Back القانون الشامل لخلق فرص العمل Arabic Gesetz zur Schaffung von Arbeitsplätzen German Undang-Undang Cipta Kerja ID

Omnibus Law on Job Creation

Job Creation Act
Undang-Undang Cipta Kerja
People's Representative Council
  • Undang-Undang Republik Indonesia Nomor 11 Tahun 2020 Tentang Cipta Kerja (Act No. 11/2020 on Job Creation)
Citation"UU Cipta Kerja", Law No. 11/2020 (in Indonesian).
Passed byPeople's Representative Council
Passed5 October 2020
Enacted2 November 2020
Amends
79 acts. incl. the Labour Act, Spatial Planning Act, and the Environmental Management Act.
Amended by
Government Regulation in Lieu of Law No. 2/2022
Status: Repealed

The Job Creation Act (Indonesian: Undang-Undang Cipta Kerja), officially Act Number 11/2020 on Job Creation (Undang-Undang Nomor 11 Tahun 2020 Tentang Cipta Kerja, or UU 11/2020), is a bill that was passed on 5 October 2020 by Indonesia's House of Representatives, with the aim of creating jobs and raising foreign and domestic investment by reducing regulatory requirements for business permits and land acquisition processes. Due to its length of 1,035 pages and its coverage of many non-employment sectors, it is also referred to in Indonesia as an omnibus bill.[1][2][3] The final draft was changed to 812 pages due to pagination being changed to legal format.[4] After being passed into law, there were various substantial text alterations and deletions,[5] as well as procedural issues, which made its legal status eligible for being formally annulled.[6][7]

The law has been criticized on the basis of concerns it will harm labour rights and indigenous land rights, and increase deforestation in Indonesia by reducing environmental protections.[1][8] A series of protests are ongoing as of October 2020, demanding the law be revoked.

On 25 November 2021, the Constitutional Court issued its decision, calling the law "conditionally unconstitutional".[9] It ordered the government and People's Representative Council to "repair" the law from issues surrounding it over two years. The government and People's Representative Council shall not issue any derivative laws based on this law. If the law isn't rectified in two years, it will be declared void and any amendments made to it will be undone.[10]

In an effort to save the law, the People's Representative Council passed the Bill of Law Formulation on 24 May 2022, which enables the formulation of omnibus law regulation.[11] Indonesian president Joko Widodo later signed the formulating law on 16 June 2022,[12] effectively starting the process of revising the legislation.

On 30 December 2022, the amendment of the law, Government Regulation in Lieu of Law No.2/2022, was signed by Widodo.[13][14]

On 21 March 2023, the amended law, presented as the 2023 Omnibus Law on Job Creation, was passed.[15] On 31 March 2023, as the new law commenced, the 2020 Omnibus Law was repealed.[16]

  1. ^ a b Paddock, Richard C. (5 October 2020). "Indonesia's Parliament Approves Jobs Bill, Despite Labor and Environmental Fears". The New York Times. ISSN 0362-4331. Retrieved 7 October 2020.
  2. ^ Sihombing, Grace (7 October 2020). "What to Know About Indonesia's Investment Law Overhaul". Bloomberg. Retrieved 8 October 2020.
  3. ^ Putri, Budiati Utami (12 October 2020). "Final Draft of Job Creation Law Confirmed to be 1,035 Pages". Tempo.co. Retrieved 12 October 2020.
  4. ^ "Draf RUU Cipta Kerja diperbarui lagi, berubah jadi 812 halaman". Kompas. 13 October 2020. Retrieved 13 October 2020.
  5. ^ "Salah Ketik Bukti Penyusunan Uu Cipta Kerja Cacat Prosedural". Republika (in Indonesian). 5 November 2020.
  6. ^ "Pakar Nilai UU Cipta Kerja Layak Digugat". Republika (in Indonesian). 4 November 2020.
  7. ^ "Otak Atik Omnibus Law Dan Dugaan Para Penunggang Pasal". CNN Indonesia (in Indonesian).
  8. ^ "Explainer: Indonesia bets on 'omnibus laws' to fix investment climate". Reuters. 12 December 2019. Retrieved 11 October 2020.
  9. ^ Nano Tresna A.; Lulu A. (25 November 2021). "Court: Conditionally Unconstitutional, Job Creation Law Must Be Revised in Two Years". Constitutional Court of Indonesia. Retrieved 13 February 2022.
  10. ^ Indraini, Anisa (25 November 2021). "MK Minta UU Cipta Kerja Diperbaiki, Dilarang Buat Aturan Turunan". detikfinance (in Indonesian). Retrieved 25 November 2021.
  11. ^ Media, Kompas Cyber (24 May 2022). "DPR Sahkan Revisi UU PPP, Atur Metode "Omnibus Law" Halaman all". KOMPAS.com (in Indonesian). Retrieved 20 June 2022.
  12. ^ Rizqo, Kanavino Ahmad. "Jokowi Resmi Teken UU PPP Nomor 13/2022". detiknews (in Indonesian). Retrieved 20 June 2022.
  13. ^ Yanwardhana, Emir. "Tok! Jokowi Terbitkan Perpu Nomor 2/2022 Tentang Cipta Kerja". CNBC Indonesia (in Indonesian). Retrieved 30 December 2022.
  14. ^ Mediatama, Grahanusa (30 December 2022). "Pemerintah Terbitkan Perpu No 2/2022 Pengganti UU Cipta Kerja, Ini Pokok-pokok Isinya". kontan.co.id (in Indonesian). Retrieved 30 December 2022.
  15. ^ Febriyan (21 March 2023). "DPR Sahkan Perpu Cipta Kerja Menjadi UU, Ini 3 Potensi Bahayanya Menurut Pakar". Tempo (in Indonesian). Retrieved 22 March 2023.
  16. ^ "Perpu Cipta Kerja Jadi Undang-Undang, Berlaku Mulai 31 Maret 2023". news.ddtc.co.id (in Indonesian). Retrieved 4 April 2023.
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