This study analyzes the legal protection of workers who become victims of mass layoffs due to company efficiency policies from the perspective of Indonesian labor law. Using a normative legal research method with a literature review approach, the study examines labor regulations, legal doctrines, judicial decisions, and international labor standards related to efficiency-based termination of employment. The results show that although efficiency is recognized as a legitimate reason for layoffs, the absence of clear legal standards creates legal uncertainty and weak protection for workers. Efficiency-based layoffs often result in unfair dismissal procedures, inadequate compensation, and weakened bargaining positions for employees. The study concludes that Indonesian labor law must balance economic efficiency with justice, legal certainty, and workers’ welfare through stronger regulations, fair procedures, and comprehensive social protection mechanisms.
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