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Job Creation Law Contributes Positively to MSMEs


The Job Creation Law, which was inaugurated on October 8, will change the face of the economy in Indonesia for the better. Moreover, this law has a positive contribution to M, Micro, Small and Medium Enterprises (UMK) entrepreneurs. Licensing arrangements will be made easier and entrepreneurs will no longer have to deal with the confusing bureaucracy they used to be.

MSME entrepreneurs run their business faltering during the pandemic. The reason is the decreasing purchasing power of society, because many employees’ salaries have been cut. They also tend to prioritize basic needs rather than tertiary expenses. UMKM entrepreneurs are confused about how to maintain their business.

To ease the burden on MSME business people, the government has inaugurated the omnibus law on the Job Creation Law. This law is designed to benefit entrepreneurs, both large and small. MSMEs need not be confused because there are several articles in the omnibus law of the Job Creation Law that can change their fate for the better in the future.

In the Article 89-90 of the Job Creation Law, the government requires large industries to support, protect and provide access to MSME entrepreneurs. Middle and small class businessmen can collaborate and get jobs from large-scale industries. They can survive in the business world because there is support from big businessmen.

Meanwhile, Article 91 of the Job Creation Law states that licensing MSMEs will be easier. If previously entrepreneurs had to come directly to the Licensing Office 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.

After MSMEs register their business and complete the files, they will receive an NIB alias business identification number. This is a single license number and does not only apply to MSMEs selling food. But also MSMEs that are engaged in other fields, for example souvenirs, cosmetics, herbal drinks, educational toys, and others.

Teten Masduki, Minister of Cooperatives and Small and Medium Enterprises (SMEs) stated that licensing made easier also includes halal certification and distribution permits. Because the government cares for the majority Muslim community, the problem of certification will be made easier. Of course, with assistance from the MUI, so that the UMKM products that are tested have been tested for halalness.

Halal certification is very important, especially for MSME entrepreneurs in the fields of food, beverages and cosmetics. By having a halal certificate, their products will be trusted by the public and their sales will continue to increase. Because many people feel safe when consuming them or using their cosmetic products. Their business can be crowded again.

Facilitated licensing arrangement also benefits MSMEs. No need to queue up for months just for a business license, because business people can choose to take care of it online or offline. Entrepreneurs only need to scan the business license number from the RT and KTP then click on the licensing site, fill in the form, then wait for the results.

There is also no fee to take care of the permit. MSMEs businessmen with minimal capital benefit, because they can open a business with an official license. So they can run their business calmly. In addition, if there is an official permit, it will be easier to export the product. Because partners abroad will ask about the legality of their business.

Changing the rules for managing permits that allow online channels also minimizes extortion by unscrupulous officials. So that UMKM entrepreneurs who have short pockets are no longer afraid of having to pay facilitation payments to smooth their business. Permits can be bagged more quickly and with legal channels, without causing KKN in this country.

Therefore, we must support the Job Creation Law because it has proven to provide many benefits for MSME entrepreneurs. The government has designed this law to advance the business world, especially MSMEs. Because 90% of entrepreneurs in Indonesia are medium and small scale. So they must be fully supported by the government.

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