Indonesia Extends One-day Weekly Work-from-home Policy for Civil Servants

JAKARTA:
Indonesia has extended its one-day-a-week work-from-home policy for civil servants until the end of September after reviewing its implementation over the past two months, the head of the Government Communications Agency, Muhammad Qodari, said in a statement on Wednesday.

Qodari said the policy is part of the government’s efforts to reform the bureaucracy, improve operational efficiency and save energy. He added that its implementation will continue to be evaluated based on organisational performance and the quality of public services.

Each government institution will determine how the policy is implemented, while essential public services, including healthcare, education, civil registration and licensing, will continue to operate normally on every working day, he said, Xinhua news agency reported.

Meanwhile, the country’s Manpower Minister Yassierli said in a statement on Wednesday that Indonesia is promoting a skills-first labour market to better align workers’ competencies with rapidly changing industry demand.

Yassierli said that employers increasingly prioritise practical skills over formal qualifications as industries evolve faster than the labour market can supply suitably qualified workers.

“The labour market today is looking for skills, and I believe a skills-first approach is one of the keys to ensuring we remain competitive,” he said.

Yassierli said that closer government-industry cooperation will improve Indonesia’s competitiveness and economic resilience amid growing global challenges

The official data from Statistics Indonesia (BPS) showed on Wednesday that Indonesia’s economy expanded 5.29 per cent year on year in the second quarter of 2026, with Gross Domestic Product (GDP) at constant prices reaching 3,576.2 trillion rupiah (about 199 billion US dollars).

GDP at current prices stood at 6,552.1 trillion rupiah during the April-June period.

Indonesia, Southeast Asia’s largest economy, is seeking to accelerate investment, industrial development and domestic consumption as part of President Prabowo Subianto’s goal of raising annual economic growth to eight per cent by 2029.