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The Determination of Perpu Cipta Kerja as a Form of Anticipation of Current Global Conditions


According to a recent report by the World Bank, the global economy is on the verge of falling into recession. Facing these uncertain global conditions, the Government continues to strive to prepare a series of strategies through a responsive mix of fiscal and monetary policies.

One of these policies is the establishment of a Government Regulation in lieu of Law Number 2 of 2022 concerning Job Creation which aims to encourage household consumption, domestic investment, and create jobs.

Professor of Business Law at Gadjah Mada University (UGM) Prof. Nindyo Pramono said, the impact of stagflation or the global crisis had affected the national economy. Therefore, the government is trying to anticipate this with a work copyright law.

“The effects of global stagflation have entered our country, so we are anticipating this by the government making the decision to issue a Perppu,” said Prof. Nindyo through an official statement, Thursday (9/2/2023).

The Job Creation Perpu contains content material that is loaded with the interests of the Indonesian state and people and optimization of public services in dealing with current conditions.

Perpu Cipta Kerja is a regulation that provides legal certainty, after previously the Constitutional Court ruled that Law Number 11 of 2020 concerning Job Creation was declared conditionally unconstitutional, through a formal test decision No 91/PUU-XVIII of 2020 dated 25-11-2021.

Prof. Nindyo said that the establishment of a work copyright law was one of the government’s efforts to deal with the current global economic conditions.

“The government is not in a hurry to issue the Perppu Ciptaker, because it is precisely the impact of global stagflation that is already visible to us, the government is anticipating it,” he said.

Furthermore, the determination of this work copyright law is a decision by the government of President Joko Widodo based on reality and objective logical considerations, according to global and national developments while remaining based on legal and constitutional principles.

“The effects of global stagflation have entered our country, so we are anticipating this by the government taking the decision to issue a Perppu. The reason for the urgency of forcing is purely the discretion of the President,” added Prof. Nindyo.

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