Omnibus Law: The Purpose and Benefits

what is Omnibus law

At the end of 2020, there was a lot of debate about the Omnibus Law. Then, what is Omnibus law and why does it attract the attention of many people? While in the legal world, Omnibus Law is not something new, for example in America, Omnibus Law is often used as a cross-sectoral law.

The implementation of the Omnibus Law in Indonesia is expected to be a solution to “simplify” many overlapping regulations. In addition, the Omnibus Law also offers many purposes and benefits, such as to accelerate development and improve the welfare of the Indonesian people. If you want to know more about the Omnibus Law and its goals and benefits, here is the review:

What is Omnibus Law?

In Latin, the word omnibus means “for all” or “many”. In legal terms, the word Omnibus is followed by the word law, namely Omnibus Law, which means a collection of many cross-sectoral regulations at different levels in one regulatory product.

The advantage of the Omnibus Law is that it is practical in correcting conflicting and overlapping regulations by making cross-sectoral stakeholders to jointly draft the related laws.

The concept of Omnibus Law has been around for a long time in many countries as a solution to overlapping regulations, such as America, England, Ireland, and also Canada.

The United States even discussed Omnibus Law in 1840. Meanwhile, in Canada, the practice of Omnibus Law began to occur in 1888. Several Southeast Asian countries have applied the Omnibus Law, such as Vietnam, the Philippines, Singapore, Malaysia, and Indonesia.

what is Omnibus law

The Purpose and Benefits of the Omnibus Law

Indonesia applies the Omnibus Law to simplify too many and overlapping regulations. This can cause problems, such as policy conflicts between one institution and another, which in turn hinder the acceleration of the economy and investment. The other purposes and benefits of the Omnibus Law are as follows:

  • Resolve conflicting laws and regulations effectively, efficiently, and quickly.
  • Harmonize government policies at various levels, from regional to central levels.
  • Simplify convoluted bureaucracy.
  • Improve coordination between related institutions.
  • Ensure guarantee of legal protection and certainty for policymakers.

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Disclaimer: This article has been prepared for scientific reading and marketing purposes only from ADCO Law. Accordingly, all the writings contained herein do not constitute the formal legal opinion of ADCO Law. Therefore, ADCO Law should be held harmless of and/or cannot be held responsible for anything performed by entities who use this writing outside the purposes of ADCO Law.