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The Governance of Indonesian Overseas Employment in the Context of Decentralization


  • Bachtiar, Palmira Permata


This study looks at emigration governance in the context of decentralized Indonesia. It examines various local initiatives that have evolved following the onset of decentralization in Indonesia a decade ago. These initiatives materialized in the form of local regulations (perda). First, we perform a literature review which particularly addresses the issue of perda related to overseas employment. Prior to the mapping analysis, a typology of four possible types of classification is constructed. Out of the 127 collected perda, 81% fall in type-1 perda (perda on general employment which are extractive); 14.2% in type-2 perda (perda on general kabupaten (district) revenue which are extractive); 2.4% in type-3 perda (perda on placement procedure which are nonextractive); and 2.4% in type-4 perda (perda on migrant worker protection which are nonextractive). We find that migrant-source kabupaten issue both higher numbers and varieties of perda related to overseas employment with type-1 and type-2 perda being the majority, while only three kabupaten (3.7% of 82 kabupaten) issue type-4 perda. Interestingly, our typology is not necessarily mutually exclusive, as kabupaten that pass protection perda do pass extractive perda as well. Second, we conduct fieldwork in four migrant-source kabupaten which have received technical assistance from donor agencies to formulate protection perda. In order to understand why Kabupaten Blitar and Lombok Barat were able to pass protection perda, while Kabupaten Ponorogo and Lombok Tengah could not, we look at the internal factors: stakeholders and the relationships between them; and the external factors which are beyond the control of the stakeholders. Our field research shows that the policy process in each kabupaten is unique and cannot be explained in a standard model. The duration of the policy process, substance of the perda, position of the advocating nongovernmental organizations (NGOs), intervention of the private recruitment agencies (PPTKIS), and the timing of election are the factors the outcomes of which are different in each kabupaten. Other factors such as the trust and commitment of the local government and parliament, strong capacity of NGOs, and strong support of donors also positively influence the success of the process.

Suggested Citation

  • Bachtiar, Palmira Permata, 2011. "The Governance of Indonesian Overseas Employment in the Context of Decentralization," Discussion Papers DP 2011-25, Philippine Institute for Development Studies.
  • Handle: RePEc:phd:dpaper:dp_2011-25

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    References listed on IDEAS

    1. Michael M. Alba & Roehlano M. Briones, 2009. "A method for calibrating input (and output) price elasticities," Philippine Review of Economics, University of the Philippines School of Economics and Philippine Economic Society, vol. 46(2), pages 63-89, December.
    2. Bouis, Howarth E., 1996. "A food demand system based on demand for characteristics: If there is 'curvature' in the Slutsky matrix, what do the curves look like and why?," Journal of Development Economics, Elsevier, vol. 51(2), pages 239-266, December.
    3. Coyle, Barry T., 1993. "On Modeling Systems Of Crop Acreage Demands," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 18(01), July.
    4. Hertel, Thomas, 1997. "Global Trade Analysis: Modeling and applications," GTAP Books, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University, number 7685.
    5. Theil, Henri, 1969. "A Multinomial Extension of the Linear Logit Model," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 10(3), pages 251-259, October.
    6. Carlos Arnade & David Kelch, 2007. "Estimation of Area Elasticities from a Standard Profit Function," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 89(3), pages 727-737.
    7. Rosegrant, Mark W. & Kasryno, Faisal & Perez, Nicostrato D., 1998. "Output response to prices and public investment in agriculture: Indonesian food crops," Journal of Development Economics, Elsevier, vol. 55(2), pages 333-352, April.
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    Cited by:

    1. Orbeta, Aniceto Jr. C. & Gonzales, Kathrina G., 2013. "Managing International Labor Migration in ASEAN: Themes from a Six-Country Study," Discussion Papers DP 2013-26, Philippine Institute for Development Studies.
    2. repec:ilo:ilowps:471767 is not listed on IDEAS
    3. Manning, Chris. & Aswicahyono, Haryo., 2012. "Trade and employment in services : the case of Indonesia," ILO Working Papers 994717673402676, International Labour Organization.

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    migrant workers; governance; decentralization; local government; local regulation;

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