Job Creation Law Expected to Create Better Business Climate

    Wahyu Dwi Anggoro - 03 December 2020 09:53 WIB
    Job Creation Law Expected to Create Better Business Climate
    Deputy Speaker of The People’s Consultative Assembly, Lestari Moerdijat (
    Jakarta: On Monday, the Tri Hita Karana Forum Partner Dialogue closed with high optimism on the discussion of Indonesia’s Omnibus Law covering the environment and food and land-use, job creation and labor, investment climate including SMEs, technology, education and healthcare, as well as taxation.

    More than 180 senior executives from 30 countries participated in a vigorous discussion with the Vice Speaker of the House of Representatives, five Ministers and several senior government officials. 

    The Government of Indonesia was represented by the Coordinating Ministry of Maritime Affairs and Investment, the Coordinating Ministry of Economic Affairs, the Ministries of Environment and Forestry, Agrarian and Spatial Planning, Finance, Labour, Research and Development and the Indonesia Investment Coordinating Board.

    Deputy Speaker of The People’s Consultative Assembly, Lestari Moerdijat, stated the implementation of the Job Creation Law must always be guided by the values of Pancasila and all provisions regulated in The 1945 Constitution of the Republic of Indonesia. 

    According to her, the main objective of state formation is to protect all the people of Indonesia, to improve public welfare, to educate the life of people, and to participate toward the establishment of a world order based on freedom, perpetual peace and social justice. 

    Lestari hopes that government should work more on the socialization of the law. 

    "It is undeniable that the Job Creation Law has reaped public pros and cons. Therefore, intensive communications and socialization of the benefits of the law is necessary," said the NasDem politician in a press release on Wednesday.

    Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Panjaitan said the implementation of recently passed Omnibus Law, is slated for February 2021. 

    According to Coordinating Minister Panjaitan, the government has so far completed drafts for 44 implementing
    regulations for the law. 

    "The government is still identifying other derivative rules so that they can be implemented according to the target", he said when delivering an Opening Speech at the Tri Hita Karana Forum Partner Dialogue on the Omnibus Law.

    At the forum, Minister of Environment and Forestry, Siti Nurbaya highlighted the continued importance of the AMDAL (Environmental Impact Analysis) and that the Omnibus Law combines the processing of AMDAL permits with the processing of business permits. 

    The ability to revoke the business permit with immediate effect makes it easier for the government to sanction companies that damage the environment. 

    "The Omnibus Law imposes criminal sanctions as a last resort, administrative sanctions will take precedence. The central government will also impose a standard method for evaluating AMDALs, which will replace the different standards currently used by local governments. Evaluation standards and  flexibility in forming the assessment team must be faster and the quality of results is better," she said.

    "We will welcome you to Indonesia with an environmentally friendly economic spirit," she added.


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