Arrangements of Employer-Labor Conflicts With Game Theory: Implementation of Islamic Ethic Value

Siti Najma, Ramadhan Razali, Harjoni Desky


Employer-labor conflicts are sometimes eternal and challenging to solve. Game theory is one of the essential ideas in settling these conflicts. Furthermore, employer-labor interactions in conflict situations are strategic. In case the employer-labor relationship is non-cooperative, taking place only once, both parties are involved in a prisoner's dilemma situation. In cooperative game theory, the players work together to win the game. Organizational management needs to consider strategic behavior, built-in cooperative games, effective and efficient collaboration between workers and employers. This study examines employer-labor conflict resolution with game theory. It incorporates Islamic ethical values using qualitative research methods. Cooperative games built on employer-labor relations derive from the brotherhood principles (ukhuwah), justice ('adl), and goodness (ihsan) that maximizes cooperation and prevent conflicts.

JEL Classification: C70, J01, Z12

How to Cite:

Najma, S., Ramadhan., & Desky, H. (2020). Arrangements of Employer-Labor Conflicts with Game Theory: Implementation of Islamic Ethic Value. Etikonomi: Jurnal Ekonomi, 19(2), xx – xx.


conflict; employer; employee; game theory; Islamic ethic

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