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JAKARTA, KOMPAS.com – President Joko Widodo brought up a lot of misinformation and jokes that caused the public to vehemently reject the Job Creation Act.
The Head of State also showed a series of intentional jokes and raised an objection.
Kompas.com then compared the hoax described by President Jokowi to the content of the draft Employment Creation Law that was approved by DPR and the government on Monday (10/5/2020).
Here is the summary:
minimum salary
President Jokowi emphasized that the minimum wage in the Employment Creation Law is still in effect. He denied that there was an elimination of the provincial minimum wage (UMP), Regency / City Minimum Wage (UMK) and Provincial Sectorial Minimum Wage.
Also read: Jokowi says that the minimum wage is maintained in the Employment Creation Law, these are the facts
When comparing the content of the Copyright Law with Law number 13 of 2003 on employment, there are a number of rules that change regarding the minimum wage.
One of them is the elimination of article 89, paragraph 1, letter b), which regulates sectoral minimum wages. This deletion is listed in chapter IV of employment, point 26.
The president of the Indonesian Trade Union Confederation, Said Iqbal, assessed that the elimination of the sectoral minimum wage is a form of injustice.
This is because the business sector with high income for the state will pay wages to workers based on the regional minimum wage.
“In the mining sector like Freeport, Nickel in Morowali and others, the value of the minimum wage is the same as that of a clothing company or a cracker company,” said Iqbal.
The provisions of the UMP and UMK are not lost, but they have changed.
Also read: Jokowi denies that the minimum wage is calculated by the hour in the Employment Creation Law, what are the facts?
This amendment is regulated by the addition of article 88 C.
With the incorporation of this new article, UMK is no longer an obligation to be determined. The governor is only obligated to determine the PMU.
The UMK determination must also meet the requirements that cover regional economic growth and inflation in the regency / city in question.
“This further confirms our concern that this UMK will be phased out, because it is no longer an obligation to stipulate,” Said Iqbal said.
Hourly wages
President Jokowi also denied the issue of labor being paid by the hour. He stressed that the scheme still uses the old rules.
In the draft of the Employment Creation Law, hourly wages are not specifically mentioned. However, Article 88B has been added to the Labor Law.
Also Read: Hourly Wage Rules for Job Creation Omnibus Bill
Paragraph (1) of article 88 B establishes that wages are determined based on the unit of time and / or the unit of performance. Then, in article 88 B, paragraph 2), it is also explained that the additional provisions regarding unit yield and time wages are regulated in government regulations.
Said Iqbal assessed that the addition of Article 88 B could be the basis for the payment of hourly wages.
“Where the hourly wages have been broadcast by the Minister of Manpower, as we can trace from various reports in the media,” he said.
https://nasional.kompas.com/read/2020/10/10/07244171/jokowi-bantah-upah-minimum-dihitung-per-jam-di-uu-cipta-kerja-bagaimana
Party
President Jokowi emphasized that the Job Creation Law did not eliminate the leave rights of employees in companies at all.
Also read: Jokowi: The right to leave remains and is guaranteed
Employees can still obtain leave such as maternity leave, menstrual leave and regular leave according to the Employment Law.
The draft Employment Creation Law does not regulate the elimination of various types of leave, as stated by President Jokowi.
However, there have been changes in the regulations regarding extended licenses.
In article 79 paragraph (2) letter d of the Labor Law, there are certain company regulations that grant the right to leave or take an extended break for at least two months while the employee works in the seventh and eighth year .
In the Employment Creation Law, this provision is revised. It only establishes that certain companies can provide long breaks that are stipulated in labor agreements, company regulations or collective bargaining agreements.
Also read: Jokowi asks for permission not removed in the job creation bill, here are the facts
“In the Omnibus Law, the article on extended leave is changed, so that prolonged leave is no longer the employer’s obligation,” said Iqbal.
PHK
President Jokowi also denied the Employment Creation Law that allows companies to make unilateral layoffs
When comparing the Job Creation Act with the Employment Act, there are a number of rules that change regarding layoffs.
Article 161 of the Labor Law regulates that employers can fire employees if the worker violates the provisions stipulated in the employment contract, company regulations or collective bargaining agreement.
Layoffs can only take effect after workers receive warning letters up to three times in a row.
This article was eliminated through the Employment Creation Law.
Also read: Jokowi denies the job creation law that facilitates layoffs, what are the facts?
Instead, the Employment Creation Law is added to article 154A letter j, which regulates similar matters. However, the provisions regarding warning letters three times in a row are no longer included in the new provision.
Later, article 155 of the Manpower Law was also eliminated through the Employment Creation Law.
This article regulates that the dismissals carried out without a stipulation of the institution for the resolution of labor relations conflicts are null and void by law.
This article also regulates that companies can suspend workers who are still in the process of being laid off, but are still obliged to pay wages and other rights that workers normally receive.
Then, a number of additional articles related to layoffs were added in the Employment Creation Law that previously did not exist in the Manpower Law.
Also read: Jokowi denies that the job creation law makes it easier for companies to lay off employees
One of them is the incorporation of article 154 A section 1 letter (b) that regulates that companies can make redundancies for efficiency reasons.
“With this article, the company could be fired for efficiency reasons even though it was making big profits,” said Said Iqbal.
Amdal
President Jokowi denied that the Employment Creation Law removes the company’s obligation to obtain environmental impact analysis documents.
He said, Amdal has yet to be met by large industries. Meanwhile, for UMKM, more emphasis is placed on mentoring and supervision.
Also read: Jokowi says that Amdal is not eliminated in the Employment Creation Law, these are the facts
In fact, the draft Employment Creation Law modifies a series of provisions related to Amdal in Law Number 32 of 2009 on Environmental Protection and Management (PPLH).
In article 26 of the PPLH Law, the preparation of Amdal documents must involve the community and environmental observers.
However, this provision was modified so that the preparation of the Amdal document was carried out involving only those directly affected. That way, environmentalists are no longer involved.
In article 26 of the PPLH Act, there is also a provision that gives the community the right to oppose the EIA document. But the Omnibus Law lacks the verse that regulates this.
Then, articles 29-31 of the PPLH Law that regulates the Amdal Evaluation Commission, which also includes experts and representatives of the community and environmental organizations, were eliminated.
Also read: About Amdal in Job Creation Law, Sri Mulyani: We are not undermining
The functions of the commission were replaced by a due diligence team formed by the Central Government’s Feasibility Testing Agency. There are only three elements involved, namely the central government, local governments, and certified experts.
Education
President Jokowi denies that the Job Creation Act encourages the commercialization of education.
He mentioned that the educational licenses regulated in the Employment Creation Law are only formal education in specific economic areas (KEK).
Meanwhile, education licenses are generally not regulated in the Employment Creation Law. The inclusion of licenses for education in Islamic boarding schools is also not regulated.
It is known that licensing in the education sector referred to by the Head of State is regulated in article 12 of Education and Culture, specifically in article 65 of the Employment Creation Law.
Article 65, paragraph 1, says that “the implementation of licensing in the education sector can be done through the granting of business licenses referred to in this law.”
Also read: Jokowi denies the commercialization of education in the Employment Creation Law, these are the facts
In the Employment Creation Law, the granting of commercial licenses is the legality granted to a commercial actor to start and manage a business and / or activity. This definition is contained in article 1.
Education activists have protested this provision. The director of LP Ma’arif NU Arifin said that this provision amounts to including education in marketed products.
Meanwhile, in the Employment Creation Law, there is no regulation stating that the regulation only applies to formal education at KEK as stated by President Jokowi.
Paragraph (2) of article 65 only establishes: the additional provisions for the implementation of licensing in the education sector referred to in paragraph (1) shall be regulated by a government regulation.
