<![CDATA[Employment absorption is an important indicator of regional economic development as it reflects the economy’s ability to create job opportunities and reduce unemployment. However, economic growth does not always lead to a proportional increase in employment, resulting in the phenomenon of jobless growth. This study aims to analyze the effects of minimum wage, Gross Regional Domestic Product (GRDP) per capita, and the number of industries on employment absorption in Central Java Province during the 2021–2025 period. The research employs a quantitative approach with an explanatory research design and panel data methodology, combining time-series and cross-sectional data from 35 regencies and municipalities in Central Java. Secondary data were obtained from the Central Statistics Agency and analyzed using panel data regression with EViews software. The findings reveal that the minimum wage has a positive and statistically significant effect on employment absorption (t = 8.097975; p < 0.05), while GRDP per capita (t = 1.568907; p > 0.05) and the number of industries (t = 1.034356; p > 0.05) do not have significant partial effects. Simultaneously, all independent variables significantly influence employment absorption (F = 51.82890; p < 0.05), with an Adjusted R² value of 46.70%. These results indicate that minimum wage policies play a more substantial role in promoting employment absorption than economic growth and industrial expansion. Furthermore, the findings suggest that economic growth and industrial development in Central Java have not yet been fully inclusive in generating employment opportunities. Therefore, local governments should implement policies that emphasize labor-intensive sector development, human capital improvement, and stronger linkages between industrial investment and job creation.]]>
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