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Government Prepares Draft Regulations on Derivative Work Creation Law

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By: Deka Prawira) *

At present, the Central Government is still absorbing the aspirations of the public in drafting regulations derived from law (UU) 11/2020 concerning Job Creation. It has been noted that 35 drafts have been completed, in which the draft consists of 30 draft government regulations (PP) and 5 draft presidential regulations (perpres). The plan is that there will be 44 derivative rules related to the policy.

Franky Sibarani as Chairman of the Aspiration Absorption Team for the implementation of the Job Creation Law said that his team would continue to work until the draft was finalized. Through a short message, Franky said, the statutory provisions of the Job Creation Law, RPP and Presidential RP derived from the Job Creation Law will be enacted in February.

Synchronization between the draft PP and Perpres needs to be done so that it does not contain multiple interpretations. The government does this so that its publication does not accept many rejections and accommodate the welfare of the community.

He explained that the aspirations had entered and continued to be conveyed to the government. Currently in the process of discussion in the government. Previously, Franky explained that there was one finding that caught the government’s attention. Namely, there are still draft derivative regulations which result in government regulations and presidential regulations that are not in line with the Job Creation Law.

Franky explained that there are three examples which he thinks are crucial and important. The first is related to the ease of protection and empowerment of micro, small and medium enterprise cooperatives (MSMEs).

In the discussion related to registration of small and micro businesses, the Job Creation Law has written that this can be done online or offline. However, the draft that is compiled can only be online. Then, financing for MSMEs. In the Job Creation Law the central and local governments will provide financing. However, the design only provides convenience.

Finally, regarding facilities and fiscal intensive financing. The Job Creation Law will provide for small and micro businesses. Meanwhile, in the derivative regulation, the fiscal facility is only given to micro businesses.

Article 91 of the Job Creation Law states that licensing MSMEs will be easier. Previously, entrepreneurs had to come directly to the Licensing Service and go through the tortuous bureaucracy, now they can be registered online. With the condition that you must attach a business license from the Head of the RT and a valid KTP.

On a different occasion, the Coordinating Minister for Economic Affairs, Airlangga Hartarto said that in the process of drafting it, the government went directly to several regions to socialize the substance of the Job Creation Law as well as absorb input and responses from the community and all stakeholders.

Airlangga explained that the Job Creation Law is expected to be able to provide protection and convenience for MSME and cooperative actors. The broad scope of the Job Creation Law according to Airlangga is intended to harmonize various licensing systems in various sector laws that are not yet integrated and harmonious, even tend to be sectoral, overlapping and mutually binding.

This is what makes micro and small businesses to medium and large businesses experience difficulty in obtaining permits, starting business activities and even developing existing businesses.

Seeing these conditions, the Job Creation Law has made a paradigm shift and conception of business licensing by implementing risk-based business licensing.

A business with a low risk is sufficient with a registration or business registration number (NIB). Medium risk businesses with standard and high risk certificates must have a license.

The Job Creation Law is also believed by Airlangga in giving a lot of attention and affirmation to MSMEs. Starting from a single permit to facilitate MSEs to get a halal certificate at a cost borne by the government.

The government also provides fiscal incentives as well as financing for the development and empowerment of MSMEs as well as a Special Allocation Fund (DAK) to finance development and empowerment activities for MSMEs.

Ease of facilitating legal assistance and protection services for MSEs, prioritizing MSE products / services in the procurement of government goods and services, UMK partnerships through the provision of promotional venues, as well as places for businesses or developing MSEs in public infrastructure that are allocated 30 percent.

The draft of the Job Creation Law is expected to be a breath of fresh air for MSME actors who want to continue running their business, of course this policy aims to make it easier for people to do business.

) * The author is a contributor to the Cikini Press Circle and Students

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