President points out three reasons why Indonesia needs job production law

So the task development law is targeted at developing as lots of job opportunities as possible for task hunters and out of work people.

Jakarta – Indonesia needs to implement the task creation law in the wake of the COVID-19 pandemic to generate tasks, encourage the opening of brand-new organizations, and curb corruption, according to President Joko Widodo.

” At the restricted conference (on Friday), I stressed why we need the task development law,” he mentioned in a press statement issued from the Bogor Presidential Palace the exact same day.

He said the first factor for carrying out the law is that 2.9 million new job applicants, or youths, go into the labor market every year, which makes the production of new tasks an immediate requirement.

The circumstance has actually been exacerbated by the COVID-19 pandemic, which has actually left 6.9 million people out of work and 3.5 million employees impacted, he included.

Nearly 87 percent of Indonesian workers have actually studied as much as secondary school or lower, while 39 percent have actually just finished elementary education, the President kept in mind. This has triggered the federal government to motivate the creation of task chances, particularly in the labor-intensive sector, he said.

” So the task creation law is aimed at developing as lots of task chances as possible for task applicants and jobless people,” he mentioned.

He said the second reason the law is required is that it will make it much easier for the general public, particularly micro and small entrepreneurs, to open brand-new services.

The new law is aimed at streamlining overlapping regulations and prolonged procedures, he explained. For example, micro and small businesses will now no longer require company licenses, but will just need to register with the relevant agency, he stated.

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The law will also help with the establishment of minimal liability companies because there will be no limitations on minimum capital, he included. Under the brand-new law, 9 people can establish a cooperative system, he continued.

” We hope there will be numerous cooperatives and micro small companies in the country engaged in the food and drink industry.

The third reason the omnibus law is very important is that it would support corruption eradication efforts in the nation, he remarked.

” It is clear that by simplifying (procedures), cutting (expenditures), and integrating the electronic licensing system, there will not be prohibited levies any longer,” he explained.

The House of Representatives (DPR) and the Indonesian government passed the controversial omnibus expense into law on Monday in the middle of mounting criticism over its arrangements on labor rights, indigenous neighborhood rights, and environmental protection.

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