Definition of Omnibus Law:
Omnibus law is a method to create new regulation or constitution consisting of many subjects or subject matter for specific purposes in order to deviate from a regulatory norm.
Omnibus Law (itself) is NOT a Legal Product but Omnibus Law reflects an integration, codification of regulations which ultimate goal is to make the application of these regulations effective.
Conventional changes by amending the law one by one as it has been done is considered ineffective and inefficient, and need a long time. Therefore, the establishment of a Job Creation policy must be carried out through the Omnibus Law Legislation technique.
The Omnibus Law combines 80 laws and 1,201 articles related to employment combining 3 laws and 57 articles governing minimum wages, outsourcing, foreign labor, severance / termination, sweetener and working hours.
The Work Copyright Bill has 5 parts and consists of 74 articles, i.e.
1. First part: General (1 Article)
2. Second part: Employment (UU No. 13 of 2003) consists of 68 articles governing foreign worker, minimum wages, Outsourcing, severance / termination, rest and leave, Definite Employment Working Agreement working hours
3. Third part: Social Security UU No. 40 of 2004 (2 articles), the latest one has job loss guarantee
4. Fourth part: Social Security Administrator UU No. 24 of 2011 (2 articles) which is the latest article of job loss guarantee institution
5. Fifth part: Other Appreciation (1 article), new article on adding new norms for workers’ welfare
Changes in PKWT and Outsourcing :
1. Articles related definite period employment are deleted, thus employing with definite period employment will be more flexible and not rigid, those workers will also receive compensation for lost work that will be regulated through government regulations.
2. Regulations on outsourcing are deleted and not included in the labor article, only regulates employment relations while business relationships are governed by business law in reference to the Civil Code (KUHP).
Conclusions:
1. There are no longer restrictions on employment contracts in outsourcing schemes
2. For working relationships with outsourcing companies, it can be with permanent employment status or contract employment status.
3. Responsibilities related to employment relationships and job guarantees are the responsibility of outsourcing companies.
4. There are no more cores and non-cores to determine the type of work that can be outsourced or diverted. All sectors and types of work can be done (outsourced)
5. The obligation for outsourcing companies to provide job loss guarantees will be further regulated by government regulations.
