Labour Mar
k
et for People with Disabilities
Exclusion or Inclusion?
Muslikhah Norma Fajari and Rina Herlina Haryanti
Department of Public Administration, Faculty of Social and Political Science, Universitas Sebelas Maret
Jl. Ir.Sutami 36A, Surakarta, Indonesia
muslikhahnf26@student.uns.ac.id, rinaherlinaharyanti@staff.uns.ac.id
Keywords: people with disability, employment of disability, labour market, social inclusion, and inclusive labour
market.
Abstract: People with disabilities are generally considered as incapacitated in the workforce, so they often experience
exclusion to participate in employment opportunities. Yet work is a crucial issue in the lives of people with
disability to survive, construct self-identity, and gain social recognition. However, to obtain the
employment, people with disabilities experience various barriers, such as discrimination in the workplace,
stigma, prejudice, and community stereotypes. This paper discusses how to create a labour market for
people with disabilities, whether exclusion or inclusion. In line with the aims of the study, literature studies
are used to reviews published research findings about labour market for people with disabilities. The results
show that the current quota system for employing people disability in the formal sector is insufficient to
realize an inclusive labour market. Therefore, the appropriate labour market for people with disabilities is
the inclusion that meets the following aspects: recruitment, vocational training, attitudes of working
environment, income, duration of employment, access to social protection and health, and voice.
1 INTRODUCTION
Persons with disabilities are part of the population
with the highest possibility to become poor in
worldwide. Poverty in disability issues began on
barriers to access equal opportunity in
employment (Toening, 2012; Pletzen, Booyens, and
Lorenzo, 2014). Yet, work is a crucial issue for
persons with disabilities to survive and gain social
recognition. (Nota, Santili, Ginevra, and Soresi,
2013; Magoulios and Trichopoulou, 2012)
Ministry of Manpower and Transmigration stated
that the number of labor force disabilities or persons
with disabilities who are in the productive age in
Indonesia in 2010 reached 7,126,409 people
(Sulistyawati, 2015), but 63% of them just does not
work (Jimbon, 2010).
People with disabilities are generally considered
as incapacitated in the workforce, so they often
experience exclusion to participate in employment
opportunities. (Ruhindwa, Randall, and Cartmel,
2016). Whereas, as a citizen of Indonesia, the status,
rights, obligations, and the role of persons with
disabilities is the same as other citizens. Exclusion
of persons with disabilities in the employment
sector is visible from discrimination in the
workplace, stigma, prejudice and stereotypes of
society (ITC 2010; Kuznetsova, 2012; Ruhindwa,
Randall, and Cartmel, 2016).
To reduce the problem of employment of persons
with disabilities, some countries such as Europe and
Asia have adopted a quota system of work which
requires public and private companies to employ
persons with disabilities (Mori and Sakamoto,
2017), as well as Indonesia. In article 53 of Law
No. 8 Year 2016 about Persons with Disabilities,
Indonesia clearly allocate employment opportunities
for persons with disabilities by providing a quota of
2% of their workforce in Government, Local
Government, State-Owned Enterprises, and Local
Owned Enterprises, as well as the quota of 1% of
employees in private companies.
However, the formal sector which employs
people with disabilities is still very low
(Rikin, 2012). Only a few of large companies are
willing to accommodate people with disabilities as a
workforce. That was below the amount of provisions
by law, even some companies in Indonesia are still
don’t know at all about the laws that define the
rights of persons with disabilities to gain
Fajari, M. and Haryanti, R.
Labour Market for People with Disabilities - Exclusion or Inclusion?.
In Proceedings of the 2nd International Conference on Sociology Education (ICSE 2017) - Volume 1, pages 633-639
ISBN: 978-989-758-316-2
Copyright © 2018 by SCITEPRESS Science and Technology Publications, Lda. All rights reserved
633
employment in the company with a quota of 1: 100,
this is what causes the company did not open the
widest access to persons with disabilities who wish
to apply for a job at his company (Coleridge, 1997).
Employers also employ persons with disabilities
because they are in a condition of admission gets a
quota of 1%, not because of their ability to work and
skills. (Pitakasari, 2012), even in practice, employers
often prefer to pay fines rather than reach their
quota (Mori and Sakamoto, 2017; Aurelian, et
al., 2016). This means that the allocation of labor
with disabilities to work in the formal sector is not
enough, so there should be efforts to realize the
inclusion of labor markets for persons with
disabilities that is practices that integrate persons
with disabilities into the workforce. This is
becoming an increasingly common thing, but there
are still many who doubt the competence of this
workforce.
This paper discusses about how to realize the
labor market for persons with disabilities, whether
inclusion or exclusion. It is useful to know how
government and public and private companies in the
realization of the labor market for persons with
disabilities.
2 LITERATURE REVIEW
Inclusion or social exclusion is an aspect of a multi-
dimensional, the relational to increase social
participation, increasing the ability to fulfill the
social role is determined normatively, expand social
relationships in respect and recognition, and at the
collective level, improving social cohesion,
integration, and solidarity. (Silver, 2015)
Social exclusion by Beal, et al in Nurdin
(2015) is the process and circumstances that prevent
individuals or groups to take a full role in social,
economical and political, and in declaring their
rights derived from the relationship of
marginalization power. Social exclusion occurs
when groups experience different treatment, in
which every human being is entitled to protection
and welfare. This case embodies poverty and
inequality, limit the social inclusion. Lenoir in
Mathieson et al (2008) revealed that persons with
disabilities are one of the groups most vulnerable to
social exclusion. Silver in Syahra (2010) proposed
three perspective or a different paradigm in view of
social exclusion: 1) the paradigm of solidarity,
namely the dissolution of social bonds between
individuals in a society, 2) the paradigm of
specialization, in which individuals become different
because of increasing specialization in employment
and vary according to social groups, and 3) the
monopoly paradigm that considers the social setting
is coercive, forced through a set of hierarchical
power relations.
Along with the development problems of social
exclusion, the term of social inclusion appear to
overcome social exclusion, where everyone has
access and can participate in various activities in the
community (Ruman, 2014). Social Inclusion refers
to a process that encourages social interaction
between people with socially relevant attributes or
impersonal institutional mechanism to open access
to participate in all areas of social life, including in
the labor market.
Pless and Maak (2004) defines inclusion as the
labor market integration of workers with different
backgrounds, to work together effectively and show
their greatest potential. Meanwhile, Colella and
Bruye`re in Nellisen, Hulsheger, Ruitenbeek, and
Zijlstra (2015), describes the inclusion in the
workplace as including and accepting persons with
disabilities in the workplace and treated them
same as everyone else by their colleagues. In
realizing the inclusion of the labor market, there are
seven aspects proposed by Magoulios and
Trichopoulou (2012), Aurelian, et al., (2016),
Borghouts and Freese (2017) and Rubery (2015) that
need to be fulfill in realizing inclusive labor market
for persons with disabilities, those are: recruitment,
vocational training, attitudes of the working
environment, income, duration of employment and
promotion, access to social protection and
health, and voice.
3 METHODS
In line with the aims of the study, a qualitative
method is used to discuss how to create a labour
market for people with disabilities, where literature
studies are used to reviews published research
findings about labour market for people with
disabilities. Literature sourced from various research
journals and books published in the last
five years, among other things: Aurelian, et al.,
2016; Borghouts and Freese, 2017; Magoulios and
Trichopoulou, 2012; Nellisen, Hulsheger,
Ruitenbeek, and Zijlstra, 2015; and Rubery, 2015.
Analytical technique used in this literature study
is (1) synthesize, which compares the labor quota
system for disability between Indonesia and
other countries, (2) summarize, which summarizes
the results of an expert study on manpower
ICSE 2017 - 2nd International Conference on Sociology Education
634
disabilities and the labor market for persons
with disabilities, and (3) criticize, providing a view
of how aspects of the labor market inclusion to
be fulfilled. The form should be completed and
signed by one author on behalf of all the other
authors.
4 RESULTS AND DISCUSSION
People with disabilities are generally considered as
incapacitated in the workforce, so they often
experience exclusion to participate in employment
opportunities. (Ruhindwa, Randall, and Cartmel,
2016). The exclusion itself according to Beal, et al
in Nurdin (2015) occurs when there is a difference in
the treatment group experienced, where every
human being entitled to receive protection and
welfare. Lenoir in Mathieson et al (2008) revealed
that persons with disabilities are one of the most
vulnerable groups of social exclusion. This is
because people with disabilities are not only
excluded in the labor market but also get different
treatment in the labor market.
Exclusion of persons with disabilities in the
employment sector is visible from discrimination in
the workplace, stigma, prejudice and stereotypes of
society (ITC 2010; Kuznetsova, 2012; Ruhindwa,
Randall, and Cartmel, 2016). If the exclusion of
persons with disabilities in the employment sector is
left, it can lead to influence more broadly,
including high rate of dependency, increased public
expenditure in providing care and support for
persons with disabilities, as well as increasing the
level of poverty among persons with
disabilities (Shima, Zolyomi, and Zaidi, 2008).
Therefore, the term of inclusion appears to
overcome the problems of labor market exclusion
for persons with disabilities. Pless and Maak (2004)
defines the inclusion of the labor market as the
integration of labor with various backgrounds,
working together effectively and demonstrating their
greatest potential. Colella and Bruye`re (in Nellisen,
Hulsheger, Ruitenbeek, and Zijlstra, 2015), adding
that inclusion is not only limited to include labor and
receive persons with disabilities in the workplace,
but also treats labor as a co-worker disability.
Some countries like Europe and Asia have
adopted a working quota system that requires public
and private companies to employ people with
disabilities. (Mori and Sakamoto, 2017). In
increasing the employment participation of persons
with disabilities, Romania provides a 4% quota for
persons with disabilities to work in the public and
private sectors. Not only that, Romania also provide
basic necessities for governments and companies
that want to employ persons with disabilities, as well
as grants and fiscal assistance to them (Aurelian, et
al., 2016) Meanwhile, the European Union as
a developed countries, require companies both
public and private to employ persons with
disabilities at least 5% of the total workers in the
company, so that persons with disabilities are
represented in the labor market (Magoulios and
Trichopoulou, 2012). Compared with these
countries, in Indonesia, labor allocation for people
with disabilities to work in the formal sector is still
relatively low, it can be seen in article 53 of Law
No.8 Year 2016 about Persons with Disabilities,
which clearly regulate the allocation of employment
opportunities for persons with disabilities by
providing a quota of 2% of their workforce in
Government, Local Government, State-Owned
Enterprises, and Local Owned Enterprises, as well as
a quota of 1% of their workforce in private
companies. However, in practice employers often
prefer to pay fines rather than reach their
quota (Mori and Sakamoto, 2017, Aurelian, et
al., 2016). This means that the allocation of labor
disabilities to work in the formal sector is not
enough. Although, persons with disabilities have
been included or involved in the employment sector
through the quota system, they still
experience exclusion as intended by Beal, et al in
Nurdin (2015), such as experiencing different
treatment or discriminations, from both public and
private companies that employ workers with
disabilities and their colleagues.
Thus, inclusion of labor market for persons with
disabilities that are intended is not only to include or
involve persons with disabilities in the labor market,
but also to treat them equally with co-workers. So, in
realizing inclusive labor market for persons with
disabilities, we need to pay attention to aspects of
inclusion proposed by Magoulios and Trichopoulou
(2012), Borghouts and Freese (2017), Aurelian, et
al., (2016), Borghouts and Freese (2017), Nellisen,
Hulsheger, Ruitenbeek, and Zijlstra, (2015) and
Rubery (2015), among others:
4.1 Recruitment
Entrepreneurs are the key to work; Recruitment,
selection and retention strategy determine the
access to employment (Rubery, 2015).
The recruitment process becomes the main
gateway that must be passed by People with
Disabilities to enter the workforce. However, to be
Labour Market for People with Disabilities - Exclusion or Inclusion?
635
able to enter this gate, people with disabilities are
faced with various challenges, such as: (1)
companies, both public and private are less willing
to accommodate persons with disabilities as
workers, (2) the stigma, perceptions and prejudices
of the workforce disability, (3) information
on labor recruitment doesn’t extend to persons with
disabilities, (4) the recruitment process that is
not based on the expertise and skills of persons with
disabilities, and (5) a closed recruitment process
(Coleridge, 1997; BWI, 2012; Pitakasari, 2012;
Nellisen, Hulsheger, Ruitenbeek, and Zijlstra, 2015).
Seeing those obstacles that must be experienced by
persons with disabilities in this step, then, in
realizing inclusion labor market for persons with
disabilities, there needs to be an increase in the
awareness of managers and employees before hiring
process (BWI, 2012), so that it can perform a
selection process based on skills, knowledge, and
skills of persons with disabilities, and provide an
objective assessment on labor recruitment.
4.2 Vocational Training
This Borghouts (2017) in his research said that one
of the reasons why people with disabilities are
excluded from the job market is their lack of
knowledge, skills, and physical and social skills.
Thus, when entering the workforce, every person
with disabilities needs training. Training becomes
important for persons with disabilities to hone and
develop their work skills. However, persons with
disabilities are often excluded from the training
programs. This occurs because of the negative
stereotypes of the company and the employees, they
found people with disabilities tend to be more
frequently ill, not independent enough, not efficient
enough, less committed, qualified lower,
confrontational, and too demanding of the company
(Sopinska, Wisniewski, and Winiewska, 2015)
Given this phenomenon, the need for inclusion of
persons with disabilities into training is important.
Planners and implementers of training programs
need to involve persons with disabilities in
vocational training. This is useful for persons with
disabilities to develop their skills and employers to
obtain skilled labor according to his needs.
4.3 Attitudes of Working Environment
Approximately 50% of the labor with disabilities
face many obstacles in their work
environment (Magoulios and Trichopoulou, 2012).
When entering the labor market, one of the
challenges facing people with disabilities is the
stereotypes and attitudes of employers and
employees. Negative perceptions of persons with
disabilities are one of the reasons why people with
disabilities are treated bias in the employment
sector. In addition, the negative attitudes of co-
workers are found to inhibit persons with disabilities
to meet their goals and restrict them to have access
to every aspect of life. (Nellisen, Hulsheger,
Ruitenbeek, and Zijlstra, 2015).
The influence of working environment on
working life for persons with disabilities becomes an
important aspect to be considered in creating
employment market inclusion for people with
disabilities. Nellisen et al (2015) in his research
stated that a positive attitude to the labor with
disabilities is an important aspect of acceptance and
embodiment of inclusion. Therefore, each
entrepreneurs and public and private employees
need to change their stigma against persons with
disabilities and more objective in assessing, treating,
and recognizing the ability of persons with
disabilities in the workplace. Inclusive work
environment can create the conditions of good
cooperation without restricting access to each
other's work, so as to achieve the goals of the
organization.
4.4 Income
Inclusive labor market need a high minimum level
wages, which applies to all types of contracts
(Rubery, 2015) this means that every employee of
the same level has no wage difference. However, it
doesn’t apply to some workers with disabilities.
Workers with disabilities often face discrimination
in the case of wages. Which, despite being on the
same level, persons with disabilities receive lower
wages than other employees. (Hanga, DiNitto, and
Wilken, 2015)
So, it needs a formal rules to promote
proportional and fair salary between the types of
jobs and the development of the workers who has
grown towards individual wages which not only
gives employers more discretion but also reduce
salary differences. (Rubery, 2015).
4.5 Duration of Employment
People with disabilities face some obstacles when
trying to find work or keep their job. Magoulios and
Trichopoulou (2012) in his study revealed that 34%
of disability workers can only stay in their jobs for
less than 1 year.
ICSE 2017 - 2nd International Conference on Sociology Education
636
It can’t be denied that persons with disabilities in
spite of getting a job often have difficulty keeping
their job. This is due to various factors both internal
and external. Internal factors is factors of the persons
with disabilities itself to get out of their work, such
as feeling depressed because of the stigma and
prejudice against them when they were working
(Magoulios and Trichopoulou, 2012). While the
external factors include the lack of motivation from
the company for the labor with disabilities to retain
their employment, the absence of a contract
extension with the firm to maintain persons with
disabilities as its workforce, and so on. The duration
of employment of persons with disabilities is quite
short because of the difficulty of persons with
disabilities to keep their jobs. Therefore, there need
to conditioning inclusive labor market in various
aspects to support persons with disabilities in work
and enterprise in receiving labor with disabilities.
4.6 Access to Social and Health
Protection
The origins of the intertwining of employment status
and social protection vary across countries. Where
social protection follows insurance principles these
links are the strongest and the potential for gaps in
coverage and or inequalities between social
insurance benefits and social assistance the largest
(Rubery, 2015).
Any person who has employment status has the
right to access social protection and health
insurance, there is no exception to the disability
workforce. One reason companies do not employ
people with disabilities is because of the perception
that they are sick more often (Borghouts and Freese,
2017; Sopinska, Wisniewski, and Winiewska, 2015)
For some companies, providing health insurance and
protection for disability workers will cause a lot of
losses for companies because people with
disabilities are vulnerable to social and health
impacts.
In order to realize inclusive work environment
for persons with disabilities, government and public
and private companies need to provide persons with
disabilities equal labor rights with other workers in
gaining access to social protection and health
insurance. This is useful for both sides, where labor
with disabilities gain their rights to access to social
protection and health insurance, and the company
gets a healthy workforce and protected, so that their
productivity is not compromised.
4.7 Voice
Rights to voice and representation for marginalized
workers are both a mechanism for enforcing rights
but also rights in themselves. Marginalized workers
may face three types of representation gaps; there
may be no institutional provision for voice at the
workplace, they may be ineligible to participate if
employed by another organization, a temporary
work agency for example, or they may face barriers
participating due to part-time or unsocial hours or to
language problems (for example if migrants).
(Rubery, 2015).
As a marginalized group, persons with
disabilities often can’t voice or represent themselves
to fight for their rights as laborers. Therefore, in
creating an inclusive work environment every
government and company, both public and private,
should provide opportunities and accommodate the
disability workforce to express their opinions. Thus,
persons with disabilities are heard. Given the
disability workforce an opportunity to speak is one
of appreciation for their contributions in their
community (Ruhindwa, Randall, and Cartmel,
2016).
Inclusion labor market involves the participation
of people with disabilities as active labor, it becomes
important because this inclusion has a major
contribution to economic growth, social capital and
public (Magoulios and Trichopoulou, 2012). In
addition, Banks (2014) adds that embodies inclusion
labor market for persons with disabilities have a
variety of benefits including: 1) increase personal
income, 2) reduce the unemployment rate, 3)
accommodate differences in the working
environment, 4) reduce the need for nurses, 5)
contribute household finances, 6) reducing the
number of social dependency, 7) broaden the tax
base, 8) increase labor productivity, 9) have a
reserve labor force, and 10) more adaptable business
strategy. Even Banks details the benefits of inclusive
labor market for persons with disabilities into three
groups. Firstly, for people with disabilities, when
they get a job, persons with disabilities will have an
income and avoid unemployment and poverty, so
that people with disabilities can live, fulfilled their
rights as a citizenship, and get social
recognition. Second, for businesses or employers,
employing persons with disabilities will reduce the
costs of recruitment, training, and so on, expanding
the customer base, and the potential of the benefit
back. Third, for the country, to realize inclusion
labor market for persons with disabilities,
the country's economic growth will evolve, the state
Labour Market for People with Disabilities - Exclusion or Inclusion?
637
burden will be reduced because of declining reliance
of persons with disabilities, so that the allocation can
be diverted to social assistance and poverty
reduction, as well as increased taxes. Thus, the
embodiment of the inclusion of the labor market for
persons with disabilities that pay attention to aspects
of inclusion in recruitment, vocational training,
attitudes of the working environment, income,
duration of employment and promotion, access to
social protection and health, and voice, become
important as well as the magnitude of the
contribution given both at the individual,
social, private, and state
5 CONCLUSIONS
The appropriate labor market for people with
disabilities is the inclusion that meets the following
aspects: recruitment, vocational training, attitudes of
the working environment, income, duration of
employment, access to social protection and health,
and voice. Where any persons with disabilities are
included to get their rights in the labor market as
those who did not experience disabilities, without
any differences in their treatment. This is important
because inclusion has a major contribution to
economic growth, social capital and the wider
community not only for persons with disabilities
themselves, but also for businesses, and even
countries. Therefore, in order to realize inclusive
labor market for persons with disabilities, there need
a cooperation between government and private
sector to accommodate persons with disabilities in
the workforce. Conditioning work environment is
also important for the people with disabilities to be
working, therefore the need for a positive attitude
from both superiors and colleagues within accepting
and treating the labor with disabilities. In addition,
the regulation in the employment sector for the
people with disabilities need to be sharpened in
every aspect of the job, so that the rights of workers
with disabilities in every aspect can be protected
and fulfilled until they reached an inclusive labor
market for persons with disabilities.
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