Objective – This paper examines whether the implemented ASEAN Economic Community AEC 2015 measures have a significant effect on ASEAN industrialization. Design/methodology – The examination was performed by comparing the growth of manufacturing indicators before and after the period of the AEC Blueprint implementation. panel data was used to examine the trend of manufacturing development in ten ASEAN countries: Brunei Darussalam, Cambodia, Indonesia, Lao, Malaysia, Myanmar, Philippines, Singapore, Thailand, and Vietnam. The panel data analysis examined seventeen years data on ten ASEAN countries that reported manufacturing indicators (mnfemp, mnva, rmva), GDP per capita, and population. The AEC Blueprint is implemented in a specific timeline since the year 2008 by ASEAN countries. Results – This study found that there are no significant differences in the growth of manufacturing employment and the growth of nominal manufacturing value-added before and after a period of AEC blueprint implementation. Also, the growth of the real manufacturing value-added in the period of AEC blueprint implementation is less than prior AEC era. The findings of this study support studies that criticize the AEC implementation.
This study explores the impact of minimum wages on the wages of construction workers in the informal sector. Using cross-sectional data consisting of 717 samples from 62 construction projects in 24 provinces in Indonesia, we uncover that the variation of construction worker wages across provinces follows the variation of minimum wages. On the demand variables, the magnitude of GDP and workers productivity in a province is not related to construction workers' earnings. While, on the supply side, the level of formality in a province shows a positive relation to construction workers' wages. In addition, the result also supports the previous literature that the nature of construction workers is moving from one project to another across cities as part-time workers. Lastly, another finding is that the base of estimation price in public procurement for the wage of construction workers is market wage.
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