Labour, Liberation, and Development: Lessons from W. Arthur Lewis’s West Indies for Indonesia’s Working Class

When W. Arthur Lewis wrote Labour in the West Indies in 1939, he was not yet a Nobel laureate, but already a radical voice for the dignity of workers in colonial societies. Chronicling the rise of labour movements in the British Caribbean, Lewis presented a powerful narrative: that economic development is not just about capital or productivity, but about people, especially those at the bottom of the hierarchy. Over eight decades later, his insights resonate far beyond the Caribbean. In Indonesia, where millions of workers still face precarity, limited protections, and wage stagnation, Lewis’s reflections serve as both a mirror and a map. This blog explores what Indonesia can learn from the labour struggles of the West Indies and why economic justice must begin with workers’ voices.

In Labour in the West Indies, Lewis paints a vivid picture of a colonial economy deeply shaped by the legacy of slavery and plantation systems, where the labour force, primarily descendants of enslaved Africans, was subjected to systemic exploitation and marginalization. Despite harsh conditions, Lewis highlights how workers began organizing themselves into movements that challenged not only their economic plight but also the political status quo of colonial rule.

Crucially, Lewis rejects the notion that colonial labourers were passive victims. Instead, he portrays them as active agents who used strikes, protests, and unionization to demand better wages, working conditions, and political recognition. This awakening laid the foundation for broader social and political reforms in the West Indies.

Lewis’s analysis underscores the inseparability of labour rights and political empowerment. The workers’ movement was not merely about economic gains but about claiming dignity and citizenship under an oppressive system. This dual struggle for economic and political liberation is a key theme in Lewis’s work, emphasizing that economic growth must be inclusive and rooted in social justice.

The lessons from the West Indies labour movements reveal the potential power of organized labour to transform colonial and by extension, postcolonial societies. It is a reminder that economic development cannot be achieved solely by focusing on capital accumulation or industrial output without addressing the rights and conditions of the working class.

Indonesia’s labour movement, much like the West Indies, has deep roots in the struggle against colonial exploitation. Under Dutch colonial rule, Indonesian workers faced harsh conditions in plantations, factories, and mines, with limited rights and minimal political representation. The early 20th century saw the rise of labour unions and nationalist organizations, which intertwined labour rights with the broader independence movement.

Post-independence, Indonesia sought to establish itself as a sovereign nation with a developing economy. Labour unions initially played an important role in shaping social policies and workers’ protections. However, the subsequent political dynamics, including authoritarian rule and economic liberalization, led to periods where labour rights were suppressed or sidelined.

Today, Indonesia’s labour sector presents a complex picture. On one hand, the country boasts a large and growing workforce contributing to various sectors. On the other, many workers remain in informal employment with precarious contracts, low wages, and limited social protections. Union density is relatively low, and collective bargaining mechanisms often face challenges from both employers and regulatory frameworks.

The parallels with Lewis’s West Indies are clear: labour struggles continue to be a key part of Indonesia’s social and economic landscape. However, Indonesia’s larger population, diverse economy, and evolving political context also create distinct challenges. Issues such as decentralization, rapid urbanization, and global supply chain pressures complicate the labour movement’s capacity to unify and influence policy.

Nevertheless, Lewis’s framing that workers are not merely economic inputs but agents of social change remains a powerful lens to understand Indonesia’s labour dynamics. Empowering workers and strengthening labour institutions could be key to achieving more equitable and sustainable development in Indonesia’s future.

W. Arthur Lewis’s work offers important insights for Indonesia as it seeks to balance economic growth with social equity. Central to his perspective is the idea that labour should be viewed not merely as a factor of production, but as a key stakeholder in national development, one whose empowerment is essential for sustainable progress.

First, Indonesia can strengthen labour protections and formalize employment. Many Indonesian workers remain in the informal sector without job security, healthcare, or fair wages. By expanding social safety nets and ensuring legal protections, the government can improve workers’ living standards and reduce inequality, creating a more resilient domestic market.

Second, promoting collective bargaining and union representation is crucial. Lewis emphasized that labour movements not only secure better wages but also foster political awareness and participation. In Indonesia, stronger unions can serve as a counterbalance to employer power and help shape inclusive economic policies that benefit a wider population.

Third, Indonesia should integrate labour considerations into its broader economic planning. Lewis’s dual-sector model highlighted the importance of moving surplus labour from traditional sectors into modern industries, but this transition must be managed to avoid exploitation or displacement. Policies should support skill development, fair labor standards, and inclusive growth, ensuring workers are partners, not victims, in economic transformation.

Lastly, Indonesia can learn from Lewis’s belief in labour’s moral and political role. Economic growth without social justice risks instability and disenfranchisement. By recognizing workers as active citizens with rights and voices, Indonesia can foster social cohesion and long-term prosperity.

In sum, Lewis’s framework calls for a development model where labour is central, not sidelined, in shaping Indonesia’s economic future.

Indonesia’s labour landscape today faces both significant challenges and promising opportunities. Globalization and technological advances have transformed industries, creating new jobs but also increasing the risk of precarious employment and widening inequality. The COVID-19 pandemic exposed vulnerabilities in the informal sector and underscored the urgent need for stronger labour protections.

At the same time, Indonesia’s youthful population and growing middle class offer potential for a vibrant labour movement that can advocate for fair wages, decent work, and social justice. Emerging sectors like digital economy and renewable energy present opportunities for new forms of labour organization and participation.

Moreover, Indonesia’s commitments to international labour standards and sustainable development goals create a framework for improving labour rights and conditions. Strengthening tripartite dialogues among government, employers, and unions can foster policies that balance economic growth with social equity.

Lewis’s emphasis on workers as agents of change reminds us that empowering labour is not only about addressing economic needs but also about building democratic participation and social cohesion. Indonesia’s future depends on recognizing labour’s role in shaping an inclusive and resilient economy.

Conclusion

W. Arthur Lewis’s Labour in the West Indies offers a compelling analysis of how labour movements can drive social and economic transformation even under challenging conditions of colonialism and exploitation. The parallels with Indonesia’s own labour history are striking, underscoring the enduring relevance of Lewis’s insights.

For Indonesia, embracing Lewis’s framework means recognizing labour as a vital force in the country’s development, not just as economic inputs but as empowered citizens whose rights and voices must be central to policy-making. By strengthening labour protections, promoting unionization, and integrating social justice into economic planning, Indonesia can pursue a path of growth that is both prosperous and equitable.

Ultimately, Lewis’s work challenges Indonesia to build a future where economic progress and labour empowerment go hand in hand, ensuring that the country’s development benefits all its people.