Unveiling the Profile of Low-Wage Workers in Indonesia
Article Sidebar
Issue
Vol. 20 No. 1 (2025)
Keywords:
-
economic justice, low-wage workers, social protection, informal workers, less educated
Abstract
The low-wage workers play a vital role in supporting in Indonesia's economy but remain highly vulnerable and are often excluded from social protection policies. This study aims to profile low-wage workers and provide insights for policymakers to improve social protection measures. The research utilizes repeated cross-sectional microdata from the National Labor Force Survey (Survei Angkatan Kerja Nasional/Sakernas) between August 2018 and August 2023, a logistic regression model with marginal effects was applied to identify key characteristics of low-wage workers. The findings show that the primary characteristics of low-wage workers are low education levels and working fewer than 20 hours per week. This group is predominantly female, unmarried or divorced, and from younger generations (Gen Z). They are often employed in the informal sector, lacking specific skills, and are mostly working in agriculture. The COVID-19 pandemic worsened their vulnerabilities, amplifying economic risks that persist post-pandemic. The policy implications include expanding educational opportunities to enhance workers' employability, followed by implementing skill training and job placement programs. Additionally, extending minimum wage coverage to both formal and informal sectors, along with offering flexible work arrangements and subsidized childcare, particularly for women, can further support these workers. Furthermore, extending social protection to include social security and healthcare, with incentives for employer contributions, is essential. During crises, policies prioritizing healthcare access, income support, and job protection are crucial for ensuring the economic security of low-wage workers and reducing inequalities.
Full text article
Generated from XML file
References
Abdul, I., Hasan, Y. S., & Akib, F. H. Y. (2024). Does minimum wage reduces gender inequality in Indonesia?. Economics Development Analysis Journal, 13(1), 1-13.
Adrangi, B., & Jeszenszki, K. (2025). Publicly Subsidized Childcare and the Labor Force Participation Rates of Men and Women: Evidence From OECD. The American Economist, 70(1), 46-63.
Agusalim, L., & Novianti, T. (2024). Pembuktian empiris teori upah efisiensi di Indonesia. Jurnal Ekonomi dan Kebijakan Publik, 14(2), 119-132.
Agusalim, L., Anggraeni, L., & Pasaribu, S. H. (2022). The economy of Indonesia: Driven by physical or human capital?. JEJAK: Jurnal Ekonomi dan Kebijakan, 15(1), 10-28.
Agusalim, L., Pratama, J. I., Prasetyoputra, P., Panjaitan, M., & Tunda, A. (2024). Understanding the socio-economic dynamics: COVID-19 pandemic, human development, and poverty issues in Indonesia. Iranian Economic Review. Inpress.
Agusalim, L., Siregar, H., Anggraeni, L., & Mulatsih, Sri. (2025).
The Heterogeneous Effects of a Minimum Wage Policy on Hours Worked and Real Wages in Indonesia. Economic Research Guardian, 15(1), 88-115.
Akbar, F. (2022). Gender wage gap: Evidence from employment in the informal sector. The Journal of Indonesia Sustainable Development Planning, 3(2), 104–117.
Akdo?an-Gedik, M., & Günel, T. (2021). Factors affecting gender wage gap: Empirical evidences from selected OECD countries. Ömer Halisdemir Üniversitesi ?ktisadi ve ?dari Bilimler Fakültesi Dergisi, 14(3), 1051–1061.
Amankwah, M. O., Obuobisa-Darko, T., & Pearl, S. S. (2021). Establishing the relationship between work-family balance and work-family conflict: The role of organisational and individual factors. African Journal of Management Research, 28(1), 2–16.
Antonie, L., Gatto, L., & Plesca, M. (2020). Full-time and part-time work and the gender wage gap. Atlantic Economic Journal, 48(3), 313–326.
Asfahani, A. M., Eskandarany, A., Dahlan, D. A., Ullah, Z., Khan, H., & Naheed, R. (2024). Empowering Women in Saudi workforce: HR, job satisfaction, and policies for work–life balance. Sustainability, 16(20), 8826.
Ashari, A., Purwantini, T. B., & Rachmawati, R. R. (2022). Agricultural sector labor migration: Case study in Patanas Villages. E3S Web of Conferences, 361, 03012.
Auliya, L., & Agusalim, L. (2022). Pengaruh Covid-19 dan upah terhadap pengangguran terdidik di Indonesia: Analisis data panel 33 provinsi tahun 2010-2021. Jurnal Ketenagakerjaan, 17(3), 285-303.
Awang, N., & Nadzri, N. R. M. (2023). The implementation of flexible work arrangements (FWAs) and its impact for work-life balance of women’s workforce. I-iECONS e-proceedings, 438-449.
Bargain, O., & Kwenda, P. (2011). Earnings structures, informal employment, and self?employment: New evidence from Brazil, Mexico, and South Africa. Review of Income and Wealth, 57, S100–S122.
Beck, L., Quinn, E. L., Hill, H. D., Wolf, J., Buszkiewicz, J., & Otten, J. J. (2019). Low-income workers’ perceptions of wages, food acquisition, and well-being. Translational Behavioral Medicine, 9(5), 942-951.
Bossler, M., & Gerner, H.-D. (2020). Employment effects of the new German minimum wage: Evidence from establishment-level microdata. ILR Review, 73(5), 1070–1094.
BPS-Statistic Indonesia. (2023). Survei angkatan kerja nasioanal 2018-2023. Jakarta: Badan Pusat Statistik.
Caraway, T. L., Ford, M., & Nguyen, O. K. (2019). Politicizing the minimum wage: Wage councils, worker mobilization, and local elections in Indonesia. Politics & Society, 47(2), 251–276.
Cubrich, M. (2020). On the frontlines: Protecting low-wage workers during COVID-19. Psychological Trauma: Theory, Research, Practice, and Policy, 12(S1), S186.
Cubrich, M., Tengesdal, J. A., Ugueto-Rey, G., Stahl, R., & Crow Brauer, M. (2022). Pandemics and precarious work: Translating research to practice for marginalized workers. Translational Issues in Psychological Science, 8(3), 416–430.
Denning, J. T., Jacob, B. A., Lefgren, L. J., & Vom Lehn, C. (2022). The return to hours worked within and across occupations: Implications for the gender wage gap. ILR Review, 75(5), 1321–1347.
Diaz?Serrano, L., & Nilsson, W. (2020). The regional anatomy of youths' educational attainment in Spain: The role of the employment structure in local labour markets. Papers in Regional Science, 99(5), 1487–1509.
Dutta, M. J. (2020). COVID-19, authoritarian neoliberalism, and precarious migrant work in Singapore: Structural violence and communicative inequality. Frontiers in Communication, 5, 58.
Egessa, A., Nnyanzi, J. B., & Muwanga, J. (2021). Determinants of youth unemployment in Uganda: The role of gender, education, residence, and age. IZA Journal of Labor Policy, 11(1), 1–29.
Fadhilah, M. G., & Damayanti, A. (2024). Investigating the effects of minimum wage and non-compliance on formal employment: Evidence in Java Island. Eko-Regional: Jurnal Pembangunan Ekonomi Wilayah, 19(1), 42-53.
Gallagher, S., Roy, A., Domeracki, S. J., Mohrmann, T., Missar, V., Jule, J., Sharma, S., & DeWitt, R. (2021). The low-wage essential worker: Occupational concerns and needs in the COVID-19 pandemic—A round table. Workplace Health & Safety, 69(4), 154–160.
Godoey, A., & Reich, M. (2021). Are minimum wage effects greater in low?wage areas? Industrial Relations: A Journal of Economy and Society, 60(1), 36–83.
Gutierrez, I. A., Kumar, K. B., Mahmud, M., Munshi, F., & Nataraj, S. (2019). Transitions between informal and formal employment: Results from a worker survey in Bangladesh. IZA Journal of Development and Migration, 9(1), 3.
Hamjediers, M. (2021). Can regional gender ideologies account for variation of gender pay gaps? The case of Germany. Social Sciences, 10(9), 347.
Hamzah, I. N., & Parewangi, A. M. A. (2021). Minimum wages, relative wages, and productivity: An empirical analysis on Indonesia food and beverage industry. Universal Journal of Accounting and Finance, 9(1), 33-43.
Hasanah, H., Nachrowi, N. D., Wisana, I. D. G. K., & Siregar, H. (2024). Could the minimum wage policy reduce food insecurity among households of formal workers in Indonesia?. Agriculture & Food Security, 13(1), 7.
Hazin, M., Yani, M. T., Sholeh, M., Wahyudi, W. E., Rahmawati, N. W. D., & Suyatno, S. (2025). The Impact of the Village Recognition of Prior Learning on Sustainable Development: A Comprehensive Policy Evaluation. Journal of Management World, 2025(1), 31-43.
Hidalgo-Pérez, M. A., & Molinari, B. (2022). The effect of early automation on the wage distribution with endogenous occupational choices. Economia Politica, 39(3), 1055–1082.
Ikeije, U. U., & Islam, K. A. (2020). Low wage job in the Nigerian labour market: Implications for policy formulation and implementation. The Millennium University Journal, 5(1), 28–36.
Jamielaa, M. (2018). Trade openness and female-male earnings differentials: Evidence from Indonesia. Economic Journal of Emerging Markets, 10(1), 82–92.
Jardim, E., Long, M. C., Plotnick, R., Van Inwegen, E., Vigdor, J., & Wething, H. (2022). Minimum-wage increases and low-wage employment: Evidence from Seattle. American Economic Journal: Economic Policy, 14(2), 263–314.
Khan, B. M., & Majid, M. F. (2020). A note on the gender reservation wage gap in developing countries. Scottish Journal of Political Economy, 67(5), 462–468.
Kim, J. H., & Williams, B. D. (2021). Minimum wage and women’s decision-making power within households: Evidence from Indonesia. Economic Development and Cultural Change, 70(1), 359-414.
Kirksey, L., Tucker, D. L., Taylor Jr, E., Solaru, K. T. W., & Modlin Jr, C. S. (2021). Pandemic superimposed on epidemic: COVID-19 disparities in Black Americans. Journal of the National Medical Association, 113(1), 39-42.
Lagoa, S., & Suleman, F. (2016). Industry-and occupation-specific human capital: Evidence from displaced workers. International Journal of Manpower, 37(1), 44–68.
Li, H. (2023). The influence of non-cognitive ability on the wage of rural migrant workers. International Journal of Manpower, 45(3), 639–660.
Li, M., Tang, Y., & Jin, K. (2024). Labor market segmentation and the gender wage gap: Evidence from China. PLoS ONE, 19(3), e0299355.
Lubis, D. B., Pasaribu, S. H., & Findi, M. (2019). The effect of provincial minimum wage on wage inequality in Java. International Journal of Scientific Research in Science, Engineering, and Technology (IJSRSET), 6(1), 352–357.
Mahapatro, S. (2019). Female employment in India: Determinants of choice of sector of activity. Journal of Economic Studies, 46(3), 748–759.
Mariyono, J., Waskito, J., Suwandi, Tabrani, Kuntariningsih, A., Latifah, E., & Suswati, E. (2021). Farmer field school: Non-formal education to enhance livelihoods of Indonesian farmer communities. Community Development, 52(2), 153-168.
Maroto, M., & Pettinicchio, D. (2023). Worth less? Exploring the effects of subminimum wages on poverty among US hourly workers. Sociological Perspectives, 66(3), 455–475.
Miti, J. J., Perkio, M., Metteri, A., & Atkins, S. (2020). Factors associated with willingness to pay for health insurance and pension scheme among informal economy workers in low-and middle-income countries: A systematic review. International Journal of Social Economics, 48(1), 17–37.
Mize, T. D., Doan, L., & Long, J. S. (2019). A general framework for comparing predictions and marginal effects across models. Sociological Methodology, 49(1), 152–189.
Noviana, S. N. (2020). Pengaruh Upah Minimum Regional Dan Rasio Infrastruktur Terhadapkesenjangan Distribusi Pendapatan Di Indonesia. Jurnal Akuntansi AKTIVA, 1(2), 116-135.
Oka, T., & Yamada, K. (2023). Heterogeneous impact of the minimum wage: Implications for changes in between-and within-group inequality. Journal of Human Resources, 58(1), 335–362.
Park, M., & Cho, R. M. (2019). Examining the effects of the Durunuri programme on low?wage workers' social insurance coverage in South Korea. International Journal of Social Welfare, 28(1), 63–76.
Pherng, W., Buddhawongsa, P., Leurcharusmee, S., & Maneejuk, P. (2022). Minimum wages and wage distribution in Thailand. Journal of Technology and Operations Management, 17(2), 40–50.
Pratomo, D. S. (2014). Does minimum wage affect hours worked of paid employment in Indonesia? International Journal of Social Economics, 41(5), 362–379.
Pritadrajati, D. S. (2021). Determinants of school enrolment in Indonesia: The role of minimum wage. Bulletin of Monetary Economics and Banking, 24(2), 181-204.
Putri, A.Z., & Agusalim, L. (2023). COVID-19, upah, dan pengangguran: Studi empiris di Indonesia. Bina Ekonomi, 27(1), 77-100.
Quandt, S. A., LaMonto, N. J., Mora, D. C., Talton, J. W., Laurienti, P. J., & Arcury, T. A. (2021). COVID-19 pandemic among immigrant Latinx farmworker and non-farmworker families: A rural–urban comparison of economic, educational, healthcare, and immigration concerns. New Solutions: A Journal of Environmental and Occupational Health Policy, 31(1), 30–47.
Rani, U., Belser, P., Oelz, M., & Ranjbar, S. (2013). Minimum wage coverage and compliance in developing countries. International Labour Review, (3-4), 381–410.
Ravenelle, A. J., & Kowalski, K. C. (2023). “It’s not like chasing Chanel:” Spending time, investing in the self, and pandemic epiphanies. Work and Occupations, 50(2), 284–309.
Redmond, P., & McGuinness, S. (2019). The gender wage gap in Europe: Job preferences, gender convergence and distributional effects. Oxford Bulletin of Economics and Statistics, 81(3), 564–587.
Redmond, P., & McGuinness, S. (2022). Heterogeneous effects of a minimum wage increase on hours worked (Research Series No. 132). Economic and Social Research Institute (ESRI).
Redmond, P., & McGuinness, S. (2023). The impact of a minimum wage increase on hours worked: Heterogeneous effects by gender and sector (IZA Discussion Paper No. 16031). IZA Institute of Labor Economics.
Robles-Ortiz, C., González-Correa, I., Campos, N. R., & Aliaga, U. G. (2023). Agricultural workers’ standard of living during Central Chile's agrarian expansion, 1870–1930. Revista de Historia Económica – Journal of Iberian and Latin American Economic History, 41(1), 183–212.
Setyanti, A. M., Syafitri, W., Finuliyah, F., & Khoiruddin, M. A. (2024). Employed yet still poor: A microdata analysis of working poverty in Indonesia. Jurnal Ketenagakerjaan, 19(3), 281–294.
Siregar, T. H. (2020). Impacts of minimum wages on employment and unemployment in Indonesia. Journal of the Asia Pacific Economy, 25(1), 62-78.
Siregar, T. H. (2022). Investigating the effects of minimum wages on employment, unemployment and labour participation in Java: a dynamic spatial panel approach. Bulletin of Indonesian Economic Studies, 58(2), 195-227.
Sseruyange, J., & Bulte, E. (2020). Wage differentials and workers’ effort: Experimental evidence from Uganda. Oxford Bulletin of Economics and Statistics, 82(3), 647–668.
Sugiharti, R. R., & Kurnia, A. S. (2018). Gender wage gap and education: Case in Indonesia’s labor market. E3S Web of Conferences, 73, 11019.
Tjakrawerdaja, S., Soedarno, S., Lenggono, P. S., Purwandaya, B., Karim, M., & Agusalim, L. (2021). Sistem ekonomi Pancasila (4th ed.). Depok: Rajawali Press.
Todorova, B., & Radulovikj, M. (2020). Work-life balance-challenges of gender equality in the labor market in The Republic of North Macedonia Vs European Union. EU and comparative law issues and challenges series (ECLIC), 4, 751-770.
Utomo, G., & Raspati, G. (2021). Perspektif yuridis standar pengupahan tenaga kerja era pandemi Covid-19. Cakrawala Repositori IMWI, 4(1), 17–26.
Velthuis, S., Sissons, P., & Berkeley, N. (2019). Do low-paid workers benefit from the urban escalator? Evidence from British cities. Urban Studies, 56(8), 1664–1680.
White, N., Parsons, R., Collins, G., & Barnett, A. (2023). Evidence of questionable research practices in clinical prediction models. BMC Medicine, 21(1), 339.
Wijayanto, A. Y., & Sari, D. W. (2019). Analysis of decision to work of female workers in Indonesia. Economics Development Analysis Journal, 8(3), 290–300.
Wong, S. A. (2019). Minimum wage impacts on wages and hours worked of low-income workers in Ecuador. World Development, 116, 77-99.
Xu, Q., Wang, L., Zhang, Y., & Jiang, X. (2023). On-call work and depressive mood: A cross-sectional survey among rural migrant workers in China. Frontiers in Psychology, 13, 1068663.
Yang, J., & Gunderson, M. (2020). Minimum wage impacts on wages, employment and hours in China. International Journal of Manpower, 41(2), 207-219.
Yuniashri, E., Susilo, S., & Wahyudi, S. T. (2023). Does informal sector suitable for female labor? JEJAK: Jurnal Ekonomi dan Kebijakan, 16(1), 58–73
Zipperer, B. (2022). Turnover, prices, and reallocation: Why minimum wages raise the incomes of low-wage workers. Journal of Law and Political Economy, 3(1), 160–171.
Adrangi, B., & Jeszenszki, K. (2025). Publicly Subsidized Childcare and the Labor Force Participation Rates of Men and Women: Evidence From OECD. The American Economist, 70(1), 46-63.
Agusalim, L., & Novianti, T. (2024). Pembuktian empiris teori upah efisiensi di Indonesia. Jurnal Ekonomi dan Kebijakan Publik, 14(2), 119-132.
Agusalim, L., Anggraeni, L., & Pasaribu, S. H. (2022). The economy of Indonesia: Driven by physical or human capital?. JEJAK: Jurnal Ekonomi dan Kebijakan, 15(1), 10-28.
Agusalim, L., Pratama, J. I., Prasetyoputra, P., Panjaitan, M., & Tunda, A. (2024). Understanding the socio-economic dynamics: COVID-19 pandemic, human development, and poverty issues in Indonesia. Iranian Economic Review. Inpress.
Agusalim, L., Siregar, H., Anggraeni, L., & Mulatsih, Sri. (2025).
The Heterogeneous Effects of a Minimum Wage Policy on Hours Worked and Real Wages in Indonesia. Economic Research Guardian, 15(1), 88-115.
Akbar, F. (2022). Gender wage gap: Evidence from employment in the informal sector. The Journal of Indonesia Sustainable Development Planning, 3(2), 104–117.
Akdo?an-Gedik, M., & Günel, T. (2021). Factors affecting gender wage gap: Empirical evidences from selected OECD countries. Ömer Halisdemir Üniversitesi ?ktisadi ve ?dari Bilimler Fakültesi Dergisi, 14(3), 1051–1061.
Amankwah, M. O., Obuobisa-Darko, T., & Pearl, S. S. (2021). Establishing the relationship between work-family balance and work-family conflict: The role of organisational and individual factors. African Journal of Management Research, 28(1), 2–16.
Antonie, L., Gatto, L., & Plesca, M. (2020). Full-time and part-time work and the gender wage gap. Atlantic Economic Journal, 48(3), 313–326.
Asfahani, A. M., Eskandarany, A., Dahlan, D. A., Ullah, Z., Khan, H., & Naheed, R. (2024). Empowering Women in Saudi workforce: HR, job satisfaction, and policies for work–life balance. Sustainability, 16(20), 8826.
Ashari, A., Purwantini, T. B., & Rachmawati, R. R. (2022). Agricultural sector labor migration: Case study in Patanas Villages. E3S Web of Conferences, 361, 03012.
Auliya, L., & Agusalim, L. (2022). Pengaruh Covid-19 dan upah terhadap pengangguran terdidik di Indonesia: Analisis data panel 33 provinsi tahun 2010-2021. Jurnal Ketenagakerjaan, 17(3), 285-303.
Awang, N., & Nadzri, N. R. M. (2023). The implementation of flexible work arrangements (FWAs) and its impact for work-life balance of women’s workforce. I-iECONS e-proceedings, 438-449.
Bargain, O., & Kwenda, P. (2011). Earnings structures, informal employment, and self?employment: New evidence from Brazil, Mexico, and South Africa. Review of Income and Wealth, 57, S100–S122.
Beck, L., Quinn, E. L., Hill, H. D., Wolf, J., Buszkiewicz, J., & Otten, J. J. (2019). Low-income workers’ perceptions of wages, food acquisition, and well-being. Translational Behavioral Medicine, 9(5), 942-951.
Bossler, M., & Gerner, H.-D. (2020). Employment effects of the new German minimum wage: Evidence from establishment-level microdata. ILR Review, 73(5), 1070–1094.
BPS-Statistic Indonesia. (2023). Survei angkatan kerja nasioanal 2018-2023. Jakarta: Badan Pusat Statistik.
Caraway, T. L., Ford, M., & Nguyen, O. K. (2019). Politicizing the minimum wage: Wage councils, worker mobilization, and local elections in Indonesia. Politics & Society, 47(2), 251–276.
Cubrich, M. (2020). On the frontlines: Protecting low-wage workers during COVID-19. Psychological Trauma: Theory, Research, Practice, and Policy, 12(S1), S186.
Cubrich, M., Tengesdal, J. A., Ugueto-Rey, G., Stahl, R., & Crow Brauer, M. (2022). Pandemics and precarious work: Translating research to practice for marginalized workers. Translational Issues in Psychological Science, 8(3), 416–430.
Denning, J. T., Jacob, B. A., Lefgren, L. J., & Vom Lehn, C. (2022). The return to hours worked within and across occupations: Implications for the gender wage gap. ILR Review, 75(5), 1321–1347.
Diaz?Serrano, L., & Nilsson, W. (2020). The regional anatomy of youths' educational attainment in Spain: The role of the employment structure in local labour markets. Papers in Regional Science, 99(5), 1487–1509.
Dutta, M. J. (2020). COVID-19, authoritarian neoliberalism, and precarious migrant work in Singapore: Structural violence and communicative inequality. Frontiers in Communication, 5, 58.
Egessa, A., Nnyanzi, J. B., & Muwanga, J. (2021). Determinants of youth unemployment in Uganda: The role of gender, education, residence, and age. IZA Journal of Labor Policy, 11(1), 1–29.
Fadhilah, M. G., & Damayanti, A. (2024). Investigating the effects of minimum wage and non-compliance on formal employment: Evidence in Java Island. Eko-Regional: Jurnal Pembangunan Ekonomi Wilayah, 19(1), 42-53.
Gallagher, S., Roy, A., Domeracki, S. J., Mohrmann, T., Missar, V., Jule, J., Sharma, S., & DeWitt, R. (2021). The low-wage essential worker: Occupational concerns and needs in the COVID-19 pandemic—A round table. Workplace Health & Safety, 69(4), 154–160.
Godoey, A., & Reich, M. (2021). Are minimum wage effects greater in low?wage areas? Industrial Relations: A Journal of Economy and Society, 60(1), 36–83.
Gutierrez, I. A., Kumar, K. B., Mahmud, M., Munshi, F., & Nataraj, S. (2019). Transitions between informal and formal employment: Results from a worker survey in Bangladesh. IZA Journal of Development and Migration, 9(1), 3.
Hamjediers, M. (2021). Can regional gender ideologies account for variation of gender pay gaps? The case of Germany. Social Sciences, 10(9), 347.
Hamzah, I. N., & Parewangi, A. M. A. (2021). Minimum wages, relative wages, and productivity: An empirical analysis on Indonesia food and beverage industry. Universal Journal of Accounting and Finance, 9(1), 33-43.
Hasanah, H., Nachrowi, N. D., Wisana, I. D. G. K., & Siregar, H. (2024). Could the minimum wage policy reduce food insecurity among households of formal workers in Indonesia?. Agriculture & Food Security, 13(1), 7.
Hazin, M., Yani, M. T., Sholeh, M., Wahyudi, W. E., Rahmawati, N. W. D., & Suyatno, S. (2025). The Impact of the Village Recognition of Prior Learning on Sustainable Development: A Comprehensive Policy Evaluation. Journal of Management World, 2025(1), 31-43.
Hidalgo-Pérez, M. A., & Molinari, B. (2022). The effect of early automation on the wage distribution with endogenous occupational choices. Economia Politica, 39(3), 1055–1082.
Ikeije, U. U., & Islam, K. A. (2020). Low wage job in the Nigerian labour market: Implications for policy formulation and implementation. The Millennium University Journal, 5(1), 28–36.
Jamielaa, M. (2018). Trade openness and female-male earnings differentials: Evidence from Indonesia. Economic Journal of Emerging Markets, 10(1), 82–92.
Jardim, E., Long, M. C., Plotnick, R., Van Inwegen, E., Vigdor, J., & Wething, H. (2022). Minimum-wage increases and low-wage employment: Evidence from Seattle. American Economic Journal: Economic Policy, 14(2), 263–314.
Khan, B. M., & Majid, M. F. (2020). A note on the gender reservation wage gap in developing countries. Scottish Journal of Political Economy, 67(5), 462–468.
Kim, J. H., & Williams, B. D. (2021). Minimum wage and women’s decision-making power within households: Evidence from Indonesia. Economic Development and Cultural Change, 70(1), 359-414.
Kirksey, L., Tucker, D. L., Taylor Jr, E., Solaru, K. T. W., & Modlin Jr, C. S. (2021). Pandemic superimposed on epidemic: COVID-19 disparities in Black Americans. Journal of the National Medical Association, 113(1), 39-42.
Lagoa, S., & Suleman, F. (2016). Industry-and occupation-specific human capital: Evidence from displaced workers. International Journal of Manpower, 37(1), 44–68.
Li, H. (2023). The influence of non-cognitive ability on the wage of rural migrant workers. International Journal of Manpower, 45(3), 639–660.
Li, M., Tang, Y., & Jin, K. (2024). Labor market segmentation and the gender wage gap: Evidence from China. PLoS ONE, 19(3), e0299355.
Lubis, D. B., Pasaribu, S. H., & Findi, M. (2019). The effect of provincial minimum wage on wage inequality in Java. International Journal of Scientific Research in Science, Engineering, and Technology (IJSRSET), 6(1), 352–357.
Mahapatro, S. (2019). Female employment in India: Determinants of choice of sector of activity. Journal of Economic Studies, 46(3), 748–759.
Mariyono, J., Waskito, J., Suwandi, Tabrani, Kuntariningsih, A., Latifah, E., & Suswati, E. (2021). Farmer field school: Non-formal education to enhance livelihoods of Indonesian farmer communities. Community Development, 52(2), 153-168.
Maroto, M., & Pettinicchio, D. (2023). Worth less? Exploring the effects of subminimum wages on poverty among US hourly workers. Sociological Perspectives, 66(3), 455–475.
Miti, J. J., Perkio, M., Metteri, A., & Atkins, S. (2020). Factors associated with willingness to pay for health insurance and pension scheme among informal economy workers in low-and middle-income countries: A systematic review. International Journal of Social Economics, 48(1), 17–37.
Mize, T. D., Doan, L., & Long, J. S. (2019). A general framework for comparing predictions and marginal effects across models. Sociological Methodology, 49(1), 152–189.
Noviana, S. N. (2020). Pengaruh Upah Minimum Regional Dan Rasio Infrastruktur Terhadapkesenjangan Distribusi Pendapatan Di Indonesia. Jurnal Akuntansi AKTIVA, 1(2), 116-135.
Oka, T., & Yamada, K. (2023). Heterogeneous impact of the minimum wage: Implications for changes in between-and within-group inequality. Journal of Human Resources, 58(1), 335–362.
Park, M., & Cho, R. M. (2019). Examining the effects of the Durunuri programme on low?wage workers' social insurance coverage in South Korea. International Journal of Social Welfare, 28(1), 63–76.
Pherng, W., Buddhawongsa, P., Leurcharusmee, S., & Maneejuk, P. (2022). Minimum wages and wage distribution in Thailand. Journal of Technology and Operations Management, 17(2), 40–50.
Pratomo, D. S. (2014). Does minimum wage affect hours worked of paid employment in Indonesia? International Journal of Social Economics, 41(5), 362–379.
Pritadrajati, D. S. (2021). Determinants of school enrolment in Indonesia: The role of minimum wage. Bulletin of Monetary Economics and Banking, 24(2), 181-204.
Putri, A.Z., & Agusalim, L. (2023). COVID-19, upah, dan pengangguran: Studi empiris di Indonesia. Bina Ekonomi, 27(1), 77-100.
Quandt, S. A., LaMonto, N. J., Mora, D. C., Talton, J. W., Laurienti, P. J., & Arcury, T. A. (2021). COVID-19 pandemic among immigrant Latinx farmworker and non-farmworker families: A rural–urban comparison of economic, educational, healthcare, and immigration concerns. New Solutions: A Journal of Environmental and Occupational Health Policy, 31(1), 30–47.
Rani, U., Belser, P., Oelz, M., & Ranjbar, S. (2013). Minimum wage coverage and compliance in developing countries. International Labour Review, (3-4), 381–410.
Ravenelle, A. J., & Kowalski, K. C. (2023). “It’s not like chasing Chanel:” Spending time, investing in the self, and pandemic epiphanies. Work and Occupations, 50(2), 284–309.
Redmond, P., & McGuinness, S. (2019). The gender wage gap in Europe: Job preferences, gender convergence and distributional effects. Oxford Bulletin of Economics and Statistics, 81(3), 564–587.
Redmond, P., & McGuinness, S. (2022). Heterogeneous effects of a minimum wage increase on hours worked (Research Series No. 132). Economic and Social Research Institute (ESRI).
Redmond, P., & McGuinness, S. (2023). The impact of a minimum wage increase on hours worked: Heterogeneous effects by gender and sector (IZA Discussion Paper No. 16031). IZA Institute of Labor Economics.
Robles-Ortiz, C., González-Correa, I., Campos, N. R., & Aliaga, U. G. (2023). Agricultural workers’ standard of living during Central Chile's agrarian expansion, 1870–1930. Revista de Historia Económica – Journal of Iberian and Latin American Economic History, 41(1), 183–212.
Setyanti, A. M., Syafitri, W., Finuliyah, F., & Khoiruddin, M. A. (2024). Employed yet still poor: A microdata analysis of working poverty in Indonesia. Jurnal Ketenagakerjaan, 19(3), 281–294.
Siregar, T. H. (2020). Impacts of minimum wages on employment and unemployment in Indonesia. Journal of the Asia Pacific Economy, 25(1), 62-78.
Siregar, T. H. (2022). Investigating the effects of minimum wages on employment, unemployment and labour participation in Java: a dynamic spatial panel approach. Bulletin of Indonesian Economic Studies, 58(2), 195-227.
Sseruyange, J., & Bulte, E. (2020). Wage differentials and workers’ effort: Experimental evidence from Uganda. Oxford Bulletin of Economics and Statistics, 82(3), 647–668.
Sugiharti, R. R., & Kurnia, A. S. (2018). Gender wage gap and education: Case in Indonesia’s labor market. E3S Web of Conferences, 73, 11019.
Tjakrawerdaja, S., Soedarno, S., Lenggono, P. S., Purwandaya, B., Karim, M., & Agusalim, L. (2021). Sistem ekonomi Pancasila (4th ed.). Depok: Rajawali Press.
Todorova, B., & Radulovikj, M. (2020). Work-life balance-challenges of gender equality in the labor market in The Republic of North Macedonia Vs European Union. EU and comparative law issues and challenges series (ECLIC), 4, 751-770.
Utomo, G., & Raspati, G. (2021). Perspektif yuridis standar pengupahan tenaga kerja era pandemi Covid-19. Cakrawala Repositori IMWI, 4(1), 17–26.
Velthuis, S., Sissons, P., & Berkeley, N. (2019). Do low-paid workers benefit from the urban escalator? Evidence from British cities. Urban Studies, 56(8), 1664–1680.
White, N., Parsons, R., Collins, G., & Barnett, A. (2023). Evidence of questionable research practices in clinical prediction models. BMC Medicine, 21(1), 339.
Wijayanto, A. Y., & Sari, D. W. (2019). Analysis of decision to work of female workers in Indonesia. Economics Development Analysis Journal, 8(3), 290–300.
Wong, S. A. (2019). Minimum wage impacts on wages and hours worked of low-income workers in Ecuador. World Development, 116, 77-99.
Xu, Q., Wang, L., Zhang, Y., & Jiang, X. (2023). On-call work and depressive mood: A cross-sectional survey among rural migrant workers in China. Frontiers in Psychology, 13, 1068663.
Yang, J., & Gunderson, M. (2020). Minimum wage impacts on wages, employment and hours in China. International Journal of Manpower, 41(2), 207-219.
Yuniashri, E., Susilo, S., & Wahyudi, S. T. (2023). Does informal sector suitable for female labor? JEJAK: Jurnal Ekonomi dan Kebijakan, 16(1), 58–73
Zipperer, B. (2022). Turnover, prices, and reallocation: Why minimum wages raise the incomes of low-wage workers. Journal of Law and Political Economy, 3(1), 160–171.
Authors
Agusalim, L., Siregar, H., Anggraeni, L. and Mulatsih, S. (2025) “Unveiling the Profile of Low-Wage Workers in Indonesia”, Jurnal Ketenagakerjaan, 20(1). Available at: https://journals.kemnaker.go.id/index.php/naker/article/view/471 (Accessed: 20 August 2025).
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.