The Impact Of The Constitutional Court's Decision On The Job Creation Act, Erick Thohir: Very Minimal

Minister of SOEs, Erick Thohir. (Photo: Doc. Ministry of SOEs)

JAKARTA - Minister of State-Owned Enterprises (BUMN) Erick Thohir said that the impact of the decision of the Constitutional Court (MK) regarding the Law (UU) on Job Creation which was considered unconstitutional to state-owned companies was minimal.

"The Constitutional Court's decision on the Employment Creation Law in BUMN has minimal impact," he said in a meeting with Commission VI, at the DPR Building, Parliament Complex, Senayan, Thursday, December 2.

Even so, said Erick, there were two impacts that were felt by his ministry and state-owned companies. First, continued Erick, the impact on research or research. Based on article 66 of the Job Creation Law, BUMN is tasked with conducting national research and innovation. As a result of the Constitutional Court's decision, this task was temporarily suspended.

Even so, Erick explained that the cooperation between BUMN and universities could still take place. Because, there is no prohibition to cooperate.

"It's only the article that needs to be strengthened. Before this article existed, 1.5 knew that there were a lot of cooperation between SOEs and universities," he said.

The second impact, said Erick, is related to the transfer of shares of PT Bank Mandiri (Persero) Tbk and PT Bank Rakyat Indonesia (Persero) Tbk to an investment management institution (LPI) or Indonesia Investment Authority (INA) worth Rp45 trillion.

For your information, the Constitutional Court decided to postpone matters of a strategic nature. However, there is no definition of the phrase 'strategic'. So it can be interpreted broadly. These shares can also be categorized as strategic projects.

Despite mentioning the impact, Erick refused to elaborate on the impact. Erick even made sure that the transaction between the two continued. To ensure this, Erick has coordinated with President Joko Widodo (Jokowi) and a number of related ministries/institutions.

Erick said that in terms of implementing the legal umbrella or INA regulations, the government through the Ministry of Finance, Ministry of SOEs, BPKP, BPK, and other relevant ministries also carried out intensive coordination.

"So the legal umbrella has been implemented. It's only for inbreng. We have to issue an additional letter, it doesn't mean it's stopped," he said.