Abstract

The pressing issues of global warming and climate change have gradually shifted labor market demand towards occupations that contribute to environmental sustainability, known as green jobs. In many developed countries, the green economy has become a priority, leading to predictions of continued workforce absorption. Conversely, many developed nations face demographic challenges such as aging populations and low fertility rates, resulting in a shortage of domestic labor supply. Consequently, this high demand has triggered a significant increase in international labor migration, predominantly from developing countries like Indonesia. Indonesia is currently the second-largest labor sending country in Southeast Asia and is undergoing a transition from being dominated by informal workers to formal workers.

Financial instability is a significant issue faced by many migrant workers in Indonesia. They are burdened with high recruitment costs, despite the International Labour Organization (ILO) stipulating that these costs should be entirely borne by employers. Given the increasing demand for workers proficient in green jobs, it is hypothesized that they will achieve better financial stability.

This study aims to explore the role of green jobs within the context of Indonesian migrant workers and their impact on the ability to break even on recruitment costs incurred. The research will analyze the types of jobs undertaken by migrant workers abroad, focusing on whether these roles qualify as green jobs and how this influences the duration of employment required to reach the break-even point. Employing quantitative methods, the study utilizes data from the 2023 Indonesia National Labor Force Survey (NLFS). A regression model will be used to identify the relationship between the type of green job and the migrant workers' ability to achieve a break-even point. One key finding highlights that resource recovery jobs in Europe often involve dirty, low-paid work heavily reliant on migrant labor. By integrating these findings, this research aims to provide insights into how green jobs influence the financial dynamics and working conditions of migrant workers. The outcomes of this study will contribute to a deeper understanding of the significance of green jobs in supporting the financial sustainability and overall welfare of Indonesian migrant workers.