Journal of Socioeconomics and Development
Vol 7 No 2 (2024): October

From employees to entrepreneurs: Does migration matter in blue-collar workers’ transition?

Natalia, Christiayu (Unknown)
Pratomo, Devanto Shasta (Unknown)
Syafitri, Wildan (Unknown)



Article Info

Publish Date
02 Oct 2024

Abstract

Transitioning into entrepreneurship can offer a viable path for former blue-collar workers to reenter the workforce following widespread job losses during the COVID-19 pandemic. This study investigates the critical roles of adaptability and resilience in facilitating this transition, with particular attention to how migration status influences success in becoming either formal or informal entrepreneurs. Utilizing detailed microdata from the August 2021 Labor Force Survey (Survei Angkatan Kerja Nasional - SAKERNAS), the study applies a multinomial logistic regression model to examine the transition patterns of these former workers. The findings indicate that former migrant blue-collar workers are more inclined to shift towards formal entrepreneurship rather than informal ventures. This suggests the importance of implementing supportive policies aimed at fostering entrepreneurial initiatives among blue-collar workers. Such policies could mitigate the risks associated with job losses, particularly in times of crisis, and provide a safety net by encouraging entrepreneurship. By facilitating entrepreneurial activity, these policies would not only bolster economic resilience but also offer alternative routes for workforce recovery, ultimately contributing to job security, financial stability, and long-term economic sustainability in the face of ongoing uncertainties.JEL Classification C25; J24; J63

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Journal Info

Abbrev

jsed

Publisher

Subject

Agriculture, Biological Sciences & Forestry Arts Humanities Economics, Econometrics & Finance Environmental Science Social Sciences

Description

Journal of Socioeconomics and Development (JSeD) is managed by The Study Program of Socioeconomics (Agribusiness), Agriculture Faculty, Widyagama University of Malang. JSeD is published biannually in April and October, and available in printed and online version. ...