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BPS says number of full-time workers in Indonesia rises, working conditions improving

Tempo - November 8, 2022

Riri Rahayu, Arrijal Rachman, Imaji Lasahido (Intern), Jakarta – The Central Statistics Agency (BPS) has stated that working conditions in Indonesia have improved. Head of BPS, Margo Yuwono, said the improvement is observed by the increasing proportion of full-time workers.

"The percentage of full-time workers or those who work more than 35 hours per week shows an increase from 64.30 percent in August 2021 to 68.46 percent in August 2022," said Margo in a virtual press conference, Monday, November 7, 2022.

Margo said employment conditions had also improved in the previous two periods. In 2021, the trend of full employment is only 64.30 percent. And in 2020, the number decreases to 63.85 percent.

Although with the improvement, the number of the full employment rate in 2022 is still not higher than before the pandemic. In 2019, the proportion of full-time workers reached 71.04 percent.

In addition to the increase in the proportion of full-time workers, the improvement in the employment situation in Indonesia is marked by an increase in formal workers. Margo said that of the 135,30 million people who work, 37.6 percent of them have status as labourers or staff and employees. The proportion of formal workers, he said, rose 0.14 points.

"The increase in the number of formal workers shows that the situation continues to improve even though it has not fully recovered to pre-pandemic proportions," he said.

Furthermore, in terms of accommodation, the agricultural, trade, and manufacturing sectors have the largest contribution. Margo said that the agricultural sector has drawn in the highest number of workers.

From August 2021 to August 2022, his office reported that the agriculture sector was able to accommodate 1,57 million people. While the trade sector accommodates 450 people and 470,000 people in the processing industry.

"In total, these jobs have contributed 62.14 percent," said Margo.

Ministry of Manpower stated unemployment rate drops

Manpower Minister Ida Fauziyah, previously disclosed that the open unemployment rate (TPT) in Indonesia has decreased in the last two years, or since the Covid-19 pandemic in 2020. TPT is the percentage of the number of unemployed to the total workforce.

Citing data from the Central Statistics Agency (BPS), until February 2022, TPT in Indonesia was 5.83 percent. This number continues to decline in 2021 which was 6.2 percent and in 2020 which was at 7.07 percent during the outbreak of the Pandemic.

"Alhamdulillah (Praise to God) for the hard work of these stakeholders, we can reduce unemployment to 5.83 percent," Ida said at the 2022 National Job Fair at the Jakarta Convention Center, Sunday, October 30, 2022.

Ida expressed that the number continues to decline even though the workforce in Indonesia increases every year by 4.2 million people. The increase itself is impacted by the demographic bonus in Indonesia, which only reached its peak in 2030.

Ida explained that the government's ability to suppress the number of unemployed was due to the policy that had been implemented by President Joko Widodo (Jokowi). According to Ida, Jokowi concentrates on improving the quality of human resources in Indonesia through vocational strengthening.

Source: https://en.tempo.co/read/1654433/bps-says-number-of-full-time-workers-in-indonesia-rises-working-conditions-improvin