Factors That Influence the High Number of Elderly People Working in the Informal Sector

As individuals age, they are expected to experience a natural progression that usually involves a slight and permanent decrease in bodily functions and physical abilities. Despite this, many older people remain active in the workforce.

This study seeks to explore the correlation between the health conditions, disabilities, social factors, and demographic circumstances of elderly individuals engaged in both formal and informal employment sectors.

This study utilizes an observational analytical method with a cross-sectional structure. The participants in the research involved all individuals aged 60 years and above who met the outlined criteria, totaling 15,034,946 respondents. The data analysis was conducted using multivariate logistic regression in Model II.

Overall, most older adults are working in informal jobs. Moreover, most respondents are 60-69 years old, married, have a primary school certificate, own health insurance and a house, and live with family. In addition, the multivariate analysis shows the relationship between each variable and the informal sector working elderly. It is known that older women have a 1.45 times higher limited educational background, not having savings is 1.21 times, rural areas living 1.93 times, not being the head of the family is linked 1.34 times, poor health conditions are 1.01 times, and having a disability has a 1.20 times higher likelihood of informal-sector employment.

Several variables are assigned as the determinants that increase the number of elderly working in informal sectors, including gender, education level, savings ownership, living areas, head of the family role, health status, and disability.