Tackling Unemployment Through Village Industrialization: Senior Economist

TEMPO.CO, Jakarta - Senior economist Faisal Basri argues that the best solution to reduce the number of unemployment is by opening new job opportunities through village industrialization. He believes this can be achieved through the use of the right technology and community-based agricultural development. 

“Insyallah [God willing] we can be safer and face future challenges by involving every aspect in society. Unlike the current condition which seems to prioritize the interests of entrepreneurs, especially major businesses,” said Faisal Basri in Thursday’s Youtube virtual event, October 29.

His solution was a response towards the statement by President Joko “Jokowi” Widodo who claimed, in a limited meeting, that the omnibus law on job creation is needed to provide new jobs for 2.9 million productive age citizens that enter work each year. 

The president claims the coronavirus pandemic has seen Indonesia’s unemployment amount to 6.9 million with 87 percent of them having high school degrees and lower, while another 39 percent of them are elementary school graduates. 

Therefore, Jokowi is pushing for the creation of new job opportunities, especially in the labor-intensive sector, which he believes is accommodated in the new omnibus law. 

However, Faisal Basri views the omnibus law on job creation has been catered for the 'requests of business owners' that have relaxed requirements in terms of the requirements a business must fulfill towards its workers. 

“But remember, we must no longer prioritize cheap labor as it is not in accordance with the current reality,” said the senior economist who argues the omnibus law only accommodates a few from those who really need job opportunities. 

Read: Omnibus Law; Senior Economist Warns of Jokowi's Overconfidence

HENDARTYO HANGGI