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From ‘ojol’ strikes to systemic dead end: The deeper crisis of Indonesia’s gig economy

Rather than serving as a steppingstone, gig work locks workers into low-paying, precarious jobs with no clear path for advancement.

Sadida Fatin Aruni and Muhammad Hatta Izzaka (The Jakarta Post)
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Wed, February 26, 2025 Published on Feb. 25, 2025 Published on 2025-02-25T14:49:55+07:00

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From ‘ojol’ strikes to systemic dead end: The deeper crisis of Indonesia’s gig economy Motorcycle delivery drivers working for Gojek, Grab and Shopee wait for a green light on Feb. 10, 2022, at a crossroads in Jakarta. (AFP/Bay Ismoyo)

T

he gig economy arrived like a revolution, offering an escape from joblessness, a promise of independence and a lifeline for millions. Platforms like Gojek were not just businesses; they symbolized breakthrough innovation, praised by policymakers and embraced by workers eager for a fresh start. No rigid schedules, no demanding bosses – just the freedom to earn on one’s own terms.

But that promise has unraveled. Today, the streets tell a different story. Protests rage on, week after week, year after year. Online motorcycle taxi drivers (also known as ojol drivers) – once the champion of Indonesia’s digital economy – now fight for fair wages, holiday bonuses and social security.

Recent drivers’ demonstrations have highlighted urgent concerns, particularly the demand for holiday allowances (THR). Drivers staged “off-bid” actions, in which they refuse to take orders, to pressure platforms like Gojek, Grab and Maxim to meet their demands. Yet, despite their persistence, solutions remain elusive.

And they are not a small group of people. Indonesia’s gig economy supports millions. A recent study estimates that there are 134 million gig workers, 53 percent in transportation. Jakarta alone has 480,000 transport gig workers, nearly 39 percent of the national total. This is not just a labor issue; it marks a fundamental shift in Indonesia’s workforce that policymakers can no longer ignore.

The tension is clear – Indonesia’s gig economy thrives, but at what cost? While these companies thrive, workers are trapped in a cycle of declining earnings and algorithmic uncertainty. The question is no longer whether the gig economy is the future, but whether it is sustainable for those powering it.

A closer look at the recent demonstrations reveals that while the gig economy once promised opportunity, for many, it has become a trap. Rather than serving as a steppingstone, gig work locks workers into low-paying, precarious jobs with no clear path for advancement.

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Take online motorcycle taxi drivers, for example. Most will remain in the same role indefinitely, unable to acquire new skills or transition into more stable careers. With grueling hours and no social protections, finding time or resources for skill development is nearly impossible. They drive today, they drive tomorrow and they drive forever.

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