Job Creation Law Provides Legal Certainty in Doing Business

By: Edi Jatmiko ) *

In the past, doing business was considered a difficult job, because entrepreneurs had to be resilient and clever looking for opportunities. After growing his business, he had to contend with dizzying bureaucracy and licensing . However, currently there is new hope for business people, because the Job Creation Law makes it easier for them to obtain business legality.

People in Indonesia are more employees than entrepreneurs, and the number of business people is only 3% of all Indonesian citizens. The reason is because they are tired with the work patterns of employers that are different from office workers. Not to mention if you have a licensing problem. Be aspiring to become a seasoned entrepreneur to shrink, even though the business world promises a bright future.

In fact, Indonesia needs more entrepreneurs to develop the country . To help them in order to have legal certainty in business, government meresmika Law Copyright Labor in October 2020. Because of this law there are clusters of convenience be rusaha, making it easier for businesses move to expand its business.

Airlangga Hartarto , Coordinating Minister for the Economy, stated that the Job Creation Law provides legal certainty and convenience with the existence of standards, particularly those related to the requirements and process for business licensing. The goal is to avoid irregularities in the business licensing process.

The deviation referred to by the Minister Airlangga is the act of rogue individuals who often quote illegal fees (pungli) for entrepreneurs who will take care of permits. If they want the legality to be completed quickly, they have to deposit up to millions of rupiah. Even though the extortion does not include the expensive HO permit fee. This corruption has been done for years.

If the Job Creation Law and its derivative regulations are actually carried out in the field, then these bad actors can no longer act. The reason for the current legality of the business can be managed via online , and can be completed up to 7 working days. So as to minimize the deviation in the form of extortion, corruption, and kongk alingkong between actors and businessmen.

Airlangga continued, in the Job Creation Law, permits were changed to be risk -based , not permit-based anymore. If the licensing is risk -based , then the supervision is based on business activities. If there is a violation and does not meet the requirements, then an entrepreneur can be prosecuted. For example, when he asked for a small shop business license, it turned out that in practice he became a large supermarket.

In risk -based licensing , there are 3 legality categories: high, medium and low risk . UMKM entrepreneurs are at low risk , because the land they occupy is relatively small and the risk is minimal. So he doesn’t have to take care of an HO permit, just a business license number (NIB).

If he already has an NIB, he will be relieved that his business is licensed . So that the shop cannot be driven away by naughty people. Because according to the law, the business is licensed and does not violate the rules. Legality is very important as an identity that the business is a professionally managed business.

In addition , when the legality of the business is in hand, an entrepreneur can easily get an export license. Because one of the requirements in exporting is having business legality. When he can reach the global market, then his business will progress and get more income.

When he develops his business and has entered the global market, he needs more employees to increase his production capacity. So that business people can reduce the number of unemployed in Indonesia. Therefore , the Job Creation Law is very important because it benefits both employers and workers.

Entrepreneurs benefit greatly from the Job Creation Law because there is a cluster of ease of doing business, so that they get legality easily. Permits can be arranged on site , saving time and transportation costs. Legality is also completed quickly, so they can be relieved because their business is licensed and can be developed in the future.

) * The author is a socio-political observer

#Job Creation Law Provides Legal Certainty in Doing Business
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