Local Economic Advancement & Development Research
Vol. 1 No. 2 (2026): Journal of Local Economic Advancement & Development Research

Human Capital and Institutional Allocation as Determinants of Civil Servants’ Income: Evidence from Pidie Regency

Nana Sofiana (Universitas Muhammadiyah Aceh)
Fadilah Novianti (Universitas Muhammadiyah Aceh)



Article Info

Publish Date
30 Sep 2026

Abstract

This study examines the relationship between education, work tenure, and job placement and the perceived income of civil servants in Pidie Regency, Indonesia. The study employs a quantitative research design using primary data collected through a structured questionnaire administered to 100 civil servants in Kota Sigli, Pidie District, and Mutiara District. The data were analyzed using multiple linear regression. The findings indicate that education has a positive and significant relationship with civil servants’ income (β = 0.301, t = 4.114, p < 0.001). Work tenure also shows a positive and significant relationship with income (β = 0.353, t = 4.707, p < 0.001) and represents the strongest statistical association among the explanatory variables. Similarly, job placement is positively and significantly associated with income (β = 0.326, t = 4.225, p < 0.001). Simultaneously, education, work tenure, and job placement are significantly associated with the income measure, with an R² of 0.738 and an adjusted R² of 0.730. These findings suggest that civil-servant income is associated with a combination of human capital, accumulated employment characteristics, and institutional job allocation. The study recommends strengthening competency-based education and career development, improving person–job fit in civil-servant placement, and aligning compensation with position, responsibility, and applicable regulations. Given the cross-sectional design and perceptual measurement of income, the findings should be interpreted as statistical associations rather than definitive causal effects.

Copyrights © 2026






Journal Info

Abbrev

leader

Publisher

Subject

Description

Local Economic Advancement & Development Research is an open-access, peer-reviewed scholarly journal dedicated to disseminating high-quality research, analytical studies, and empirical investigations in the field of local and regional economic development. The journal serves as an academic forum for ...