The Community Supports Ratification of the Job Creation Perppu
By: Mika Putri Larasati
The DPR Legislative Body has agreed that the Job Creation Perppu can be discussed at the plenary level. The community also supports this decision and hopes that the Job Creation Perppu can be passed soon so that the national economy will have a stronger legal umbrella.
The Government of the Republic of Indonesia (RI) has visited the Legislative Body (Baleg) of the House of Representatives of the Republic of Indonesia (DPR RI) to discuss the Draft Law (RUU) concerning the Stipulation of Government Regulation in Lieu of Law (Perppu) Number 2 of 2022 concerning Job Creation ( Ciptaker) became Law (UU) on Tuesday 14 February 2023.
During the meeting, the Coordinating Minister (Menko) for the Economy, Airlangga Hartarto explained that the stipulation of the Job Creation Perppu was an attempt to implement the Constitutional Court (MK) Decision Number 91/PUU-XVIII/2020 on the formal review of Law (UU) Number 11 2020 concerning Job Creation (Ciptaker).
He revealed that indeed the issuance of the Perppu on Job Creation which was carried out by the President of the Republic of Indonesia, Joko Widodo on December 30, 2022 was an attempt to be able to carry out the Constitutional Court’s decision and was indeed in line with the constitution in accordance with Article 22 paragraph (1) of the Constitution. ) Republic of Indonesia in 1945.
It cannot be denied that there are indeed a number of reasons why the Job Creation Perppu is very important to stipulate. According to the Coordinating Minister for Airlangga, this was indeed due to a number of global challenges, such as national dynamics, to legal uncertainty, all of which had a serious impact on the national economy and also hampered efforts to expand job creation.
Therefore, the Government of the Republic of Indonesia itself continues to directly encourage anticipatory policies by strengthening domestic economic fundamentals through structural reforms, all of which have been contained in the Job Creation Perppu.
Airlangga added that a number of positive impacts that have been felt from the implementation of structural reforms with the Job Creation Law such as increasing Foreign Investment (PMA), reducing trade and investment barriers, increasing investment realization, and increasing employment have also increased the urgency of issuing the Perpu.
With these many reasons, the Coordinating Minister for the Economy of the Republic of Indonesia then added that indeed a number of positive impacts had been felt from the implementation of structural reforms that had been attempted by the Government of Indonesia through the existence of the Job Creation Law itself.
In order to prevent an economic crisis from happening in Indonesia, it is indeed very important to issue the Perppu Cipta Kerja. Not only that, but the existence of the Perppu is able to provide legal certainty to investors to invest their capital and also progress in the investment world.
Then in the business world, there is job creation and also efforts to increase the welfare of workers and the community. The material in the Perppu on Job Creation is generally similar to the Job Creation Law, but there are a number of adjustments which are a response to input from the public and stakeholders, namely regarding employment, guaranteeing halal products, management of water resources, and technical improvements to writing.
The Coordinating Minister for Airlangga admitted that the DPR RI could indeed approve Perppu Number 2 of 2022 concerning Job Creation by agreeing that the Bill on the Determination of the Job Creation Perppu becomes a Law. He admits that he has high optimism and that the government will still be able to maintain and increase economic growth, which success has been proven in 2022 because Indonesia was able to reach up to 5.31 percent and was the highest achievement during President Jokowi’s time.
Meanwhile, the Ministry of Law and Human Rights (Kemenkumham) emphasized that indeed the stipulation of Government Regulation in Lieu of Law (Perppu) Number 2 of 2022 concerning Job Creation (Ciptaker) is an attempt by the Government of Indonesia to be able to prevent Indonesia from entering into a situation of stagflation or an economic crisis.
Acting Director General of Legislation at the Ministry of Law and Human Rights, Dahana Putra, said that in the midst of turbulent global conditions and limited scope for macro policies, this would have an impact on the national economy. Because if it turns out that no action is taken as well as policies for prevention, then Indonesia could enter into a crisis situation related to the economy which has an impact on increasing inflation, decreasing economic growth and also to overcome the increase in unemployment.
Efforts to carry out structural reforms continue to be carried out by the Government of Indonesia. One of the ways to do this is by ratifying the stipulation of the Job Creation Perppu.
)* The author is a contributor to Nusantara Reading Room