Thursday 29 May 2014

BUSINESSES QUESTIONED THE READINESS OF SUPPORT AREAS OF JAKARTA IN FACING AEC 2015

The business world questioned the readi­ness of support areas around Jakarta, such as Bogor, Depok, Tangerang, and Bekasi, associated with the readiness to face the AEC (ASEAN Economic Com­munity) in 2015. It was conveyed by Vice Chairman of Finance, Banking and Investment of the Indonesian Chamber of Commerce and Industry (KADIN) of Ja­karta Province, Irwan Hutasoit, on Monday (May 5).

With the position of the Greater Jakarta area, Jakarta is very strategic as a financial and government center, including the availability of skilled workforce to fill important positions. Procurement of skilled la­bor becomes one of the challenges that must be pre­pared to face AEC in 2015.

Why is that so? Because one of the challeng­es faced by Indonesia in general, and Jakarta in par­ticular, is among others, because there are fears over unemployment increase in Indonesia if Indonesian workers do not have an international-standard profes­sional certification. In the end, positions or important positions in Indonesia will be occupied by profession­al workers from the Philippines, Thailand, Vietnam, or other ASEAN partner countries.

KADIN of DKI Jakarta is the most concerned about the influx of workers from Vietnam and Myan­mar, because workers of the two countries have a quite high productivity. Even, nurses from Malaysia have much higher skill than Indonesian nurses. Ironi­cally, they are willing to open training school for Indo­nesian nurses, Irwan added.

Hence, there is also concern that Indonesia will only be a market for the entry of foreign workers. They will master a number of business activities in the production of goods, services, investment, skilled labor and capital, and business people. That's why Indonesia needs to fortify itself by holding more inten­sive training for skilled workers.

The establishment of AEC 2015 is an oppor­tunity for the people of Jakarta to expand their busi­nesses more broadly to the ASEAN region. ASEAN is a powerful force with the potential population of 600 million people, with GDP reaching USD 2.3 trillion, abundant natural resources, integrated production base, geographical closeness to one other, relatively affordable wages, qualified resources, and relatively progressive liberalization policy.

According to Vice Chairman of Organizational Division of KADIN DKI Jakarta, Berry B. Purba, the government is expected to publish policies that can facilitate the flow of trade and human mobility, infra­structure development, and the readiness of the busi­nesses to face AEC. Because in entering the ASEAN single market, the government is no longer able to provide protection to businesses. Thus, if the busi­nesses were unprepared, the position of Indonesia will be left behind, and this country will just become a market for the entry of other ASEAN products.

Regarding doubts about the competence of Indonesian workers, it was once stated by Chairman of the Indonesian Textile Association (API), Ade Su­drajat. According to him, with a free circulation of people in this country, it will be a problem because In­donesian workers do not have sufficient competence and there is also a cultural friction among the differ­ent communities in the country. It will be a problem because the Indonesian people not yet have the skills needed to face AEC 2015.

And, to deal with the implementation of AEC, the government through the Ministry of Industry had conducted a variety of preparations by cross-sectoral efforts and policies, among others, intensifying so­cialization of AEC 2015 to industry stakeholders, adding test laboratories, improving human resource competence, preparing Indonesian National Work Competency Standards (SKKNI) in each industry sec­tor, including strengthening SMEs and developing new entrepreneurs. (E)

Business New - May 9, 2014

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