The Regulation in Lieu of Law on Job Creation (Perppu Cipta Kerja) will soon be taken to the second stage for passing into law at the House of Representatives plenary session after it returns from recess.
By
NIKOLAUS HARBOWO, IQBAL BASYARI
·5 minutes read
KOMPAS
A Government Regulation in Lieu of the Job Creation Law (Perppu) was issued on December 30, 2022, as a substitute for Law Number 11 of 2020 concerning Job Creation. Since November 25, 2021, the Constitutional Court has suspended the implementation of this law and has mandated the government to revise it within 2 years. Instead of revising, the government chose to issue a Job Creation Perppu.
JAKARTA, KOMPAS — Over two days of deliberations, the Regulation in Lieu of Law on Job Creation (Perppu Cipta Kerja) was approved in the first stage of deliberation the House of Representatives (DPR). The Perppu will soon be taken to the second stage for passing into law at the House plenary session after it returns from recess.
During the first stage of deliberation, the draft law on the establishment of Perppu No. 2 of 2022 on Job Creation, which took place at the DPR Building in Jakarta on Wednesday (15/2/2023), was marked by rejection from two factions in the DPR and the Regional Representatives Council: the factions from the Democratic Party and the Prosperous Justice Party (PKS). The two factions also opposed approving the Job Creation Bill in 2020.
Meanwhile, the seven factions that approved the draft law for passing at the plenary meeting were government parties, namely the factions from the Indonesian Democratic Party of Struggle (PDI-P), the Golkar Party, the Gerindra Party, the Nasdem Party, the National Awakening Party, the National Mandate Party and the United Development Party.
After the majority of the factions agreed, the draft law on the establishment of the Job Creation Perppu will be brought to a plenary meeting after the recess period to be passed into law. The House is in recess from 17 Feb. until 14 Marc.
Chairman Abdul Wahid of the House Working Committee (Panja) on the Job Creation Perppu said the House Legislation Body (Baleg) was assigned on 14 Feb. to discuss the draft law on the establishment of Job Creation Perppu. Baleg then held several meetings. First, it held a working meeting with a number of relevant ministers. Baleg also held a public hearing with a number of experts, followed by a committee meeting on 15 Feb. The working meetings with a number of ministers and public hearings with experts took place behind closed doors. Only the first stage of deliberation was open to the public.
Discussion
After the president's letter on the Job Creation Perppu was read out on 7 Feb. 2022, Baleg discussed the draft law on Tuesday (14/2). Coordinating Economy Minister Airlangga Hartarto was present at this unscheduled work meeting, where Baleg and the government agreed to form a working committee whose task was to discuss the Job Creation Perppu. Then, the agenda continued with a public hearing with a number of experts.
Then on Wednesday, the meeting was resumed involving all representatives from House factions. Baleg deputy chairman M. Nurdin, from the PDI-P faction, confirmed that the meeting was held behind closed doors because it discussed matters related to the government's explanation regarding the Job Creation Perppu and a number of points that still needed to be corrected in the Perppu.
FAKHRI FADLURROHMAN
Action by labor unions in front of the DPR RI building, Jakarta, Monday (6/2/2023). Trade unions and the Labor Party staged a demonstration in front of the DPR RI building to reject the Government Regulation in lieu of the Job Creation Law (Perppu) and the Omnibus Law Health Bill (RUU).
Nurdin denied speculation that the Job Creation Perppu was discussed secretly and in a hurry because all processes were broadcast on YouTube. In addition, according to the government, the Perppu had been “socialized” 610 times.
He also revealed that the Job Creation Perppu would not brought to the House plenary session on Thursday (16/2), because the secretariat still had to compile and recheck the edited version of the Perppu to ensure there would be no problems in the future.
"Avoid making a mistake again. So tomorrow [Thursday], there will be a plenary meeting to close this [House] session. Then, we will be in recess until March. Maybe in the first week after the recess, when everything is ready, it will be brought to the plenary session,” said Nurdin.
Airlangga also dismissed accusations that discussions over the bill on the establishment of Job Creation Perppu was hurried, because the President had sent a letter to the DPR in early January 2023 to discuss the bill. The discussion must take place during the current session. He also said the Job Creation Law had even been “socialized” 610 times by ministries and state agencies and 29 public consultations were held by the Job Creation Promotion Task Force. It showed that the government had conducted series of activities to provide education, consultation, technical guidance, and even assistance in the implementation of the law.
The government, he continued, had listened to the opinions of the House factions and appreciated those factions that supported, approved, and those that did not agree. All records were important for the government because later, there would be a number of derivative regulations from the Job Creation Perppu. The implementation of the Job Creation Perppu would also be followed by other policies in the financial sector, such as the Law on the Development of Strengthening the Financial Sector and the Regulation on Export Earnings, as well as a number of anticipatory steps in dealing with the threat of a global economic downturn.
Airlangga said the Perppu was needed for legal certainty after the Constitutional Court declared the Job Creation Law conditionally unconstitutional.
A Baleg member from the PKS faction, Amin A.K., said the Job Creation Perppu contradicted the Constitutional Court's decision because it did not accommodate the corrections the court had ordered. The Perppu also did not respond to the Constitutional Court's mandate requiring corrections in the procedure and content of the law.
This article was translated by Hendarsyah Tarmizi.
