A reduction in the number of SOEs will lead to greater control and clarity in the supply chain.
Jakarta (ANTARA) - Reducing the number of State-Owned Enterprises (SOEs) will not eliminate the creation of jobs in existing programs in the enterprises, SOEs Minister Erick Thohir stated.

"We ensure to reduce the number of SOEs, which are too large and inefficient, to 41 without eliminating job creation programs within the SOEs," he noted at an online seminar here on Saturday.

Thohir then cited as an example the Fostering Prosperous Family Economy (Mekaar) Program implemented by the state-owned financial services company PT Permodalan Nasional Madani (Persero).

Currently, the program has 10.8 million customers, with an additional 5.2 million customers in the last year and a half. Hence, if one entrepreneur recruits one employee, then it has created job opportunities for 5.2 million people.


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"A reduction in the number of SOEs will lead to greater control and clarity in the supply chain. Thus, the SOEs programs will be more effective, as they become a major driver through the establishment of the Ultra Micro SOEs holding, for instance, the Mekaar program that had fostered businesswomen and created more jobs at an incredible pace," the minister affirmed.

Currently, the SOEs Ministry is transforming enterprises by launching a transformation plan with five priorities. In order to implement the plan, the ministry and state-owned companies have to apply the core values of AKHLAK (Trustworthy, Competent, Harmonious, Loyal, Adaptive, and Collaborative) approach.

In addition, the ministry is striving to transform human capital. Hence, the ministry has encouraged 15 percent of the current leadership in SOEs to be occupied by women in 2021 to achieve gender equality.

Furthermore, the ministry has urged that the number reaches 25 percent by 2023.


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Meanwhile, leaders of the millennial generation -- or under the age of 42 -- are targeted at five percent in 2021 and 10 percent by 2023.

Related to the transformation of human capital, the ministry and SOEs are also widely opening opportunities for certified internship programs as well as joint recruitment programs for Papuans and people with disabilities.

"The goal of the programs is to have world-class companies amid the free market era, as we expect our SOEs to harbor competitiveness in such era. Furthermore, we will encourage the development of more global-scale SOEs, from four to reach 10 enterprises. Thus, we will have sustainable corporations to raise our competitiveness as a nation and state. In addition, we can make huge contribution to the government," Thohir stated.


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Translator: Aji CAkti, Uyu Liman
Editor: Fardah Assegaf
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