Indonesia’s labor market saw significant growth as the country added 1.44 million jobs between August 2025 and August 2026, according to national employment statistics. This increase brought the total number of employed individuals to 147.99 million, showcasing a positive trend in employment within the nation.
The country’s labor force expanded to 155.37 million over the same period, marking an increase of approximately 1.37 million people. Agriculture remained the largest sector for employment, with 28.20% of the workforce engaged in this industry. Wholesale and retail trade accounted for 17.86% of jobs, while manufacturing employed 13.75% of workers.
Despite the overall growth in employment, Indonesia’s labor force participation rate experienced a slight decline, standing at 70.33% in August 2026, down from 70.59% the previous year. Male participation was significantly higher at 84.16%, compared to 56.37% among female workers.
In addition to the increase in employment, the unemployment rate in Indonesia improved. The number of unemployed individuals decreased by 77,000, resulting in a total of 7.38 million unemployed people. This brought the national unemployment rate down to 4.75%, a 0.09 percentage point reduction from August 2025.