Determinan Permintaan Tenaga Kerja Sektor Industri Besar Dan Sedang Di Indonesia Tahun 2014-2018

Industrialization is an essential factor for an economy since it is an indicator for a successful development of a country. The acceleration of the industrialization process in Indonesia from 2014 to 2018 has been progressively increasing, which can potentially accelerate economic growth, reduce unemployment, and increase employment in Indonesia. This study aimed to estimate the effect of wage, the number of establishments, and capital on the number of workers in large and medium enterprises in manufacturing sector in Indonesia from 2014 to 2018 using a panel data regression with a Fixed Effect Model (FEM) approach. The results of this study indicated that wages, the number of establishments, and capital were proven to simultaneously affect the number of workers in large and medium enterprises. Meanwhile, each of the independent variables was proven to positively affect the number of workers. It is imperative that the government prioritize in accelerating the process of sustainable industrialization in Indonesia so that job opportunities can be created and economic development can be reached