Regional Minimum Wage Research Articles

Analysis of The Influence of Population Number and Regional Minimum Wage on Unemployment in Central Kalimantan

This study aims to examine the impact of population and regional minimum wages on unemployment in Central Kalimantan. Understanding the factors influencing unemployment is crucial for policymakers, particularly in regions with unique economic and demographic challenges like Central Kalimantan. The research uses data from the period 2011-2023, applying Multiple Linear Regression Analysis to investigate the relationship between population (X1), regional minimum wages (X2), and unemployment (Y). Classical assumption tests, including normality, multicollinearity, autocorrelation, and heteroscedasticity, were conducted to ensure the validity of the regression model. The findings indicate that neither population nor regional minimum wages significantly affect unemployment in Central Kalimantan. These results suggest that other factors may play a more significant role in determining unemployment in the region, providing a basis for future research to explore additional variables and more complex interactions affecting regional unemployment rates.

Implementation and Constraints of Minimum Wage Regulations for Informal Sector Workers in Semarang Regency

Minimum wage rules were created as a safety net for employers to provide a living wage for their workers. However, in reality this rule is difficult to implement in the informal sector. Based on the research location in Semarang Regency, the purpose of this study is to determine and examine the implementation of minimum wages, determine and examine the obstacles in implementing regulations regarding minimum wages, and explain the form of legal protection provided by the government to guarantee adequate wages for informal sector workers in Semarang Regency. The research approach method used is socio-legal and applies analytical descriptive research specifications. The results of the study show that the rules regarding minimum wages have not been enforced in the informal sector. This obstacle is caused by 3 aspects. For example, from the aspect of workers, there are informal sector workers whose competence is below that of formal sector workers. From the aspect of employers, the provision of wages is highly dependent on business income. From the government's side, there is a distinction in the imposition of rules regarding minimum wages where minimum wage rules only apply in the formal sector. So that the form of legal protection for informal sector workers is non-existent. The only effort is to provide assistance and law enforcement if there has been a case of violation of the rights of informal sector workers.

Empowering Communities to Reduce Dependence on Unlicensed Mining and Minimize Corporate Losses: A Case Study of PTBA in December 2023

This study aims to analyze the impact of community empowerment programs on reducing dependence on unlicensed mining and to measure the potential losses incurred by PTBA due to these activities. The time sample used in this research is December 2023. A quantitative approach is used to calculate the income earned by the community from six empowerment programs, including bamboo downstream processing, snakehead fish farming, reclamation plant cultivation, maggot farming, quail farming, and eel farming. The total income generated by these programs for 93 beneficiaries reached USD 13,238.22 per month, with an average income per program ranging from USD 153.70 to USD 244.39, which remains below the regional minimum wage (UMR) of Muara Enim Regency, set at USD 233 per month. This income is compared to assess how competitive the alternative livelihoods provided by the empowerment programs are. In addition, this study calculates PTBA’s losses from unlicensed mining in the same month, based on the extraction of 0.175 million tons of coal, the market price of USD 58.28 per ton, and the lost royalties of 8%. The total financial loss reached USD 10.2 million, with USD 815,920 in lost royalties. The analysis underscores the importance of expanding and strengthening community empowerment programs to further reduce unlicensed mining activities, while also mitigating the financial and environmental impacts on the company.

Unveiling nurses' perspectives on decent work: A qualitative exploration.

This study explores nurses' perspectives on the concept of "decent work" and the factors influencing their viewpoints. This qualitative study employed a conventional content analysis approach using face-to-face interviews. In-depth interviews were conducted with 20 registered nurses at two tertiary hospitals in Hangzhou, China, from October to November 2023. Decent work for nurses refers to their engagement in a profession within a secure, fair, and friendly practice environment where they could receive respect, support, reasonable compensation, social security, and opportunities for career development, all of which could enable nurses to recognize their intrinsic values and achieve a state of professional and personal fulfillment. Key factors that influence decent work for nurses include the work environment, societal perceptions, and individual characteristics. The concept of decent work holds paramount importance for nurses, necessitating collaborative efforts at the individual, family, institutional, and societal levels to promote the professional dignity of nurses and enhance the quality of nursing care. Policymakers should establish regional minimum wage standards for nurses, promote flexible scheduling, and support professional development through subsidized training programs. Additionally, national media campaigns and comprehensive mental health support can enhance the public image and resilience of nurses, respectively, improving their decent work perception.

The management and evaluation of flats retribution rates in Surakarta City, Indonesia

PurposeSurakarta needs to evaluate its flat management as the most populous city in Central Java, Indonesia. This study examines the implementation of flat management in Surakarta City and evaluates and recommends the appropriate flat retribution rate.Design/methodology/approachThis study used the analytical descriptive method to explain the problems in managing flats in Surakarta City. The data were obtained through a review of existing regulations and in-depth interviews with the flat residents and managers. The proposed retribution tariff for flats is calculated with a market approach through a comparison with neighboring cities and/or districts adjusted to the regional minimum wage to accommodate the residents’ ability to pay.FindingsBased on the results of interviews and a review of regulations, problems were identified in the management of flats in Surakarta City. A comparison of levy rates with surrounding districts led to a proposal for new levy rates, which were divided into two tariff groups based on the characteristics of flats in Surakarta City.Research limitations/implicationsThe result of this study is a suggested retribution tariff derived from an economic framework that has yet to be validated by assessing the flat residents' willingness to pay.Originality/valueThis paper complements previous studies on the management and financing of flats by more in-depth evaluating the current tariffs and providing recommendations for appropriate tariffs.

Pengaruh PDRB dan Upah Minimum Provinsi Terhadap Kemiskinan dan IPM di Provinsi-Provinsi Indonesia

Public welfare is the ultimate goal of every economic development. HDI as an indicator of welfare in Indonesia continues to increase from year to year, but is very volatile. The province with the highest HDI points is DKI Jakarta province and the lowest is Papua Province. This shows that the increase has not occurred significantly and there are still disparities in several provinces in Indonesia. This research aims (1) To analyze the direct influence of GRDP and minimum wages on poverty in Indonesian provinces in 2018-2022. (2) To analyze the influence of GRDP, minimum wage and poverty directly on HDI in Indonesian provinces in 2018-2022. (3) To analyze the influence of GRDP and minimum wages on HDI indirectly through poverty in Indonesian provinces in 2018-2022. This research uses secondary data obtained from BPS publications during 2018-2022, with a total of 170 observation points. The data analysis technique used is path analysis with the help of EViews 10 software. The results of the study indicate that PDRB has a significant negative direct effect on poverty, Provincial Minimum Wage has a significant positive direct effect on poverty, both PDRB and Provincial Minimum Wage have a significant positive direct effect on the HDI, and poverty has a significant negative direct effect on the HDI. Poverty is not an intervening variable in the relationship between PDRB and the HDI, but it is an intervening variable in the relationship between Provincial Minimum Wage and the HDI. The implications of this research are that successful economic policies must integrate increases in Gross Regional Domestic Product (GRDP) and Minimum Wage as primary strategies to reduce poverty levels and enhance the Human Development Index (HDI) in Indonesian provinces. Significant increases in GRDP contribute to poverty reduction by evenly distributing economic benefits to disadvantaged groups. Meanwhile, strengthened Minimum Wage policies can elevate worker incomes, bolster purchasing power, and improve access to education and healthcare, thereby potentially boosting HDI. Prioritising poverty reduction is crucial for enhancing overall quality of life, thereby creating better conditions for economic growth and social welfare at the provincial level

Pengaruh Pengangguran, Pembangunan Manusia, dan Upah Minimum Terhadap Kemiskinan di Provinsi Papua

Poverty is a major concern for governments around the world, especially in developing countries such as Indonesia. In Indonesia, the government prioritizes poverty alleviation as part of efforts to improve people's welfare. This study aims to examine the influence of unemployment, human development index, and regional minimum wage on poverty in districts/cities in Papua Province during the period 2017-2021. Data from 29 districts/cities in Papua were analyzed using the panel data regression method. The three estimation approaches used include common effect, fixed effect, and random effect. Based on the results of the best model selection test, random effect was selected as the most suitable model. The analysis using this model shows that unemployment has a negative impact on poverty, contrary to the hypothesis that unemployment has a positive impact. In addition, the human development index also has a negative influence on poverty, while the regional minimum wage has no significant effect on poverty levels.

The Europeanization of Wage Policy and Its Consequences for Labor Politics: The Case of Ireland

This article investigates the transnational labor politics associated with the Europeanization of wage policy, based on process tracing of Irish minimum wage regulation reforms over the past two decades. The policy struggle in Ireland started as an employer-led domestic challenge to market-embedding regulation and was then affected by two EU interventions on wage policy: one with a de-regulatory orientation (during EU-IMF conditionality) and one with a re-regulatory one (with the approval of the EU minimum wage directive). Findings show that differences in collective action undertaken by employers and trade unions to influence wage policy at the national level can be explained by the intersection of each actor’s preferences toward market-constraining or liberalizing labor regulation and their access to supranational (EU-level) institutions and support. This analysis contributes to debates on how transnational opportunity structures can alter labor’s and employers’ local power resources and strategies.

The influence of regional minimum wages on unemployment rates in Indonesia multiple linear regression analysis

Background: This study investigates the influence of regional minimum wages, along with gross domestic product (GDP) and inflation, on unemployment rates in Indonesia from 2012 to 2020. Method: Multiple linear regression analysis is employed to examine the relationships between these economic variables. Findings: The findings reveal that regional minimum wages have a significant negative effect on unemployment rates, indicating that a 1% increase in the minimum wage leads to a 3.951% decrease in unemployment, ceteris paribus. GDP also exhibits a significant negative influence, aligning with Okun's law which suggests an inverse relationship between economic growth and unemployment. In contrast, inflation does not significantly impact unemployment rates during the studied period. Collectively, the three variables positively and significantly affect Indonesia's unemployment rate, with an adjusted R-squared value of 0.749. This implies that 74.9% of the variation in unemployment can be explained by GDP, inflation, and minimum wages, while other factors account for the remaining 25.1%. Conclusion: The study highlights the complex interplay between these macroeconomic indicators and unemployment, providing insights for policymakers to develop effective strategies for managing employment challenges in Indonesia. Novelty/Originality of this study: This empirical analysis reveals the dynamic relationship between regional minimum wages, GDP, inflation, and unemployment in Indonesia (2012-2020). The findings provide an evidence-based basis for formulating more effective and responsive employment and economic policies for Indonesia's labour market conditions.

Income, Education, Age, Rural or Urban Living and Work Sector for Generation Z Women in West Nusa Tenggara, Indonesia

Generation Z is the generation born between 1997 and 2012. The characteristics of women's income, education, place of residence and work sector are very important to study because they can influence economic development, especially in West Nusa Tenggara, Indonesia. This research aims to analyze the socio-economic problems of Generation Z women who work in each sector, both formal and informal sectors in West Nusa Tenggara. The method used in this research is descriptive quantitative analysis using data from SAKERNAS in August 2023. The number of Generation Z women used in this research is 398 women who work in West Nusa Tenggara. The results of this research found that Generation Z women in West Nusa Tenggara, Indonesia mostly work in the formal sector, namely 59.55%, while most of their income is in the range of less than the Regional Minimum Wage for West Nusa Tenggara Province. Most of the Generation Z women in West Nusa Tenggara are junior high school graduates and the majority live in the urban areas, namely 59.80%. This research provides a broad picture of the socio-economic dynamics of Generation Z women in West Nusa Tenggara, Indonesia.

Analysis of the Influence of Education and Regional Minimum Wage Value on Employment Opportunities and Economic Growth of the District/City of Bali Province 2011-2022

Low levels of education and minimum wages make job opportunities even lower, thus having an impact on economic growth. Various efforts are designed and implemented by the regional government which are solely used to increase growth for the region itself and are then expected to have a positive impact on the welfare of the community, however, there is still inequality in community welfare between districts/cities in Bali Province. The objectives of this research are 1) to analyze the influence of education level and minimum wage on employment opportunities in Bali Province, 2) to analyze the influence of education level, minimum wage and employment opportunities on economic growth in Bali Province, 3) To analyze how the influence of employment opportunities mediates education level and minimum wage on economic growth in Bali Province. The analysis techniques used in this research are descriptive analysis and path analysis. The data used is panel data consisting of a combination of time series and cross section data with 120 observations obtained through secondary data. The results of this research show that 1) the level of education has a positive and significant effect on job opportunities in Bali Province, 2) the minimum wage has a positive and significant effect on job opportunities in Bali Province, 3) the level of education has a positive and significant effect on economic growth in the Province Bali, 4) the minimum wage has a positive and significant effect on the economic growth of Bali Province, 5) employment opportunities as an intervening variable or mediate the level of education and the minimum wage on employment opportunities in the Province of Bali.

Pengaruh Pertumbuhan Ekonomi dan Upah Minimum Terhadap Jumlah Pengangguran di Provinsi Nusa Tenggara Timur

A country that is actively trying to improve the welfare of its population is Indonesia, which is still considered a backward country. The government has implemented various steps to achieve social welfare, although there are still several obstacles that have not been fully overcome, such as the issue of unemployment. Resolving this problem is a collective task that must be addressed effectively and continuously. This research aims to determine the influence of economic growth and regional minimum wages on the number of unemployed in East Nusa Tenggara Province. The research method uses quantitative methods with secondary data from publications from the Central Statistics Agency of East Nusa Tenggara Province. The data used is panel data, covering the 2018-2022 time series and cross-sections from 22 districts/cities. Based on the research results, economic growth has a positive and significant effect on the number of unemployed. and also, the regional minimum wage has a positive but insignificant effect on the number of unemployed.

Minimum wage and income inequality among the migrant population in China

ABSTRACT Have frequently adjusted minimum wages slowed the widening of income inequality in China? To answer this question, this study examines the impact of minimum wages on income inequality among the migrant population using data from the China Migrants Dynamics Survey (CMDS) for 2011–2018 and data on city-level minimum wages over the same period. The research findings indicate that the minimum wage significantly reduces income inequality within China’s migrant population. Importantly, the conclusion remains robust after employing rigorous analytical methods, such as instrumental variable analysis, replacement of the explained variable, and provincial-level data regression analysis. Moreover, the mechanism analysis reveals that the minimum wage contributes to reducing income inequality within the migrant population by raising the income of low-income groups without causing unemployment. The extent of this impact is closely related to the implementation of regional minimum wage policies. Additionally, the heterogeneity results show that minimum wage has a more pronounced effect on reducing income inequality among formally employed individuals and those working in the state-owned sector than in the informal employment and non-state-owned sectors. Overall, these findings provide valuable insights for policymakers to further optimize the minimum wage system in China to promote common prosperity.

Analysis of Inflation, Regional Gross Domestic Product and Minimum Wage on Employment Absorption in East Nusa Tenggara Province

Analysis of Inflation, Regional Gross Domestic Product and Minimum Wage on Employment Absorption in East Nusa Tenggara Province

Pengaruh Pertumbuhan Ekonomi, Pengangguran, dan Upah Minimum Regional terhadap Tingkat Kemiskinan di Provinsi Nusa Tenggara Timur

The government's efforts to enhance economic growth and public service quality as a solution to poverty emphasize income and quality of life improvement. However, this approach needs to consider local dynamics and regional economic structures. Accurate data on poverty are crucial for designing effective policies to enhance community welfare in East Nusa Tenggara (NTT). This research examines factors influencing poverty levels in NTT, particularly the impacts of economic development, unemployment, and regional minimum wages. Analysis using EViews 10 software shows that economic growth and unemployment significantly affect poverty, whereas regional minimum wages do not. This study provides insights for economic development and poverty alleviation policies, emphasizing the importance of targeted interventions to enhance community welfare in NTT, given the complexity of poverty issues requiring holistic and diverse approaches to mitigation efforts.

The M-Estimator and S-Estimator in Robust Improved Geographically and Temporally Weighted Regression for Modelling GRDP in West Java, Indonesia

The success of development in a region in Indonesia can be measured by economic growth, especially in the financial sector using the Gross Regional Domestic Product (GRDP) growth rate. The GRDP figure at the Regency and City level in West Java is one of Indonesia's highest and most diverse. This is due to various factors, including the geographical location of West Java, which is directly adjacent to DKI Jakarta, which is the center of the national economy. Although classified as high, the diversity of GRDP values between regions in West Java needs attention to equalize economic growth. The diversity of GRDP values can be modeled by the Improved Geographically and Temporally Weighted Regression (I-GTWR) method by taking samples in 2018-2022. The I-GTWR modeling method considers the influence of spatial heterogeneity and spatial-temporal interaction, which has been proven to produce better results than the GTWR method in modeling GRDP in Central Java in 2011-2015. This study also adds M-estimators and S-estimators to improve the model's performance and make it robust to outliers. The explanatory variables we use are Regional Original Revenue, General Allocation Fund, Foreign Investment, Regional Minimum Wage, Domestic Investment, Poverty, Per-Capita Expenditure, and Number of Job Vacancies. The analysis shows that the Robust I-GTWR model, especially the M-estimator, produces better model performance than the I-GTWR model in modeling West Java GRDP. The coefficient of determination made by the Robust I-GTWR method using the M-estimator is 94.62% with a mean absolute deviation value of 0.1491 and an Akaike Information Criterion value of 110.4899.

Wage Regulation of Outsourced Workers After the Omnibus Law of the Labor Cluster Based on Wage Theory

This research investigates the effects of the enactment of the Job Creation Law (Law Number 11 of 2020) in Indonesia on labor regulations, specifically focusing on wage regulation for outsourced workers and its implications for human rights. Employing a normative juridical approach, the study examines legal materials such as laws, regulations, court decisions, and expert opinions. Through qualitative analysis techniques, the pre- and post-Job Creation Law regulations concerning outsourced workers' wages are explored. The findings uncover significant changes in wage provisions, including the elimination of sectoral minimum wage regulations and the reduction in types of wages for outsourced workers. Moreover, the research reveals discrepancies between the Job Creation Law and international conventions' indicators of freedom, availability, accessibility, and suitability. Concerns are raised regarding the adequacy of workers' rights protection, accessibility to fair wages, and the inclusivity of vulnerable groups within the legal framework. This study contributes to understanding the Job Creation Law's implications for labor and human rights in Indonesia, highlighting areas where the law may fail to ensure equitable treatment and fair compensation for outsourced workers. Policy recommendations aimed at upholding human rights standards in labor regulations are proposed based on the study's findings.

Socioeconomic Profile of Coconut Farmers in Sei Kepayang Tengah Village Asahan Regency (Analysis of Education, Housing and Income)

Coconut farmers play a crucial role in Indonesia’s rural economy. Therefore, understanding their socioeconomic conditions is vital for developing appropriate development strategies. This study examines the socioeconomic conditions of coconut farmers in Sei Kepayang Tengah Village, Asahan Regency, North Sumatra. It is hoped that the research results will become empirical evidence that can be used by the local government to develop programs that pay attention to the natural resource potential of coconut plantations in Sei Kepayang Tengah—stage—at the same time, the socioeconomic conditions of coconut farmers are a vital consideration in development planning and local economic development. In 2020, the research involved 65 households as samples out of 434 Sei Kepayang Tengah Village households. The research variables include education, housing conditions, and income. Data collection was carried out through interviews and analyzed descriptively. The results indicate that most coconut farmers have a secondary education and good housing conditions, but their income generally falls below the Regional Minimum Wage.

Analisis Kelayakan Investasi pada Proyek Perumahan Sederhana Tipe 31/60 M2

The need for housing is increasing along with the rate of population growth. Simple livable housing is an option for low-income communities in accordance with the regional minimum wage. In making investments to make housing requires a feasibility analysis so that it can assess in accordance with the company's financial capabilities so that the company does not experience losses and make profits after investing large enough funds. This study aims to analyze the feasibility of investing in the MPR 2 Type 31/60 m2 simple housing development project in the Semarang Regency area which is viewed from a financial perspective using the Net Present Value (NPV), Internal Rate of Return (IRR), Payback Period (PP), and Benefit Cost Ratio (BCR) methods. Based on the research that has been done, it can be concluded in terms of the feasibility of investing in the construction of subsidized houses type 31/60 in MPR 2 housing is feasible. This can be seen from the results of the analysis with the positive NPV method of Rp.127,933,335.12 > 1, the results of the analysis with the IRR method of 9.79% > 5% (MARR), the results of the analysis with the PP method, it shows that the period of return on investment occurs for 1 year 4 days, and the results of the analysis with the BCR method of 1.018 > 1.

Towards Fair and Reasonable Wages for RMG Workers in Bangladesh: An Analysis of Minimum Wage Regulations and Implementation

Towards Fair and Reasonable Wages for RMG Workers in Bangladesh: An Analysis of Minimum Wage Regulations and Implementation