Impact of local public employment policies on employment relationships and industrial relations in Pasuruan District, Indonesia

This article examines the impact of local Labour system policies on industrial relations in Pasuruan Regency, through qualitative methods and a public policy approach. Research into the Pasuruan Regency includes data sources from policy makers and industrial relations actors in Pasuruan Regency, including: Pasuruan Regency Manpower and Transmigration Office, APINDO (Indonesian Employers 'Association), Indonesian Muslim Workers' Association (Sarbumusi), and Pasuruan Regency. This article's data analysis uses the interactive models of A. Michael Huberman and Mattew B. Miles. Data is validated based on transferability, dependability, and confirmability. The results of this study indicate that industrial relations between workers and employers are still in a contradictory position. Local Regulation Number 22 of 2012 concerning the Labour System in Pasuruan Regency benefits workers in asserting their rights. Policies related to improving the welfare of workers in Pasuruan Regency are very good, ranking in the top 4 Regional Minimum Wages of the 38 Cities/Regencies in East Java. On the other hand, the existence of Local Regulation Number 22 of 2012 is burdensome for entrepreneurs, so their participation in implementing the policy is low. To strengthen their position, entrepreneurs use the legislative regulations of the Central Government, including the Law of the Republic of Indonesia Number 13 of 2003, Law of the Republic of Indonesia Number 2 of 2004, and Government Regulation of the Republic of Indonesia Number 78 of 2015. In addition, entrepreneurs also use the Regional Regulation of East Java Province Number 8 of 2016 to reject various policies in the Pasuruan Regency that were not favourable to them. The results of this study provide suggestions for reviewing the substance of the Pasuruan Regency Regional Regulation Number 22 of 2012 by aligning the interests of the Regional Government, Entrepreneurs, and Trade Unions and developing more open communication media to build synergies between the industrial relations factors in Pasuruan Regency.