Benefits of Job Creation Perppu Help Indonesia Become a Developed Country
Government Regulation in Lieu of Law (Perppu) number 2 of 2022 was just inaugurated by President Jokowi late last year. The government claims that the Perppu replaces Law number 11 of 2020 (Job Creation Law). This Perppu is very important for the people, because it will make Indonesia a developed country. The reason is because thanks to this Perppu more and more investors are coming to Indonesia and increasing employment, so that the people are more prosperous and advanced.
After the Job Creation Perppu was passed on December 30 2022, the public was surprised because it seemed as if the inauguration was sudden. Even though the government has planned it carefully and this Perppu has been installed as a substitute for the Job Creation Law. P erppu Job Creation is guaranteed not to harm the community and there will be no change for the worse.
With the ratification of the Job Creation Perppu , the people’s economy will be better. To provide an understanding of the benefits of the Job Creation Perppu, the government has socialized this rule in several cities.
The Task Force for the Acceleration of Socialization of the Job Creation Law recently held a Focus Group Discussion (FGD) to discuss the establishment of the Job Creation Perppu and its related regulations from an economic and legal perspective, together with intellectuals in Bali. Held on Friday 10 March 2023, this activity was opened directly by the Secretary of the Job Creation Law Task Force , Arif Budimanta
Udayana University economist , I Gusti Wayan Murjana then stated that the purpose of the issuance of the Job Creation Perppu was an effort by the government to achieve a big goal, namely to make Indonesia a developed country in 2045. This Perppu has been able to increase investment in Indonesia.
I Gusti Wayan Murjana continued, this can be seen from the existence of the Job Creation Law in 2020. Since the Job Creation Law was enacted in 2020, investment values have increased greatly in 2021 even though there is still a pandemic. So it becomes important for the Indonesian economy.
The Job Creation Perppu is a surefire way for the government to rise in the economic and investment fields, because this law has an investment cluster. With various conveniences in managing investment permits, it is hoped that this will be a stimulus for investors. Not only small-scale investors but also big-name investors, aka investors who dare to inject big funds into Indonesia.
The Job Creation Perppu is a blessing because big-class investors are coming to Indonesia and the investment value is huge, up to millions of US dollars. Foreign investors such as Elon Musk will also build an electric car battery factory. Huge investment from Elon Musk is to be expected because his value must be very high and he is one of the richest people in the world.
With so many investors coming to Indonesia, it will be very good because investment shows the progress of a country. Investors believe in the ability of President Jokowi’s government, because it is guaranteed by the Job Creation Perppu. They invest because they get a direct guarantee from the president.
If there are many investors, Indonesia will be more advanced because a lot of infrastructure and factories have been built. Infrastructure will facilitate people’s mobility so that people’s work also runs smoothly, and their performance increases. Meanwhile, factories resulting from investment will increase the country’s economy because the circulation of money will be faster.
Meanwhile, Gadjah Mada University Employment Expert Prof. Tadjuddin Noer Effendi said that the demographic bonus that Indonesia can take advantage of needs to be supported by a conducive employment situation. According to him, job creation is something that is urgent and must be carried out by the Government of Indonesia. The Job Creation Perppu is the answer to this problem.
The Job Creation Perppu is a solution because if many investment-produced factories are built, it will automatically need a lot of employees. This situation will absorb labor and reduce unemployment in Indonesia. The demographic bonus in the form of a high birth rate is also not a problem because people of active age can get jobs by applying to the factory resulting from the investment.
When people get jobs, Indonesia will be more advanced in the economic field. The reason is because they have a fixed salary and can buy groceries and various other needs.
If people have a fixed salary then the wheels of the economy will keep rolling because the market will continue to be busy, and the people will have no difficulty just buying rice. The Indonesian economy will continue to progress if conditions are like this. Therefore the Job Creation Perppu is very important because it has a positive domino effect on the financial condition of the people in this country.
Perppu Cipta Kerja helps Indonesia to become a developed country. The reason is because in this Perppu there is an investment cluster that will increase investor confidence. They are sure to invest in Indonesia because there is a guarantee from President Jokowi. With the results of the investment, factories will be built and advance Indonesia, especially from an economic point of view.
)* The author is a contributor to the Siber Nusa Institute