Determinan Penyerapan Tenaga Kerja Di Pulau Jawa Tahun 2013-2020

Labor has an important role in economic development, and a common problem that occurs is the number of people in the workforce that always exceeds the available jobs, particulary in the island of Java. This study aimed to estimate the effect of the Human Development Index (HDI), government spending, and inflation on employment in Java in 2013-2020 by using a panel data regression with the Fixed Effects Model (FEM) approach. The results of this study showed that partially, HDI had a positive effect on labor absorption, while government spending and inflation had no effect. To increase the absorption of labor in Java, the governments are expected to be able to improve the quality of education and services in the health sector. In addition, the governments should focus more on spending on potential economic sectors that can increase employment