Institute for Research on Economics and Society – Faculty of Economics and Business – University of Indonesia

Presidential Instruction Number 1 of 2025 and #KaburAjaDulu – Labor Market Brief, February 2025

February 28, 2025

Just Run Away First
Two issues that are currently emerging and related to the current labor discourse are the #KaburAjaDulu phenomenon and Presidential Instruction (Inpres) Number 1 of 2025 concerning budget efficiency. #KaburAjaDulu, which reflects the trend of labor migration abroad, is getting stronger amidst domestic economic and political uncertainty. Meanwhile, the budget efficiency policy in Inpres 1/2025 can have broad implications for the labor sector, both in the form of rationalization of the workforce in the public sector and subsequent effects on investment and labor absorption in the private sector.
This brief aims to review the potential consequences of these two issues and the aspects that stakeholders need to pay attention to. Using an exploratory and data-driven approach, this paper will highlight the potential risks that may arise, while identifying opportunities that can be exploited in responding to evolving policy and labor market dynamics.

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