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The Job Creation Bill Improves the Quality of Human Resources

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By: Edi Jatmiko )*

Workers and employers in Indonesia have been waiting for the inauguration of the Work Creation Bill. With this bill, employee welfare will be even better. The business climate has also improved as bureaucracy has been made easier. The existing regulations in the Job Creation Bill will improve the quality of human resources in Indonesia.

Workers from Indonesia are known to have quite good abilities. However, it could be that their energy is replaced by robots, if they don’t increase their skill and attitude. To overcome this, employees can be more diligent in increasing knowledge and also manners. To improve the quality of human resources, it is also possible to formalize the Job Creation Bill.

The Job Creation Bill will make it easier for foreign investors to enter Indonesia, because of the ease of investment regulations. According to Muhammad Handry Imansyah, an economic observer from Lambung Mangkurat Univ, the quality of human resources increases when investors enter for investment. Because there is a transfer of knowledge from investors to workers and employers in Indonesia.

Investors have more knowledge about international business. They will explain how a business is done as well as its good marketing. They are also more experienced. So entrepreneurs who are joint ventures and their employees will absorb investors’ knowledge, so that the quality of human resources will also improve.

The Job Creation Bill also regulates the nominal annual bonus given by companies. An employee is entitled to a bonus according to the length of service, a maximum of 8 times the salary. If they want to stay in their company, they will automatically increase their skills and performance. Its human resources have improved because the employees are enthusiastic to move forward.

In addition, the Job Creation Bill also serves as a legal umbrella for freelancer workers. They may work in more than 1 company, because their status is not a permanent employee. Most freelancers work in foreign companies because they are given salaries in dollars. Interaction with bosses from abroad will make the transfer of knowledge and human resources better.

One of the articles in the Job Creation Bill regulates the dismissal of employees. A worker is entitled to severance pay and job loss guarantee (JKP). JKP can improve the quality of human resources for workers, because it does not only provide pocket money. But also training to improve skills, as a provision for them to become entrepreneurs.

Not only benefits employees, the Job Creation Bill also benefits entrepreneurs. Especially owners of micro, small and medium enterprises (MSMEs). They were given cash assistance of 2.4 million rupiah and assistance from the central and regional governments. This assistance is necessary so that they can market their products more widely, not only in 1 city.

Entrepreneurs are also guided so that they can market their products globally via social media. When interacting with buyers from abroad, they understand how to do business internationally. Entrepreneurs also know digital marketing techniques and understand the desires of customers from various countries. This international association makes business more advanced.

The Job Creation Bill also makes licensing for MSMEs easier. So if they are serious about exporting large quantities of merchandise, they will no longer be hampered by bureaucracy. By pocketing official permits, they become international traders. HR will be better, because they can mix with customers from various countries and have a very good attitude.

The Work Creation Bill is fully supported by workers and employers because it can improve the quality of human resources. Entrepreneurs will interact with foreign investors and be given knowledge about international business. Meanwhile, workers also improve the quality of human resources in order to survive in the company.

)* The author is active in the Jakarta Press and Student Circle

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