Can New Graduates Enter Middle-Class Jobs During The Covid-19 Pandemic in Bali?
Luh Gede Meydianawathi- I Gusti Agung Ayu Apsari Anandari- Ni Ketut Budiningsih- Made Sinthya Aryasthini M.

Faculty of Economics and Business, Universitas Udayana

Abstract

A middle-class job is defined as a job that pays a level of income and gives a certain level of job satisfaction, benefits, and security commensurate with the expectations of a middle-class population (The World Bank, 2021). Meanwhile, Bali^s performance in encouraging the growth of middle-class jobs is still relatively low, particularly for youth (new graduates), which is considered crucial in economic development. Using the 2019 and 2021 National Labor Force Surveys (Sakernas), this study examines the possibility of new graduates entering middle-class jobs in Indonesia and the socioeconomic factors that may be driving the process during and post COVID-19 pandemic. By employing a logit model, we hypothesizes that new graduates have a lower chance of becoming middle-class workers in both periods. This study also shows a greater chance of becoming middle-class workers to new graduating males during the pandemic than in the previous period. Besides gender, other characteristics that can increase the opportunities to enter middle-class jobs are living in urban areas, having higher education, and being married. In addition, three dominant sectors support middle-class jobs for new graduates: service activities.

Keywords: middle-class jobs, SAKERNAS, youth, new graduates

Topic: Development economics