Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Indonesia court orders government to revise controversial labour law

EconomyNov 25, 2021 02:46AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
2/2 © Reuters. Members of Indonesian trade unions hold placards during a protest against the government's labor reforms as Indonesia's Constitutional Court reads the verdict on a judicial review filed on the controversial 'omnibus' or job creation law in Jakarta, Indonesia, November 25, 2021. REUTERS/Ajeng Dinar Ulfiana 2/2

By Stanley Widianto

JAKARTA (Reuters) - Indonesia's Constitutional Court on Thursday ordered the government to amend parts of a new job creation law within two years, citing procedural flaws in how the controversial legislation was handled.

The law, which was passed last year and saw the revision of more than 70 existing laws, sparked protests across Indonesia and complaints that it undermined labour rights and environmental safeguards.

Ruling on Thursday in a judicial review brought by unions, chief judge Anwar Usman said if changes were not made in two years, the legislation would be deemed "permanently unconstitutional".

The ruling described the way the legislation was handled as procedurally flawed and in some parts, unconstitutional, including changes made after parliamentary approval.

While the judges acknowledged the rationale behind some of the government's actions in pushing through a law designed to attract investment and create jobs, the ruling said proper processes should have been followed.

"It doesn't mean that reaching those goals then could set aside the ways or formal procedures that are in effect," it said.

Airlangga Hartarto, coordinating minister for economic affairs, said the government respected the ruling.

"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," he told a news conference.

The law had been designed to streamline bureaucratic procedures, spur investment and boost labour competitiveness, but critics argued comprehensive revisions took place that were rushed through without sufficient consultation.

Deni Ferdiansyah, 43, who joined union members outside the court, said the judges had sided with the workers.

"We feared the Constitutional Court would be pro-government, but thank God they still used their conscience," Deni said.

"This law makes laborers suffer, especially when it comes to the minimum wage."

Among other complaints had been rules on severance pay, contract labour and outsourcing, and a stipulation that environmental studies only be required for high-risk investments.

Said Iqbal, chief of the KSPI labour union, said workers "highly appreciate" the court, adding "we believe there's justice to be had."

KSPI lawyer, Said Salahudin, said the whole process of drafting the law should be restarted.

"This isn't a normal ruling, it was very bold for the Constitutional Court to do this," he said.

"Anything related to labor policies that are strategic and have wider implications needs to be suspended."

 

 

Indonesia court orders government to revise controversial labour law
 

Related Articles

China's Q4 and 2021 GDP grow faster than expected
China's Q4 and 2021 GDP grow faster than expected By Reuters - Jan 16, 2022

BEIJING (Reuters) -China's economy grew 4.0% in the fourth quarter from a year earlier, faster than expected but its weakest expansion in one-and-half years, National Bureau of...

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email