BPS Breaks Down the Different Types of Unemployment in Indonesia

6 hours ago 4

TEMPO.CO, Jakarta - Indonesia's Central Statistics Agency (BPS) recorded the open unemployment rate (TPT) in February 2025 at 4.76 percent. This means that for every 100 people in the workforce, five are unemployed. The figure decreased by 0.06 percentage points compared to the previous February.

Referring to the official statistical news of BPS Number 44/05/Th. XXVIII on the Indonesian Employment Situation in February 2025, dated May 5, 2025, The TPT is an indicator that measures the labor force not absorbed by the labor market, illustrating underutilization of the labor supply.

Furthermore, based on the Booklet of the National Labor Force Survey in February 2025, TPT illustrates the proportion of the workforce without a job, actively seeking employment, and willing to work. Meanwhile, the unemployed are residents who are not employed, are actively seeking work, and are available to work.

Specifically, open unemployment in the National Labor Force Survey according to BPS is classified into several types, including residents who are not working and seeking employment; residents who are not working and preparing a business; residents who are not working and not seeking employment because they feel it is impossible to get a job (hopeless); and residents who are not working and not seeking employment because they have been accepted for a job, but have not started working.

Furthermore, BPS also uses the term underemployment, which refers to residents who work fewer than 35 hours per week and are still seeking employment or are willing to accept employment. These underemployed individuals are classified as part-time workers.

In addition to working fewer than 35 hours per week, residents are considered underemployed if they voluntarily seek additional employment to increase their working hours; They either want a job with longer working hours or they are willing to accept additional employment.

In February 2025, the number of underemployed individuals in Indonesia reached 11.67 million. This figure represents 8 percent of the total working population and 7.62 percent of the total labor force.

"About 8 out of 100 labor force are underemployed," BPS wrote in the Booklet of the National Labor Force Survey in February 2025.

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