Business owners and DPR RI\u2019s Commission IX held a hearing to discuss\nthe new Employment Bill, aimed at ensuring the sustainability of\nbusinesses and workers\u2019 employment. The core of this hearing is the\nexpectation that the Employment Bill includes provisions that are more\nflexible for the business world, while also protecting workers. Flexible\nregulations are deemed capable of attracting investment and opening new\njob opportunities in the manufacturing industry sector.<\/p>\n
Apindo\u2019s Head of Labour Affairs, Bob Azam, stated that job creation\n(employment) is expected to be the main direction of the Employment\nBill, followed by worker protection and welfare. This is because\nworkers\u2019 positions are important not only as producers or generating\nproducts at their workplaces, but also as consumers, namely buying\nvarious goods resulting from production.<\/p>\n
\u201cThis Bill is expected to maintain the sustainability of the business\nworld,\u201d said Bob Azam in his presentation during the hearing with DPR\nRI\u2019s Commission IX regarding the Employment Bill, on Tuesday\n(14\/4\/2026).<\/p>\n
Bob assessed that Indonesia\u2019s labour conditions in general are in a\ncautious category or yellow light because every year around 3.5 million\nnew workers enter the workforce. Meanwhile, every 1% economic growth can\nonly absorb 200-400 workers. Labour-intensive industries absorb the most\nworkers compared to capital-intensive ones.<\/p>\n
Workers not absorbed by industry tend to enter the informal sector,\nwhich reaches around 60 percent. Indonesian worker productivity is still\nlow because it is dominated by graduates of lower secondary education.\nMeanwhile, efforts to increase productivity through training have not\nbeen optimal due to limited budget allocation.<\/p>\n
This Bill is needed because labour regulations over the last 10 years\nhave been unstable. For example, wage regulations have been changed five\ntimes, so in practice, they often change every two years. This condition\nmakes it difficult for the business world to compile long-term\nplans.<\/p>\n
\u201cIf the regulations change frequently, we have difficulty calculating\nour labour costs. This makes it difficult for the business world,\u201d he\ncontinued.<\/p>\n
Citing study results, Bob mentioned that countries with more flexible\nlabour regulation characteristics are able to attract more investment.\nThe future direction of the Employment Bill is expected to protect\nworkers\/labourers, business owners, and job seekers.<\/p>\n
\u201cWe want to convey that the law we expect protects workers, but it\nshould not cause investments to not enter so that those who need jobs do\nnot get opportunities,\u201d he said.<\/p>\n
In a separate opportunity, when met by reporters after the hearing,\nBob said the core of Apindo\u2019s proposal for the Employment Bill is the\nissue of worker training, where the government should provide funds so\nthat workers can improve their abilities.<\/p>\n
\u201cBut the main thing we propose from Apindo is that there must be\nfunds for worker training, especially those already in the workforce.\nSo, they shouldn\u2019t enter work until retirement with the same job,\nunchanging. We can\u2019t rely on worker welfare from minimum wages. Worker\nwelfare can emerge by them changing jobs. From a job with lower pay to a\nbetter salary,\u201d he explained.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/business-owners-claim-difficulties-new-law-must-protect-workers-and-companies-1776171054", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }