July Spotlight: What’s Happening in the HR World?

Labour Law / HR Law

US Cuts Indonesia’s Import Tariffs to 19%, Potentially Saving 1 Million Jobs

The United States has reduced import tariffs on several Indonesian products from 32% to 19%, a move seen as potentially saving up to one million jobs. This policy opens up greater export opportunities amid intense global competition and offers a breath of fresh air to labor-intensive industries such as textiles, footwear, furniture, and fisheries that heavily rely on the US market.

According to the Coordinating Minister for Economic Affairs, Airlangga Hartarto, the tariff cut strengthens the competitiveness of Indonesian products while helping to maintain job stability at home. Had the higher tariffs remained, many companies were predicted to undergo efficiency measures that could increase unemployment and suppress public purchasing power. With the new tariff, Indonesian products are now more competitive compared to those from neighboring countries like Vietnam, Malaysia, Thailand, and Laos.

However, the agreement comes with a number of reciprocal commitments, including the purchase of US-origin energy and agricultural products, as well as 50 Boeing aircraft by Garuda Indonesia. While the policy brings positive impacts for exports and job creation, the government needs to closely monitor long-term implications to avoid fiscal burdens or harmful economic dependency.

Corporate Info

7 Reasons Gen Z Is Resigning in Droves—Salary Tops the List

The trend of resignations among Gen Z continues to rise and has become a concern for many companies. According to a 2024 survey by Jakpat and GoodStats, 41% of Gen Z employees chose to resign because they felt their salary did not match their workload. However, financial reasons aren’t the only trigger. Gen Z also considers non-financial factors such as the desire for new experiences, appreciation at work, and a healthy working environment.

In addition to salary not meeting expectations, Gen Z resigns for better job offers (27%), the desire to explore new experiences (26%), and feeling underappreciated in non-financial ways. Excessive workloads, toxic work environments (23%), poor relationships with superiors (20%), unclear employment contracts, and lack of career progression (23–25%) are also major contributing factors. The survey notes that 3 out of 10 Gen Z employees only stay in one company for 1–2 years.

This phenomenon shows that Gen Z’s work loyalty is no longer measured by tenure but by how well companies can meet their expectations holistically. For businesses, understanding Gen Z’s values and priorities is crucial to building strong retention and creating a more adaptive, healthy work environment that supports individual growth.

What Is Payment ID and Its Impact on the Workplace?

Bank Indonesia has introduced Payment ID, a unique code based on the National Identity Number (NIK) that integrates all of an individual’s digital transactions—from bank accounts and e-wallets to online loans. This code aims to become a single identity within the national payment ecosystem and supports real-time, efficient, and transparent transaction monitoring.

In the world of work, Payment ID can simplify employee verification, salary distribution, and the targeted disbursement of social assistance. Companies can also manage employee financial and identity data more effectively, reduce the risk of fraud, and improve administrative efficiency in HR and finance.

Going forward, this system will impact corporate HR and financial governance by making them more digital and accountable. However, its success will heavily depend on public education, data security, and the commitment of all stakeholders to uphold privacy according to existing regulations.

Read more: 10 High-Paying Jobs You Can Get Without a College Degree

Job Vacancies at RecruitFirst Indonesia

For more details, visit the job opportunities section at the RecruitFirst Indonesia website.