| dc.description.abstract | This study aims to analyze the effect of foreign worker migration on employment
in the Indonesian labor market. The increasing number of foreign workers has
raised concerns regarding its impact on domestic labor opportunities, particularly
in developing countries such as Indonesia. While foreign labor can contribute to
economic growth through technology transfer and knowledge exchange, it may also
increase competition in the labor market.
This research uses a quantitative method with panel data from three Southeast
Asian countries: Indonesia, Malaysia, and the Philippines during the period of
2014–2024. The variables used include employment as the dependent variable,
while Gross Domestic Product (GDP), unemployment, labor force, and migration
are used as independent variables. The data were analyzed using panel data
regression with EViews 12 software. Based on the Chow Test, the Common Effect
Model (CEM) was selected as the most appropriate model.
The results show that migration has a negative and statistically significant effect
on employment. This indicates that the increase in foreign worker migration may
reduce employment opportunities for domestic workers due to increased
competition in the labor market. Therefore, appropriate government policies are
needed to balance the benefits of foreign labor with the protection of domestic
employment. | en_US |
