ASIATODAY.ID, BEKASI – Indonesia’s tire industry faces a serious labor crisis.
Hundreds of workers at PT Multistrada Arah Sarana Tbk (Michelin Indonesia) in Cikarang, West Java, are at risk of losing their jobs following the company’s plan to carry out mass layoffs (PHK). The move sparked massive protests from workers’ unions and prompted the Indonesian House of Representatives to step in directly.
Thousands of workers under the Confederation of All Indonesian Trade Unions (KSPSI) staged a massive protest at the Michelin plant, rejecting what they called “unilateral and unjust layoffs.”
The demonstration, led by KSPSI President Andi Gani Nena Wea, drew around 6,000 workers from various regions demanding the company retract its decision.
“We reject unilateral layoffs! The company must honor the Collective Labor Agreement (CLA) and protect workers’ rights,” Andi Gani declared on November 3,2025.
“The government and Parliament must intervene—workers cannot be sacrificed for corporate convenience,” he added.
Parliament Conducts Surprise Inspection, Orders Layoffs to Be Halted
Amid growing unrest, Deputy Speaker of the Indonesian House of Representatives Sufmi Dasco Ahmad, accompanied by Saan Mustopa and the Parliamentary Task Force on Labor Protection, conducted an unannounced inspection at Michelin Indonesia’s factory in Cikarang.
After meeting with the management team, represented by the company’s HR Manager, Dasco instructed Michelin to suspend all layoff processes until fair negotiations are completed between the company and its workers.
“We have asked the management to temporarily halt layoffs and reinstate employees who were sent home. Every process must comply with the law and collective agreements,” Dasco said before hundreds of workers at the factory gate.
The deputy speaker also called for a tripartite negotiation between the company, trade unions, and the government to reach a fair solution.
He urged all workers to remain calm and maintain workplace stability during the ongoing discussions.
Ministry of Industry Demands Transparency and Legal Compliance
The Ministry of Industry has summoned Michelin Indonesia’s management to clarify the reasons behind the planned mass layoffs.
Ministry spokesperson Febri Hendri Antoni Arief emphasized that companies must strictly follow labor laws and uphold workers’ rights.
“Any workforce adjustment must comply with legal procedures and guarantee the protection of workers’ rights,” Febri stated in Jakarta.
He confirmed that Michelin Indonesia is facing a decline in production due to shrinking global demand, particularly from export markets such as the United States. However, he stressed that such challenges should not justify abrupt or unfair dismissals.
“We are pushing for tripartite dialogue so that every decision is transparent, just, and prioritizes workers’ welfare,” he added.
Parliament Reaffirms Commitment to Protect Workers
The inspection at the Michelin plant forms part of the Parliamentary Task Force on Labor Protection’s broader agenda to monitor industrial relations and ensure compliance with Indonesia’s labor laws.
Parliament reaffirmed its commitment to safeguard workers’ rights and mediate disputes to promote a fair and sustainable industrial climate.
“We will continue to oversee the process to ensure no worker is unfairly dismissed. Protecting labor rights remains our top priority,” Dasco concluded. (AT Network)
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