By: Namira Purbananda )*

Every year the population in the world will continue to grow. An uncontrolled increase in population will usually occur in developing countries, Indonesia is one of them. This increase in population is also closely related to the demographic bonus. The demographic bonus is a situation where the population of a country entering the productive age is more than the population of the non-productive age. The number of productive age is more than the unproductive age population. The productive age is in the range of 15 to 64 years. It should be noted that the demographic bonus is considered to only occur once in each country, so it is appropriate that this event be utilized properly. Many countries have succeeded and proven to take full advantage of the demographic dividend, such as Malaysia, South Korea and many more. One of the benefits provided by the demographic bonus is that it can change the level of the economy in a country from developing countries to developed countries. This is not something that is impossible in Indonesia. Given, that currently the population of productive age is more than the number of people of non-productive age. If the demographic dividend is not well prepared, of course this can be a danger for a country. Especially in preparing human resources who will determine the success rate of the country in taking advantage of this demographic bonus opportunity. If you do not have quality human resources, then it is certain that when entering the demographic bonus the number of unemployed will increase and become uncontrollable. A rising number of unemployed would be a bad start for a country unable to take advantage of the demographic dividend. Because, from that it can have an impact on various aspects of life. Of course, there are several conditions to achieve benefits in the demographic bonus, which can be started by improving health services, quality and quantity of education, of course this must be supported by policies that support the realization of workforce flexibility. One of the policies formulated by the government is the issuance of the Job Creation Law. The Indonesian Young Entrepreneurs Association or HIPMI stated that Law Number 11 of 2020 concerning Job Creation will be the key to absorbing the demographic bonus through the widest possible job creation. Chairman of the Central Executive Board or BPP HIPMI Mardani H Maming in his written statement said, we cannot deny that in 2035, Indonesia will reach the peak of the demographic bonus. Where in that year, 70 percent of Indonesia’s population or around 148.5 million were young people of productive age who were expected to be able to improve the nation’s economy. According to Mardani, the Job Creation Law is a commitment and government policy that must be well supported and implemented. This is because in addition to improving the investment climate, this regulation also provides support for advancing micro, small and medium enterprises and creating jobs. At the peak of the demographic bonus in Indonesia, the private sector will have a vital role to play in absorbing hundreds of millions of local workers. With sufficient employment opportunities, they will become engines of growth. They will be able to drive the economy through household consumption. Mardani said the demographic bonus is like a double-edged sword. If jobs are not prepared, it will have a bad impact in the future. One of the efforts is through the application of the Job Creation Law to prepare employment more widely ahead of the demographic bonus in 2035. If you are unable to manage business licensing from now on, the demographic bonus will actually become a problem. The result will certainly be an economic burden and have a social and political impact. Currently, the state needs a sizeable private sector investment to create jobs. If investment does not enter Indonesia, the shadow of unemployment from the educated workforce is looming. The existence of a demographic bonus must of course be utilized and prepared, one of which is by implementing the Job Creation Law which reduces bureaucracy, so that the process of establishing a business becomes faster, and the number of unemployed can be reduced.

) * The author is a citizen living in Yogyakarta