“The job creation law supports efforts to eradicate corruption, this is clear because, by simplifying, by cutting, by integrating the licensing system electronically, illegal fees can be eliminated,” President Joko Widodo said at the Bogor Presidential Palace on Friday.
The job creation law would also make it easier for people, especially micro and small businesses, to open new businesses, he added.
“Overlapping regulations and complicated procedures are trimmed, business licensing for micro and small enterprises (MSEs) is no longer required, just registration (is involved); it is very simple,” the President informed.
Furthermore, the law also makes it easier to form a limited liability company and has done away with the minimum capital limitation, he noted.
“The formation of cooperatives is also facilitated (by the new law). By the number of only 9 people, cooperatives can be formed. We hope there will be more cooperatives in the country," the President said.
The provision for government-funded free halal certification under the new law would also encourage micro and small businesses in the food and beverage sector, he pointed out.
“Permits for fishing boats to catch fish, for example, are (now) only to be sought from the work unit of the KKP (Ministry of Marine Affairs and Fisheries). If previously you had to apply to the KKP, the Ministry of Transportation and other agencies, now it is enough to apply to the KKP unit,” the President remarked.
On Thursday, demonstrations were held against the omnibus law on job creation in 18 provinces, with several areas reporting rioting.
Thousands of people — workers, students, and community members — took to the streets voicing their rejection of the job creation law, which was passed in the plenary session of the Indonesian Parliament on October 5, 2020.
Referring to the protests, the President said: “I see demonstrations against the job creation law which are basically motivated by disinformation about the substance of this law and hoaxes on social media.”
He said he would invite people who are dissatisfied with the new law to submit it the Constitutional Court for a judicial review.
“If there are still those who are not satisfied and refuse, please submit (it for) a judicial review to the Constitutional Court,” the President remarked. (INE)
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Translator: Desca L, Azis K
Editor: Suharto
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