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Law of the Republic of Indonesia No. 11 of 2020 on Job Creation.

Country
Type of law
Legislation
Source

Abstract
This Law, commonly known as the "Omnibus Law", is enacted to is to attract investment and create jobs by streamlining regulations and simplifying the licensing process to improve the ease of doing business in Indonesia.
The Law focuses on increasing the ease of doing business in Indonesia through simplifying licensing processes, simplifying land acquisition processes, formalizing economic zones, providing more incentives to free-trade zones, creating a land bank supervisory authority, etc. The business activities are divided into three categories, i.e. low, medium and high risks. A business identity number shall be obtained for all categorie sof business. A standard certification is required for a medium-risk business and a business license for high-risk business. The Law simplifies environmental assessment requirements and licensing procedures, dispenses with statement of environmental management and monitoring capability, integrates environmental permits and business licenses, removes the strict liability and limitations on minimum forest cover for river basins and islands.
The Job Creation Law revises various provisions in cross-sectoral laws, including Law No. 13 of 2003 on Labor, Law No. 40 of 2004 on the National Social Security System, Law No. 24 of 2011 on the Social Security Administrating Body and Law No. 18 of 2017 on the Protection of Indonesian Migrant Workers. The Job Creation Law introduces a new type of social security benefit described as “loss of job security” benefit, which will be administered by the Employment Social Security Administrator and the Central Government. The Law moves the licensing authority for Indonesian migrant worker placement companies in the Migrant Workers Law from the Minister of Manpower to the Central Government. It also provides that all branches of migrant worker placement companies must obtain a license issued by the relevant provincial government.
Date of text
Repealed
Yes
Source language

English

Legislation Amendment
No
Implemented by