Research Article
Does The Minimum Wage Policy Have an Effect on Welfare? (Case Study in West Java Province)
@INPROCEEDINGS{10.4108/eai.10-10-2023.2342191, author={Sri Nurhayati and Dikdik Kusdiana and Restu A Suryaman}, title={Does The Minimum Wage Policy Have an Effect on Welfare? (Case Study in West Java Province)}, proceedings={Proceedings of the 5th International Public Sector Conference, IPSC 2023, October 10th-11th 2023, Bali, Indonesia}, publisher={EAI}, proceedings_a={IPSC}, year={2023}, month={12}, keywords={welfare minimum wage productivity human development index panel data analysis}, doi={10.4108/eai.10-10-2023.2342191} }- Sri Nurhayati
Dikdik Kusdiana
Restu A Suryaman
Year: 2023
Does The Minimum Wage Policy Have an Effect on Welfare? (Case Study in West Java Province)
IPSC
EAI
DOI: 10.4108/eai.10-10-2023.2342191
Abstract
This study focuses on analyzing the role of minimum wages, productivity levels, and the human development index on people's welfare. The locus of this study is the districts/cities in West Java province with an analysis period from 2015-2021 using the panel data regression analysis method. The results of the analysis found that in fact, the minimum wage has a negative impact on the level of welfare. On the other hand, a high level of productivity has a positive influence on the level of welfare. Increases in productivity lead to the creation of new jobs and increases in individual incomes, with a positive impact on people's living standards. In addition, the results of the study found that the human development index has a positive impact on the level of welfare. Simultaneously the minimum wage, productivity level, and human development index have a significant influence on the level of welfare.