ANALYSIS OF THE IMPACT OF TERMINATION OF EMPLOYMENTPT SRI REJEKI ISMAN TBK (SRITEX) AGAINST SOCIAL AND ECONOMIC STABILITY IN CENTRAL JAVA

Abstrak

This study examines the underlying factors of the bankruptcy of PT Sri Rejeki Isman Tbk (Sritex) and its implications for mass layoffs and socio-economic stability in Central Java during the 2024-2025 period. The bankruptcy verdict issued by the Semarang Commercial Court on October 21, 2024 represents the culmination of years of accumulated financial, structural, and external pressures. This led to the termination of 10,669 employees across four Sritex Group entities, with all factory operations officially ceasing on March 1, 2025. The study employs a descriptive-qualitative approach through library research, drawing on primary sources including court decisions and official employment documents, and secondary sources comprising academic journals, national media reports, and government publications. Data analysis utilizes the interactive model of Miles and Huberman. Findings reveal that Sritex's collapse was triggered by four interrelated factors: an unsustainable corporate debt burden, a surge in Chinese textile imports following trade liberalization, COVID-19-induced supply chain disruption, and deficiencies in corporate risk management governance. The resulting social impacts are multidimensional, encompassing rising regional unemployment, heightened vulnerability among female workers, disruptions to the national textile supply chain, and growing social anxiety. This study recommends reforms to manufacturing industry protection policies, strengthening the employment social security system, and establishing structured mutigation mechanisms for corporate mass layoffs.