Employment: Definition, Classification, Planning and Employment Problems

Employment Definition, Classification, Planning and Employment Problems

Nikereact.org  – Employment is everything related to labor. In Law No. 13 of 2013 concerning manpower, it is defined as all matters relating to labor before, during, and after the work period. Labor is everyone who is able to do work to produce goods or services both to meet their own needs and for the community. Check out a more complete explanation below,

Definition of Employment

Employment Definition, Classification, Planning and Employment Problems

According to Article 1 paragraph (1) of Law Number 13 of 2003 concerning Manpower, it states, “Employment is all matters relating to labor before, during, and after the work period.”

The package of labor laws itself consists of three laws, which include Law No. 13 of 2003 concerning Manpower, Law no. 21 of 2000 concerning Trade Unions/Labour Unions, and Law no. 2 of 2004 concerning the Settlement of Industrial Relations Disputes which is discussed in full in the Manpower Act and its Elucidation.

According to the provisions of Law no. 13 of 2003 concerning manpower and its implementing regulations, from government regulations, ministerial regulations, to related ministerial decisions, it can be concluded that there are several definitions of manpower, as follows: Manpower is everything related to manpower before, during, and after the end of the employment relationship, labor is an object, i.e. any person who is able to do work to produce goods or services, for his own and other people’s needs. Worker or laborer is anyone who works for other people by receiving wages in the form of money or remuneration in other forms and Employer is an individual or legal entity that employs other people by paying wages or other forms of remuneration.

In addition to the definition according to the government regulation, the experts also contributed their opinions on what is meant by manpower planning, including the following:

  • George Milkovic and Paul C. Nystrom, who said that what is meant by workforce planning is the process of forecasting, developing, implementing and controlling which ensures the company has a suitable number of employees, the right placement of employees, the right time, which is automatically more useful.
  • Andrew E. Sikula, who argues that workforce planning is the process of determining workforce needs and means meeting these needs so that their implementation interacts with organizational plans.
  • Miner and Miner, who stated that workforce planning is a process carried out to ensure the right number and type of people in occupying a position and at the right time in the future, and who are able to do the things necessary for the organization to run in a sustainable manner. order to achieve its goals.
  • Dale Yoder stated that in workforce planning there are important things that cannot be left out, namely: Effective use. Estimated needs. Development of policies and programs to meet needs. Reviewing and supervising the entire process.

Next we will discuss about manpower development in Indonesia which is regulated by various laws which you can read in the Manpower Law Book of the Republic of Indonesia.

Manpower development has been mandated in our basic constitution, the 1945 Constitution, whose implementation is based on the basis of integration through central and regional sectoral functional coordination. The development of Manpower in Indonesia itself has the following objectives: Empower and utilize the workforce optimally and humanely Realizing equal employment opportunities and providing manpower in accordance with national and regional development needs Provide protection for workers in realizing prosperity Improve the welfare of workers and their families. The benefit of workforce planning is that it can manage the workforce to be able to work more efficiently and more effectively. With the workforce planning, the first effort that must be made is an inventory of the workforce which includes: the number of existing workers. qualifications of each worker. length of service of each worker. abilities, knowledge and education of each workforce. the potential and talents of each workforce. interests and concerns of each worker.

Labor Classification

In the implementation of manpower, business actors and workers bind themselves in a legal relationship through a bond or work agreement that has been agreed upon by both parties, is written or oral and is based on the applicable labor laws and regulations. The rights and obligations between employers and workers are also a concern in order to create security and comfort when carrying out work activities. If a dispute arises between the entrepreneur and the workforce, the governing law is Law No. 2 of 2004 concerning Settlement of Industrial Relations Disputes. Every form of dispute has a method or procedure that applies and must be followed by both parties, either through negotiation, mediation, conciliation, arbitration or resolved in the Industrial Relations Court.

Labor Based on Quality

Educated Workforce

An educated workforce is someone who has knowledge and expertise in a particular field. This knowledge and expertise is generally obtained through their formal education. Examples are doctors, lawyers, notaries, and so on.

Trained Workforce

The next type of workforce is trained workforce. Trained workers are workers who acquire their expertise generally through non-formal education such as skills training, courses, and so on. Examples of welders (welder), especially underwater welders, mechanics, cooks (chef) and so on. Although generally through non-formal education, trained workers can also go through formal education such as surgeons, forensic experts, and autopsies.

Uneducated and Untrained Workforce

Where the work done does not require someone to have certain skills or obligations. Simple examples are housemaids, freight forwarders, and so on.

Not Labor

Based on the definition of employment that has been described previously. Not everyone can be defined as a workforce. The definition of non-labor is a person who has not entered working age or someone who has entered working age but does not work for certain reasons. Examples are a child who is less than 15 years old and someone who is more than 64 years old, housewives, students, and so on.

Labor Based on Work Limit

Workforce

The labor force is the productive age population aged 15-64 years who already have a job but are temporarily not working, or who are actively looking for work.

Not the Labor Force

Those who are not in the workforce are those aged 10 years and over whose activities are only going to school, taking care of the household and so on. Examples of this group are: school children and university students, housewives and people with disabilities.

Labor Based on Population

Labor

Labor is the total number of people who are considered able to work and are able to work if there is no demand for work. According to the Manpower Act, those who are classified as workers are those aged between 15 and 64 years.

Not Labor

Non-labor are those who are considered unable and unwilling to work, even though there is a demand for work. According to the Labor Law no. 13 of 2003, they are residents outside the age, namely those who are under 15 years old and over 64 years old. Examples of this group are retirees, the elderly (elderly) and children.

Manpower Planning

Manpower planning aims to carry out a systematic manpower plan which can later be used as a reference in formulating policies, strategies, and other manpower development programs on an ongoing basis.

The Government of Indonesia, in terms of determining policies and preparing manpower planning programs, grouped them into two groups. Macro worker planning and micro worker planning. It is compiled based on relevant analyzes and data sets and compiled in employment information. Changes in regulations can also occur which are influenced by technical, economic and legal aspects which are discussed further in the book Wages in the Perspective of Indonesian Manpower Law.

Employment information itself is collected from both the government and the private sector which has important elements in manpower planning.

Macro Manpower Planning

Systematic manpower planning by using labor optimally and productively to stimulate growth. The growth in question is economic and social growth both on a national, regional and sectoral scale which can open up the widest possible employment opportunities, so as to increase the productivity and welfare of workers.

Micro Manpower Planning

Unlike macro workforce planning, micro workforce planning has a smaller scope. The scope referred to here is only limited to the scope of the agency, be it government or private companies. In terms of understanding between macro and micro manpower planning have similarities. In terms of micro worker planning, the meaning is systematic manpower planning in an agency, government or private. Aiming at the optimal and productive use of manpower to achieve higher performance in the relevant agencies.

Employment Issues

Employment problems can arise due to several factors such as education, job opportunities and relatively low economic growth. Therefore, there is an employment law that regulates these problems which you can read in the book by Aries Harianto below.

This is experienced by many countries, including Indonesia, because until now there are still many unemployed or more precisely people who cannot work because of the lack of job opportunities. Employment Problems Until now, Indonesia is still experiencing labor problems such as the low quality of the workforce, the number of workers who are not commensurate with job opportunities, and the classic problem, namely the unemployment rate in Indonesia. In February 2019, the number of workers according to the Central Statistics Agency was 136.18 people. This figure experienced an increase of 2.24 million people compared to 2018 in the same month. The good news is that the unemployment rate in February 2019 decreased to 5.01 percent from the previous period. There are still many things that need to be addressed in order to overcome the problems above. Human resource development, creative industry development and programs that support small and medium enterprises can be an option in overcoming the problems above. One of the important points of the definition of employment is the optimal and efficient use of manpower. There are three labor problems that often occur in Indonesia:

  • Low quality workforce – The quality of the workforce in a country can be determined by looking at the country’s education level. Most of the workforce in Indonesia, the level of education is still low. This causes the mastery of science and technology to be low. The lack of mastery of science and technology causes low labor productivity, so this will affect the low quality of the production of goods and services.
  • The number of the labor force that is not proportional to the employment opportunities – The increasing number of the labor force which is not matched by the expansion of employment opportunities will bring its own burden to the economy. The labor force that is not accommodated in the workforce will cause unemployment. In fact, the government hopes that the increasing number of the workforce can be a driver of economic development.
  • Unequal distribution of the workforce – Most of the workforce in Indonesia resides on the island of Java. Meanwhile in other areas there is still a shortage of manpower, especially for the agricultural, plantation and forestry sectors. Thus in Java there is a lot of unemployment, while in other areas there are still many natural resources that have not been managed optimally.
  • Unemployment The occurrence of the economic crisis in Indonesia resulted in many industries in Indonesia experiencing bankruptcy. As a result, many workers have stopped working. In addition, the number of companies that went out of business resulted in the narrowing of existing job opportunities. On the other hand, the number of labor force continues to increase. Thus unemployment will increase.

Exploring more in-depth information related to labor law in Indonesia in a comprehensive manner with a focus on the rule of law. The nature of the nature of employment law, and so on can also be studied by  in the book on Labor Law in Indonesia.

Employment Opportunity

If we look at the understanding of employment in general and in the context of its development, one of the important elements of manpower planning is employment opportunities. This article will discuss specifically about employment opportunities for people with disabilities. What are the rules that support the creation of fair and equitable employment opportunities in general? Come on, let’s just talk about it. Article 5 of Law No. 13 of 2003 concerning Manpower explains in general that every worker in Indonesia has the same rights to get a job and a decent living. Regardless of gender, ethnicity, race, religion, politics, in accordance with the capabilities of the workforce concerned, including persons with disabilities.

Job Opportunities for People with Disabilities

Based on the information described above. Friends who have family members or relatives who have disabilities now know their right to get a job and a decent living. It is not justified for a company to reject people who meet qualifications both in terms of education and ability in the world of work on the grounds that the person concerned has limitations. In providing employment for persons with disabilities, companies must provide protection according to the type and degree of disability based on the applicable laws and regulations. Development and job training carried out by companies for persons with disabilities must take into account the type, degree of disability, and work ability of the person concerned. The elements of manpower planning include: population and workforce, job opportunities, job training, including work competence, labor productivity, industrial relations, working environment conditions, wages and labor welfare; and labor social security.

Macro Manpower Planning

As explained above, manpower planning is divided into macro and micro manpower planning. What is meant by macro manpower planning here is systematic manpower planning by using labor optimally and productively to stimulate growth. The growth referred to here is economic and social growth both on a national, regional and sectoral scale which can open up the widest possible employment opportunities, so as to increase the productivity and welfare of workers.

Micro Manpower Planning

Unlike macro workforce planning, micro workforce planning has a smaller scope. The scope referred to here is only limited to the scope of the agency, be it government or private companies. In terms of understanding between macro and micro manpower planning have similarities. In terms of micro worker planning, the meaning is systematic manpower planning in an agency, government or private. Aiming at the optimal and productive use of manpower to achieve higher performance in the relevant agencies.

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