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JAKARTA, KOMPAS.com – The Minister of Cooperatives and SMEs (Menkop UKM) Teten Masduki said that the Employment Creation Act (UU) can provide convenience to Micro, Small and Medium Enterprises (MIPYMES) and cooperatives.
He said one of the benefits is that it can facilitate access to finance, market access and access to the supply chain.
“We know that currently the government has issued an Employment Creation Law that is very positive for the interests of MSMEs and Cooperatives. In general, the Employment Creation Law is proven to create or create jobs, that It stops the deindustrialization that has been taking place for quite some time, “he said at a meeting. press UKM Cooperatives and Cluster Employment Creation Act, Thursday (8/10/2020).
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Teten explained that there are at least 6 points that will benefit MSMEs and cooperatives as regulated in the Ciptaker Law.
First, he said, the Ciptaker Act could facilitate access to finance, access to markets, access to business development, access to permits and access to supply chains.
Second, with the existence of this law, the ability of MSMEs to absorb labor will be even greater.
“Other problems that are often expressed by the actors of MSMEs and cooperatives are related to employment. Therefore, with this law, the ability of MSMEs to create or absorb their workforce will be even greater,” he said. .
Third, he continued, the Ciptaker Act could provide facilities to maximize the potential of local startups. Especially startups that come from educated college kids.
Fourth, the existence of this job creation can provide strengthening and protection against competition with large companies. Therefore, it is not true, this job creation law will encourage investment liberalization that will kill MSMEs because after this we are quite optimistic that our investment agreements will encourage alliances. with UMKM, “he explained.
Also read: Menkop Teten: Job creation law for MSMEs to absorb more jobs
Then the fifth Teten said that, with the existence of the Ciptaker Law, the program’s credit guarantees do not have to be in the form of assets, but of UMK activities that can be used as credit guarantees.
According to him, in the conventional bank financing system, assets are used as collateral for working capital and investment. But now, with this Law, business activities, business plans, orders, etc. they can be used as a kind of guarantee for working capital.
Sixth, he continued, the Ciptaker Act could provide easy business opportunities and also have the opportunity to develop as a corporation.
“These 6 things I want enhancement, because it is important for us to know to be optimistic in the future with the new developments of this Employment Creation Law ”, he concluded.