencies must align with the needs of the industry and prepare workers for digitalisation, artificial intelligence (AI), automation, the energy transition, and new industrial developments.
“We must become increasingly better at recognizing changing industrial needs so that our education system does not always lag behind. For ultimately, industrial sovereignty requires competency sovereignty,” he said.
Second, the Ministry of Labour continues to strengthen a flexible labour market through labour market information services, job matching, internships, and strengthening retraining and upskilling. According to data from Sakernas, approximately 148 million Indonesians were employed in May 2026, with an open unemployment rate (TPT) of 4.65 percent.
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“The labor market must be able to match people seeking work more quickly and accurately with jobs that align with their competencies,” stated the Minister of Labor.
Thirdly, the Ministry of Labor continues to work on an inclusive labor market by increasing opportunities for everyone to acquire competencies and find decent work.
Fourthly, the Ministry of Labor is strengthening regulations and labor relations so that industrial progress goes hand in hand with higher productivity and better well-being for workers.
According to the Minister of Labor, industrial strength must ultimately translate into higher productivity, greater competitiveness, and better well-being for workers.
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Therefore, every employment program must yield tangible benefits for the community, ranging from acquiring competencies to securing employment and improving well-being.
“It is our task to improve their trajectory: from learning to competence, from competence to finding work, from work to increased productivity, and from productivity to a more prosperous life,” he concluded. ***REL
