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JAKARTA, KOMPAS.com – President Joko Widodo (Jokowi) revealed a number of advantages with the approval of the Employment Creation Law by DPR. The Omnibus Law for Job Creation is a bill proposed by Jokowi and entered as Priority Bill 2020 in the 2020 National Legislation Program.
The ratification of the Employment Creation Law was supported by all the parties that support the government coalition. Meanwhile, two factions stated that they rejected the bill to become the Job Creation Act, namely the Prosperous Justice Party (PKS) and the Democratic Party.
The seven factions of the party that support the Labor Creation Bill to become law include the Indonesian Democratic Struggle Party (PDI-P), the Golkar Party, the Gerindra Party, the Nasdem Party, the Awakening Party. National (PKB), the National Mandate Party (PAN) and the United Development Party. (PPP).
Here are 3 advantages of passing the Job Creation Law as stated by Jokowi summarized on Sunday (11/10/2020).
Also read: Here are 2 explanations for Jokowi that are still confused with the Job Creation Law.
1. Open a new job
Jokowi said the Job Creation Law would encourage investment growth in Indonesia so that more jobs are available, especially during the Covid-19 pandemic.
“Every year there are around 2.9 million people of a new working age, young people who enter the labor market. So the need for new jobs is very urgent, especially in the midst of a pandemic, there are approximately 6.9 million unemployed and 3.5 million workers. affected by Covid-19, “Jokowi said in his official statement.
He said that up to 87 percent of the total workforce had a secondary education and below where 39 percent had a primary education, so it is necessary to encourage the creation of new jobs, especially in labor-intensive sectors. .
“So the Job Creation Act aims to provide as many jobs as possible for job seekers and the unemployed. The government believes that through the Job Creation Act, millions of workers can improve their lives. and also the livelihoods of their families, “Jokowi said.
Also read: Economists on the job creation law: if it is a hoax, where is the final draft?
2. Ease of starting a business
According to Jokowi, so far many new business players have had difficulty establishing businesses that are legal entities, from PT to cooperatives, so there are many permits that must be met.
“With the Employment Creation Law, it will be easier for people, especially micro and small businesses, to open new businesses, overlapping regulations and complicated procedures are cut, business licenses are no longer needed for micro and small businesses, just registration is very simple, “said Jokowi.
“The formation of a PT or limited liability company is also facilitated. There is no longer a minimum capital limitation, the formation of a cooperative is also facilitated with the number of only 9 people. A cooperative can be formed,” he said again.
Other facilities provided by the government to business actors in the Employment Creation Law are halal food certification for easy fishing permits.
Also read: List of 7 deceptions that Jokowi denies in the job creation law
“We hope that there will be more cooperatives in the country. MSMEs dedicated to the food and beverage sector, halal certification, are funded by the government, that is, free. The licenses of fishing boats, for example, are only for the work unit of the KKP “. otherwise it is sufficient only in units in the KKP, “he said.
3. You can eradicate extortion
Jokowi revealed that the Job Creation Law would encourage cutting the number of permits. In addition, the licensing process is optimized by using it online without the need to be face to face.
“The Employment Creation Law supports efforts to eradicate corruption. This is clear because by simplifying, cutting, integrating the licensing system electronically, illegal fees, extortion can be eliminated,” said Jokowi.
He gave an example, the EIA permit in the Employment Creation Law was facilitated because it removed some obligations in the old regulation. Jokowi at the same time ruled out that the Amdal permit was abolished in the Omnibus Job Creation Law.
“What is often incorrectly reported is the removal of Amdal, analysis of environmental impacts. That is not true either. Amdal still exists for large industries, it must be rigorous EIA studies but for MSMEs, more emphasis is placed on assistance and supervision, ”he explained.
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