Selasa, 23 Oktober 2012

Labor Productivity and Economy of Indonesia


A country will never be free of the problems associated with its citizens. Especially in the country that has such a high population as Indonesia. Issues of employment, unemployment, and poverty Indonesia has been the subject of this nation and requires immediate treatment so as not to stand in the twisted and Indonesia to become more advanced Mengara. Indonesia actually had a favorite place for entrepreneurs from abroad to build their businesses here. One of some reasons why Indonesia targeted by foreign entrepreneurs because labor cost in Indonesia  is cheap.

Labor is one of some factors of production in a company. Labor has an important role in a company because labor is the main factor so without labor the company wouldn’t produce anything and there wouldn’t be any production process. Labor has an effect to the economy of country, especially in Indonesia.
There are many people in Indonesia work as a labor. Work as a labor makes them to get higher salary. Although the minimum salary in Indonesia still lesser than International’s minimum salary but it is better than they must work as a farmer because the goverment did not protect the price of vegetables and fruits and the consumer often choose import product than local product. Nowadays, price range between local product and import is not too much. That’s why many people want to be a labor. They want to be a labor because they have some problems,  the problems are they have no job, they want to have a better life, and many things.
 To be a labor is not as easy as we thought. Every company  has requirement to recruit the labor, for example : a company want to hire a labor and they anounced that everyone who want to be a labor, at least they must graduated from senior high school. Alhtough they graduated from senior high school, they must have ability to do something even though before the labor is ready to work,  the labor would be given a training by the company so after that training he/she could operate the machine or make a product by their hand. The quality of product depends on the labor.

All of product from the company depends on labor works. They take the control of production and the the final result of the product affect the product in the market. There are some factors that can make public give their attention to the product and and buy the product .To make a product or goods we need source and Indonesia has many sources that’s why there are many investors came to Indonesia because Indonesia has everything to make a good. The investors need labor to make their product. Although the most of investors are big company they are still hiring Indonesian. Quality of Indonesian’s labor is not as bad as we looked. Work as a labor helps their economy become better than before. The  requirement’s standard for labor in Indonesia is not as much as another countries. The most important thing if they want to be a labor is they can read well and understand how to do something that needed by company.

As we know, some factors directly or indirectly affect the performance, living standard, eduction of labor, and the quality of labor.  Indonesia has 240 million citizen and there are many human resources that can do anything. Statistic shows that the most of Indonesian people make their living to work as a labor. Labors are workers that are hired by the company in which they have no control to the company in other words  they do orders according to their superiors. This phenomenon occurs since the colonial’s era.
As we know, Indonesia has long been applying manual labor. Manual labor is a work in which to produce goods by their hand or usually called hand-made production. Although hand-made product is not as fast as machine product, but hand-made product usually  more cared because the finishing of that product conducted by direct observation.  The most of countries in this world like hand-made product from Indonesia. It can help to make economy of Indonesia become better than before.
Quality of the products produced by the hands of Indonesian workers well above that produced by the hands of workers in China, Cambodia, Vietnam. That is why when an investor Indonesia or other multinational companies spread its wings into these countries, brings with Indonesian forces to train and pass on work to the advantage of quality workers in those countries.
On the other hand, Indonesia is a country which make their citizen’s salary is below Filipina, China, Thailand and Malaysia and it has an effect to the labor. Sell ​​cheap labor amid an increasingly fierce global competition and the entry of Indonesia as a member of the G-20 is way too primitive and wounded national pride. Moreover, the arrival of foreign investors to Indonesia foremost based on geographic considerations Indonesia are very strategic to reach regional markets in Asia which now more powerful and power of the Indonesian domestic market more lucrative.
Low wages force workers to work overtime. Research AKATIGA with ILO late last year found the garment workers in the bonded area will be obtained Rp.2,500,000 per month if they work 12-16 hours a day. Working hours as long as it will impact negatively on productivity due to less time to reproduce the energy for tomorrow. If  low wages maintained it will only be another disincentive for investors.

Both of advantages and disadvantages have effect to the economy of  Indonesia. On the one hand, Indonesia will get many investors and it will make the income of  Indonesia will be higher. It is not easy to offer the investors with salary of labor which below of  the other countries because they have to think about labor’s life. On the other hand, if  goverment of  Indonesia sets the salary of labor above the average it will make the investors to not to invest their company in Indonesia and it will reduce the labor productivity because labor is a man that need money, they need rest and they need to make their life better.

To overcome this, labor must have respect in every problem that they face on. They must make a revolution for them because if they just let the company to controlled them and it will affect not only to the company, but also it will affect the labor productivity.

When labors have respect to their problem, it is not only about their problem, but also it is goverment problem. Goverment must give their attention to labor’s request because labor will help to grow the Indonesian’s economy because without the labor, the investor did not want to make their company in Indonesia. Indonesian’s labors have great quality and it has been recognized by other country.

Indonesia is the one of greatest country in this world and it has a potential to be the big 10 in economic sector. If Indonesia want to be the big 10 and it depends on the labor. We have quality labor and they must get something more than now if we want to be the best one.

Sources

Data Writer :
Name : Aldo Pranata N
NPM  : 120110120170
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