Kadin Claims Job Creation Law Can Fight Off Investment Challenges

TEMPO.CO, Jakarta - The Indonesian Chamber of Commerce and Industry (Kadin) chair Rosan P. Roeslani said the newly-passed Omnibus Law on Job Creation could beat off various investment challenges. Business players had thus far observed that Indonesia's investment competitiveness was still dealing with several hindrances.

“The law can answer and resolve various issues hindering investment to increase and create jobs,” said Rosan in a written statement on Monday, October 5, 2020.

According to him, the law would cause an impact on the simplification of the bureaucracy and licensing system, as well as provide facilities for entrepreneurs, especially those in micro, small, and medium business (MSMEs) to establish a conducive investment ecosystem and create jobs so as to accommodate the needs of the workforce.

The COVID-19 pandemic, Rosan added, has brought a broad impact on the economy, including a massive wave of layoffs and a significant contraction in economic growth. Due to the dynamics in the global economy, he argued that the country needed to fast respond to the existing situation.

“Job Creation Law is important and necessary to support economic growth through economic recovery and transformation programs,” Rosan said.

The House of Representatives (DPR) has officially passed the controversial bill on job creation (RUU Cipta Kerja) on Monday, October 5, 2020. Seven factions supported the omnibus bill while two factions, the Prosperous Justice Party (PKS) and the Democrat Party, were against the bill’s passing.

Read also: Omnibus Law will Boost Speed of Work and Innovation, Says Jokowi

FRANCISCA CHRISTY ROSANA