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All Journal Jurnal Ilmu Ekonomi dan Pembangunan
Audit, Abib
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Humanities Economics, Econometrics & Finance Social Sciences

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IMPACT OF MINIMUM WAGE ON UNEMPLOYMENT AND WORKER WELFARE VIA ECONOMIC GROWTH IN WEST JAVA (2010-2021) Audit, Abib; Kadarwati, Nunik; Binardjo, Goro
Jurnal Ilmu Ekonomi dan Pembangunan Vol 24, No 1 (2024): Jurnal Ilmu Ekonomi dan Pembangunan
Publisher : EP FEB UNS

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.20961/jiep.v24i1.64769

Abstract

This study examines the impact of minimum wage policies on unemployment and worker welfare in West Java from 2010 to 2021, with a particular focus on the role of economic growth as a mediating variable. Utilizing a time series econometric approach, we analyze data from various economic indicators to understand the dynamics between these variables. The findings indicate that while minimum wage increases are associated with a reduction in unemployment, the effect is significantly mediated by economic growth, which also enhances worker welfare. This study contributes to the literature by providing empirical evidence from a developing country context and offering practical insights for policymakers aiming to balance wage growth with employment and economic stability.
Co-Authors Binardjo, Goro Kadarwati, Nunik