THE ROLE OF MICRO, SMALL, AND MEDIUM-SIZED ENTERPRISES IN LABOR ABSORPTION IN GARUT REGENCY

Abstrak

Unemployment in Indonesia has become a difficult problem to solve. MSMEs play a role in addressing unemployment and boosting the national economy by absorbing a large workforce. This study aims to determine the role of MSMEs in absorbing the workforce in Garut Regency. This study employs a qualitative descriptive method, reviewing literature and data from various sources. The results indicate that MSMEs play a significant role in the national economy through substantial labor absorption. Data for 2024 indicates that Garut Regency has a relatively high projected number of MSMEs, totaling 369,568 units, with a correspondingly high workforce of 374,017 people, resulting in a labor absorption ratio of 1.01 percent. This is evidenced by the large number of workers in the informal sector. However, MSMEs in Garut Regency still face significant challenges.