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What is the impact of the 4.0 industrial revolution on the law in Indonesia?
The 4.0 industrial revolution is believed to be able to improve the quality of human life. This era not only had an impact on the industrial world and the economy but also had an impact on the legal aspect. Indonesia itself already has a program to achieve the 4.0 industrial revolution, however, behind Indonesia's success, there are legal challenges in facing this era.
Please read the review below for a further explanation.
This article is an English translation of Revolusi Industri 4.0: Pengaruh dan Tantangan bagi Hukum di Indonesia, which was written by Renata Christha Auli and was first published on Thursday, 7 July 2022.
All legal informations which are available through Klinik hukumonline.com have been prepared for educational purposes only and are general in nature (read the complete Disclaimer). In order to obtain legal advice specific to your case, please consult with Justika Partner Consultant.
The 4.0 industrial revolution has a significant impact on the industrial aspect, including the law.[1] However, before any further discussion, we should first understand the meaning of 4.0 industrial revolution.
The 4.0 industrial revolution, according to Astrid Savitri, is the fourth industrial era since the first industrial revolution in the 18th century. The era of revolution is characterized by a combination of technologies that combine the boundaries between the physical, digital and biological fields, or collectively referred to as the cyber-physical system.[2]
In the 4.0 industrial revolution, humans are very dependent on communication technology, namely communication in the form of artificial intelligence ("AI") and the internet of things ("IoT").[3] In addition, the 4.0 industrial revolution has led to an era in which technology has brought humans into the world of tangible virtuality, which will fundamentally change the pattern of life and the way they work, both nationally and internationally. Furthermore, the 4.0 industrial revolution emphasizes several patterns, such as the digital economy, artificial intelligence, big data, and robotics.[4]
The characteristics of the 4.0 industrial revolution are:[5]
Essentially, the law moves dynamically along with the development of the live of the sociely. Thus, the law must be able to provide room for change. This is known as the adage of tempora mutantur, nos et mutamur en illis.[6]
The development target of the 4.0 industrial revolution is the empowerment of information technology resources. Without a good legal information and communication system, the legal substance will be difficult to be accessed by the public and its validity will be criticized.[7]
The Indonesian government has a program known as Making Indonesia 4.0, which is preparing Indonesia to face the 4.0 industrial revolution. The legal basis for the implementation of this program are:[8]
Under this regulation, the implementation of the 4.0 industrial revolution is stipulated as a major project of the 2020-2024 National Medium-Term Development Plan. This Presidential Regulation is translated into Annual Government Work Plans in order to secure the support of Ministries/Agencies and budgeting programs.
Under this regulation, the 10 (ten) priority strategies for Making Indonesia 4.0 will become the basis for the 2020-2024 Industrial Development Plan Direction. The development of 7 (seven) priority industrial sectors in Making Indonesia 4.0 is included in chapter IV of the Stages of Prioritized Industrial Development Outcomes.
This regulation regulates the measurement of industrial readiness in transforming towards 4.0 industry.
In this revised draft, the substance of Making Indonesia 4.0 is added to the substance of the National Industry Development Master Plan.
The Indonesian government has also issued several regulations and policies in order to support and encourage the 4.0 industrial revolution program, namely:[9]
Indonesia is a country with the 4th (fourth) largest workforce in the world, namely 104 million workers. Improving the quality of the workforce will undoubtedly have an impact on increasing productivity which will also have an impact on economic growth. Labourers in Indonesia have a big role in the achievement of Making Indonesia 4.0 activities. Based on data from the Ministry of Industry, until 2021 there have been several achievements of Making Indonesia 4.0, namely:[10]
The 4.0 industrial revolution also raises new challenges in the legal aspect, one of which is legal certainty over the ease of doing business in this era, for example:
The authentic notarial deed has the power of outward proof and the strength of formal and material evidence which is the strongest and most complete evidence. The proving power of the notarial deed will be faced with the challenge of digitization relating to the use of computers in the era of the 4.0 industrial revolution.
This issue requires further study, namely the extent to which the authority of a notary and the process of making a notarial deed can use the internet network in order to still fulfill its authentic nature and have perfect evidentiary power.
Cybernotary is a concept that utilizes technological advances in carrying out the duties and authorities of a notary. Digitization of documents is a challenge for notaries, especially in relation to the authentication and legalization of documents.
Electronic transactions in the 4.0 industrial revolution implement modern business, for example, agreements are carried out with the non-face method or without presenting the perpetrator physically, and non-sign i.e. not using original/wet signatures, as well as paperless or without the use of paper.[11] Moreover, especially during the COVID-19 pandemic, almost everything has been transformed digitally. One of them is the signature system. This is a legal challenge in determining the validation of electronic signatures. In addition, if applied in court technicalities, it is necessary to regulate whether the electronic signature system is legal or not.[12]
Also read: Government and INI Discuss the Concept of Cyber Notary
Furthermore, we will explain some of the legal advices in facing the 4.0 industrial revolution, which has brought developments and changes in various fields, one of which is the law. Thus, this development needs to be regulated by law as law-making, and it is necessary to enforce the law as law enforcement.[13]
The development of legal materials in facing the challenges of the 4.0 industrial revolution is also important, one of which is the renewal and establishment of new legal products that reflect the values of Pancasila and the 1945 Constitution. Therefore, the Indonesian government must continuously evaluate laws and regulations, for example, those relating to modern industry, namely trade law.[14]
According to Liona Nanang Supriatna, Lecturer and Dean of the Faculty of Law at Universitas Katolik Parahyangan, the challenges for the legal aspect in the 4.0 industrial era are legal information systems and legal communications that are quickly connected to the internet as well as the use of artificial intelligence or AI.
Furthermore, Liona explained that with internet and AI connectivity, the law will be easily accessed by the public and even assessed for its validity, which in turn will shape the legal culture, so that the law is not left behind with the latest technological developments. All regulations must be made based on the understanding of the internet of things which is the main characteristic of the 4.0 industrial revolution. For this reason, it is very important for the Indonesian government that the legal aspects of artificial intelligence or AI continue to be reviewed in order to remain in accordance with the values of Pancasila and the 1945 Constitution.
In conclusion, the development of the 4.0 industrial revolution does not only have an impact on the economic and industrial sectors, but also an impact on the legal aspect.[15] There are several legal challenges in facing the 4.0 industrial revolution, for instance, relating to data, deeds, transactions, and electronic signatures.
To deal with these challenges, several legal advices are provided, namely the development of legal materials, the establishment of legal products, and the evaluation of laws and regulations, as well as the review of artificial intelligence laws which are in line with the values of Pancasila and the 1945 Constitution.
Also read: Patents and the Industrial Revolution 4.0
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These are the answers we can provide, we hope you will find it useful.
Legal Basis:
References:
NB:
We have conducted an interview with the Lecturer and Dean of the Faculty of Law of Parahyangan Catholic University, Dr. iur. Liona Nanang Supriatna, S.H., M.Hum. via WhatsApp on Friday, July 1 2022 at 22:44 Central Indonesian Time (zone).
[1] Muhammad Akbar, Kepastian Hukum dalam Kemudahan Berusaha di Era Revolusi Industri 4.0 Terkait dengan Profesi Notaris, Jurnal Ilmiah Penelitian/Law Jurnal, Vol. 1, No. 2, 2021, p. 117.
[2] Irena Relani (et.al), Pengaruh Revolusi Industri 4.0 terhadap Online Service Terminal Petikemas Koja Jakarta, Majalah Ilmiah Gema Maritim, Vol. 21, No. 2, 2019, p. 121.
[3] Choirul Fajri (et.al), Public Relations dan Periklanan: Menghadapi Revolusi Industri 4.0, Yogyakarta: Buku Litera Yogyakarta, 2019, pp. 38-39.
[4] Soesi Idayanti, Pembangunan Hukum Bisnis dalam Perspektif Pancasila Pada Era Revolusi Industri 4.0, Jurnal Jurisprudence, Vol. 9, No. 1, 2019, p. 94.
[5] Muhammad Akbar, Kepastian Hukum dalam Kemudahan Berusaha di Era Revolusi Industri 4.0 Terkait dengan Profesi Notaris, Jurnal Ilmiah Penelitian/Law Jurnal, Vol. 1, No. 2, 2021, p. 118.
[6] Benny Riyanto, Pembangunan Hukum Nasional di Era 4.0, Jurnal Rechtsvinding, Vol. 9, No. 2, 2020, p. 162.
[7] Benny Riyanto, Pembangunan Hukum Nasional di Era 4.0, Jurnal Rechtsvinding, Vol. 9, No. 2, 2020, pp. 163.
[8] Andi Rizaldi, Expert Staff to the Minister of Business Climate and Investment at the Ministry of Industry, which was delivered during the presentation session of the online Legal Compliance Talks Webinar #5: Industry 4.0, the Benchmark of Indonesia's Future Industry, which was held on Friday, 1 July 2022, at 14.30 West Indonesian Time (zone).
[9] Benny Riyanto, Pembangunan Hukum Nasional di Era 4.0, Jurnal Rechtsvinding, Vol. 9, No. 2, 2020, pp. 163 -164.
[10] Andi Rizaldi, Expert Staff to the Minister of Business Climate and Investment at the Ministry of Industry, which was delivered during the presentation session of the Hukumonline Compliance Talks Webinar #5: Industry 4.0, the Benchmark of Indonesia's Future Industry, which was held on Friday, 1 July 2022, at 14.30 West Indonesian Time (zone).
[11] Soesi Idayanti, Pembangunan Hukum Bisnis dalam Perspektif Pancasila Pada Era Revolusi Industri 4.0, Jurnal Jurisprudence, Vol. 9, No. 1, 2019, p. 95.
[12] Andi Rizaldi, Expert Staff to the Minister of Business Climate and Investment at the Ministry of Industry, which was delivered during the presentation session of the Hukumonline Compliance Talks Webinar #5: Industry 4.0, the Benchmark of Indonesia's Future Industry, which was held on Friday, 1 July 2022, at 14.30 West Indonesian Time (zone).
[13] Soesi Idayanti, Pembangunan Hukum Bisnis dalam Perspektif Pancasila Pada Era Revolusi Industri 4.0, Jurnal Jurisprudence, Vol. 9, No. 1, 2019, pp. 97-98.
[14] Soesi Idayanti, Pembangunan Hukum Bisnis dalam Perspektif Pancasila Pada Era Revolusi Industri 4.0, Jurnal Jurisprudence, Vol. 9, No. 1, 2019, pp. 98-100.
[15] Andi Rizaldi, Expert Staff to the Minister of Business Climate and Investment at the Ministry of Industry, which was delivered during the presentation session of the Hukumonline Compliance Talks Webinar #5: Industry 4.0, the Benchmark of Indonesia's Future Industry, which was held on Friday, 1 July 2022, at 14.30 West Indonesian Time (zone).
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