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 related definite period employment:
1. Articles relate definite period employment are deleted, thus employ with definite period employment status will be more flexible and not rigid, no more restrictions on 3 times the contract with 2 times the extension.
2. Definite period employment workers will also receive compensation for lost work that will be regulated through government regulations
3. Compensation money is given to workers who have worked 1 year for the worker concerned.
Conclusions:
1. The flexibility to set the term of the Definite period Employment Working Agreement or contract employees between employers and workers.
2. The flexibility in regulating the duration of contract employees must be balanced with a guarantee of increased protection for workers when the contract ends
3. The company must reserve funds to compensate the expiration of the work period for contract employees
