Indonesia mandated to revise job creation law
- Claire Lee
- Topics: Compliance, Employment Law, Home Page - News, Indonesia, News
Indonesia’s Constitutional Court has instructed the government to amend parts of a new job creation law within two years, or it would be deemed unconstitutional.
The court’s ruling deemed the job creation law as “legally defective” as the approval did not follow the proper process, according to Bloomberg.
These include some late changes made in the final omnibus law from a version that was already approved in parliament, and mistakes in the law’s citations of existing regulations that it was meant to supersede.
The panel of judges rejected calls for the entire law to be repealed and allowed it to remain in force until revisions are made.
READ: Indonesia looks to bridge existing gender pay gap
“The government will immediately follow up the court’s ruling by preparing for the law revision and carry out as best as we could the court’s instructions,” Airlangga Hartarto, Coordinating Minister for Economic Affairs, said at a news conference, adding that the government respected the court ruling, reports Reuters.
The law was designed to streamline bureaucratic procedures, spur investment and boost labour competitiveness.
