Analysis The Role of Industrial Area to Labor Absorption in Medan City

Abstract

The purpose of this study was to determine whether wages, production and length of business affect labour absorption in Medan City. This research uses a quantitative descriptive approach sourced from primary data. Descriptive research is a study that describes variables as they are supported by data in the form of numbers. The population used in this study were 330 companies in the industrial area. The sample taken using the non-probability sample method was 37 industrial companies that are still actively standing. The results of the research conducted show that wages, production and length of business can explain labour absorption in Medan City by 20% and the rest is explained by other variables outside the study. Wages have an insignificant negative effect on labour absorption, production has an insignificant positive effect on labour absorption and length of business has a significant positive effect on labour absorption.