Labor Productivity in the Manufacturing Industry of North Kalimantan Province

The manufacturing industry sector contributes more than 15% annually to national income, making it the highest contributor compared to other sectors. Additionally, it accounted for 14.17% of total employment in 2022. This study aims to measure labor productivity and identify the factors influencing labor productivity in the manufacturing industry of North Kalimantan Province from 2015 to 2022. The data used includes statistics on micro and small industries in North Kalimantan Province, covering manufacturing industry output value, number of workers, provincial minimum wage, and the Human Development Index of North Kalimantan Province, as calculated by the Central Bureau of Statistics. The study indicates that an increase in Gross Regional Domestic Product (GRDP) and the number of workers can enhance labor productivity in the manufacturing sector. Meanwhile, policies related to the provincial minimum wage (UMP) and improvements in the Human Development Index (HDI) in the education sector have not shown a significant individual impact on labor.