The Business Times
Asean Business logo
SPONSORED BYUOB logo

Indonesia presidential rivals tackle thorny labour issues in final election debate

Elisa Valenta
Published Mon, Feb 5, 2024 · 10:11 PM

[JAKARTA] Former Central Java governor Ganjar Pranowo, who is one of three men in the running to succeed Joko Widodo as Indonesia’s next President, said he would review the country’s job creation laws if he was elected.

Speaking in the fifth and final debate on Sunday (Feb 4) night, the 55-year-old said he had received complaints from labour groups who called for a review of the laws that are widely seen as sidelining workers on issues such as severance pay, wages and leave.

Ganjar, whose running mate is former chief minister of law and security Mahfud MD, said during the televised debate: “During my campaign, I have heard from labourers who want the Job Creation Law to be revised, which they feel is important to create balance.”

The Job Creation Law is a key part of the legacy of Widodo, who must end his second and final term in October this year.

This law, commonly known as the Omnibus Law, was enacted in 2021 to attract investment and create jobs by streamlining regulations and simplifying the licensing process to improve the ease of doing business in Indonesia. However, the law has sparked controversy among labour unions and environmental groups who argue that it can erode workers’ rights.

Ganjar’s rival in the race, former Jakarta governor Anies Baswedan, said in his speech that there are roughly 45 million people who do not have good jobs with decent salaries because they still live in remote cities with a lack of opportunities.

A NEWSLETTER FOR YOU
Friday, 8.30 am
Asean Business

Business insights centering on South-east Asia's fast-growing economies.

Another issue that Ganjar spoke about was on healthcare, as he made a pledge to restore the requirement for Indonesia to spend 5 per cent of the national budget on health.

Defence Minister Prabowo Subianto, the frontrunner in many opinion polls over the past few weeks, said he would build “modern health facilities” in every province and city in Indonesia, as well as solve the longstanding issue of a shortage of doctors by opening up to 300 new medical schools.

“Indonesia is short of 140,000 doctors. The main solution to Indonesia’s health issue involves providing more general practitioners, specialist doctors, and adequate health services,” said the 72-year-old.

Prabowo has been leading numerous polls by a considerable margin, having chosen Gibran Rakabuming Raka, Jokowi’s eldest son, as his vice-presidential candidate.

Prabowo said that improving human resources in Indonesia is at the forefront of his election campaign.

His so-called “National Transformation Strategy” seeks to improve the prosperity of the Indonesian people and provide sufficient nutrition for children and pregnant women, among other programmes.

The third candidate, former Jakarta governor Anies Baswedan, criticised what he described as a politicisation of the government’s social assistance programme. Some local media outlets have reported that packs of rice were distributed along with Prabowo’s campaign stickers.

“We need to be aware that the social aid is aimed at the recipient, not at the interests of the giver,” said Anies.

On digitalisation, Ganjar said he would provide free internet access for all to reduce the digital gap if he wins the election.

Noting that around 12,000 villages do not have internet coverage, he said this policy would benefit many owners of micro, small and medium-sized enterprises as they take advantage of the digital economy.

Ahead of Polling Day on Valentine’s Day, there will be a mandatory cooling-off period from Feb 11-13. Over 204 million eligible voters will head to the ballot boxes to elect new leaders, including their eighth President, to lead South-east Asia’s largest economy over the next five years.

KEYWORDS IN THIS ARTICLE

READ MORE

BT is now on Telegram!

For daily updates on weekdays and specially selected content for the weekend. Subscribe to  t.me/BizTimes

Asean

SUPPORT SOUTH-EAST ASIA'S LEADING FINANCIAL DAILY

Get the latest coverage and full access to all BT premium content.

SUBSCRIBE NOW

Browse corporate subscription here