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Omnibus Law Provides Guarantees for Labor Protection

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By: Angling Kesit )*

The Omnibus Law Copyright Scheme Employment is considered capable of guaranteeing the protection of workers and opening new jobs. In addition, the Omnibus Law is also able to provide wages for six months for employees affected by Termination of Employment (FLE).

The government continues to show its work in forming a healthy business climate, both for company owners and for workers. One of them is through the omnibus law, where the government hopes that the faster discussion of the omnibus law is expected to provide better certainty to the business climate.

Then what exactly is the Omnibus Law, the Omnibus law turns out to be one of the methods of establishing laws governing multi-sector material. In addition, the Act was also able to revise up to revoke the provisions contained in other laws.

A number of countries in the world have also adopted omnibus law as a strategic effort to resolve complicated and overlapping regulatory issues.

President Jokowi once mentioned that efforts to simplify the bureaucracy are important, besides that investment in job creation must also be prioritized.

Omnibus Law is also believed to benefit the workers, this is because, Omnibus Law also accommodates workers affected by layoffs or leaving the job market.

An expert on constitutional law, Bivitri Savitri rate, this law was made to target the major issues that exist in a country.

Where one way is by streamlining regulations in terms of numbers and simplifying regulations to be more targeted.

In general, Bivitri said the process of making omnibus law has no difference with the making of other laws in general.

In the Omnibus Law Draft relating to Employment Creation, a special scheme is also being prepared which will allow further wages for workers who are laid off.

The Coordinating Minister for the Economy Airlangga Hartanto said, in the discussion on employment creation, a new scheme was being prepared in the field of employment related to unemployment benefits. Where it is a facility for those affected by termination of employment.

He said that the government had also prepared facilities such as job loss guarantees and these had been included in the BPJS Employment facility. That is, for those who lost their jobs due to the closure of the company, the Social Security will immediately make cash benefits.

This, of course, provides the labor side with regard to welfare benefits, if the industry that employs it closes its business or does layoffs.

He also added, for workers who lost their livelihoods, the facility would be provided as long as the company or the person concerned had become part of an active participant of the BPJS Employment.

This plan should have received a good reception, especially Jokowi has also confirmed that he will open up opportunities for employment as much as possible.

Related to the Omnibus Law issue, Minister of Finance Sri Mulyani hopes that Omnibus law taxation can lure investors to jump into the capital market. The hope is due to the many incentives that can be a stimulus for investors in the capital market later.

One of the incentives set forth in the regulation is, the gradual reduction of the Corporate Income Tax rate from the current rate of 25% to 22% in 2021 to 2022. The Government also plans to reduce the Corporate Income Tax to 20% by 2023.

In addition, taxpayers who get foreign dividend income will be tax free, with the condition that they will reinvest dividends in Indonesia, the world’s best Finance Minister said, all of this is expected to further improve the investment climate in Indonesia, the emergence of companies that are getting bigger and more capable organic and non-organic entered the capital market.

If the value of investment in Indonesia increases, it will certainly have a positive impact on employment, especially with the number of productive ages in Indonesia, of course this will be a dancing power for both employers and investors.

In connection with the existence of Omnibus Law, employers / employers also benefit from the tax law that has dominated such as the enactment of Tax Holiday but still with conditions.

As for the workers, the opportunity for job vacancies is also getting bigger, because this will encourage investors not to hesitate in investing their capital in Indonesia.

)* The author is a social political observer

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