Inflasi, Upah Minimum Regional dan Pengeluaran Pemerintah Terhadap Daya Serap Tenaga Kerja

Abstract

A region's economy is good or not depends on the level absorption of labor. The object of the research is absorption of labor in the micro and small industrial sector. Micro and Small Industries (IMK) are industrial companies whose workforce consists of 1-14 people who have a relatively small turnover of 50 million to 300 million, with independent creative economic businesses carried out by individuals or business entities. The purpose research is to see the effect independent variables on the dependent variable either partially or simultaneous. The research method uses quantitative methods, with data from the Central Bureau of Statistics. The data time series is for 5 years 2016 to 2020 and cross-sectional data is provinces in Sumatra. For variables using the independent variable (X1)Inflation Rate, (X2)Regional Minimum Wage, and (X3)Government Expenditures. While the dependent variable (Y) is the level of absorption. The best model regression results, namely the Random Effect Model, found that inflation had insignificant negative effect on labor absorption in Sumatra IMK sector's, then the UMR had a significant negative effect on labor absorption in Sumatra IMK, then government spending had a significant positive effect on labor absorption in Sumatra IMK sector's and together inflation, minimum wage, and government spending affect the level of absorption in the Sumatra IMK sector. Test results for the Coefficient of Determination (R2) found that 34% of dependent variable can be explained by the independent variable using a statistical model, while 66% is explained by factors outside model.