Informal Employment in Indonesia
Cuevas, Sining; Mina, Christian; Barcenas, Marissa; Rosario, Aleli | April 2009
Abstract
The paper attempted to use the February 2007 round of Indonesia’s National Labor Force Survey (Sakernas) for a comparative analysis of wages and benefits of formal and informal workers. While Sakernas was not designed for this purpose, the study explored questions in the existing survey that can be used to distinguish formal and informal workers. Because of data limitation, workers were classified as employed informally or “mixed”—a category composed of workers who cannot be identified, with precision, to be engaged in either formal or informal employment. Given this constraint, informal employment was estimated at the minimum to be at 29.1% of total employment in Indonesia. Informal employment is also highly concentrated in rural areas and is prevalent in agriculture and construction sectors. More women are likely to be informally employed than men, and women generally receive lower pay and are mostly unpaid family workers. To the extent possible the study was able to examine informal employment in Indonesia and to identify the gaps in the Sakernas questionnaire that can be addressed in future rounds of the survey for a successful comparative analysis between formal and informal workers.
Citation
Cuevas, Sining; Mina, Christian; Barcenas, Marissa; Rosario, Aleli. 2009. Informal Employment in Indonesia. © Asian Development Bank. http://hdl.handle.net/11540/1805. License: CC BY 3.0 IGO.ISSN
1655-5252
Keywords
Poverty Analysis
Participatory Poverty Assessment
Poverty Reduction Strategy
Extreme Poverty
Economic development
Growth And Poverty
Income Distribution
Demographic Indicators
Social Justice
Price stabilization
Food prices
Price policy
Social change
Social accounting
Inequality of income
Economic growth
Qualilty of Life
Open price system
Price fixing
Price regulation
Consumer price indexes
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Citable URI
http://hdl.handle.net/11540/1805Metadata
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