Potential Conflicts of Interest in Pre-Employment Card Program

A KPK study found a potential conflict of interest and state loss in the preemployment card program. The study is part of reviews conducted by the National Committee for Job Creation on the implementation of the program

KOMPAS/HERU SRI KUMORO (KUM) 18-06-2020

From left to right, Spokesperson for Corruption Eradication Commission (KPK) Ipi Maryati, KPK Deputy Chairman Alexander Marwata, and KPK Prevention Deputy Pahala Nainggolan, prepared to explain the results of the Pre-Employment Card program review to reporters, at the KPK Building, Jakarta, Thursday, Thursday (18/6/2020).

JAKARTA, KOMPAS - The Corruption Eradication Commission (KPK) has found a potential conflict of interest in the selection of online learning platforms in the preemployment card program. The KPK has also found potential state losses in running the program.

The results of the KPK study will be part of the evaluation materials to be used by the National Committee for Job Creation under the Coordinating Economic Minister’s Office to review the preemployment card program.

KPK deputy for graft prevention Pahala Nainggolan said in Jakarta on Thursday that there were at least three factors that put the preemployment card program at risk of inflicting state losses.

First, there is a potential conflict of interest between online (digital) platforms and training providers. Second, the courses provided in the program are available for free in the internet and third, about the appropriateness of the courses offered in the program.

There is a potential conflict of interest in five of the eight digital platforms with training providers.

According to Pahala, an internal discussion held by the KPK unveiled two main violations. “During the internal discussion, there were two violations were unveiled. Learning materials are available for free (in the internet) but should be paid, and also about the selection of online learning platforms,” he said.

Potential conflicts of interest found in the KPK study were related to the relationship of five of the eight digital platforms with training institutions (LPPs), which provide the courses. "There is a potential conflict of interest in five of the eight digital platforms with training providers," said Alexander Marwata, another KPK’s deputy chairman. He said that the platforms were selected by LPPs without bids.

He said 250 of the 1,895 training courses were provided by the LPPs which had conflicts of interest with the five digital platforms. They include Skill Academy (177 training courses), Pintaria (69), Sekolah.mu (25), Maubelajarapa (28), and Pijarmahir (11).

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The training providers and the digital platforms have the same owners and operate under the same companies.

KOMPAS/BAHANA PATRIA GUPTA

Several people access the Prakerja.go.id website to register with the Pre-Employment Card program on 13 April 2020 at the East Java Manpower and Transmigration Office in Surabaya, East Java. The program, which offers training and a monthly allowance of Rp 3.55 million for four months under a national quota of 164,000 participants, aims to provide aid to workers who have been laid off due to the Covid-19 epidemic. East Java currently has 50,051 laid-off workers.

Available on the internet

In addition to having potential conflict of interest with training institutions, the online learning platforms have also been accused of also having involved in determining the training materials,

As a result, the selection of the training materials was determined with insufficient competence. According to the results of the KPK study, out of 1,895 training materials, only 13 percent met the requirements. Even worse, 89 percent of the training materials are available in the internet for free. This percentage was based on 327 training items available in the program.

"The method in running the online training programs also has the potential to be fictitious, ineffective, and detrimental to state finances, because the training method is one sided without a control mechanism,” said Marwata.

Also read : Polemic Urges Reevaluation of Preemployment Card

This can be seen from the issuance of certificates by training institutions. For example, even though participants have not yet completed the entire training packages they took, they still received the certificates. In addition, many participants have received financial incentives even though they have not yet completed all the training they followed. As a result, the state still has to pay for training that is not attended by participants.

Panji Ruky, the director of communication, partnership and ecosystem development for the preemployment card program, said that the findings and input of the KPK as well as a number of other supervisory institutions had been received by the National Committee for Job Creation.

"We have received a lot of input, including the alleged violations discovered by the KPK, which we are currently evaluating. In the future, the presidential regulation and the regulation issued by the Coordinating Economic Minister on the preemployment card program might be revised following the two-month evaluation programs, "he said.

Also read : Testing Times for Migrants

KOMPAS/TOTOK WIJAYANTO

A person uses a tablet on Friday (8/5/2020) to access the www.prakerja.go.id website for information on the Pre-Employment Card program. The program is targeted for job seekers and for owners of micro, small and medium-sized enterprises whose livelihoods have been affected by the Covid-19 outbreak.

Commenting on the KPK\'s conflict of interest allegation, Panji said the one which administered training providers (LPPs) was the manager of the preemployment card program, not the digital platforms.

"So, a digital platform has no rights to select the training institution it wants. Moreover, under the Perpres and Permenko regulations, there is no prohibition that a digital platform can play a role both functions (as platform and training provider),” he said.

Being Discussed

Previously, the executive director of the preemployment card program, Denni Puspa Purbasari, told Kompas that she had discussed the dual functions of the digital platforms with a number of experts.

"According to experts in the discussion, it is no problems for the digital platforms to also provide training courses as long as the number is not larger than those provided by others. Just like Indomart or Hypermart, they can sell their own products,” she said. According to her, the Business Competition Supervisory Commission (KPPU) is aware about the practice. “If a supermarket can sell their own product, why digital platforms are not allowed,” she added.

Meanwhile, Panji said that the agency responsible in managing the preemployment card program will establish more stringent criteria and selection processes for training institutions to prevent potential conflicts of interest. "We require that the majority of training courses sold on the platform must be from other institutions, not from the platform itself. We have implemented this from the beginning, like Skill Academy which only provides 29 percent of the training courses available in Ruangguru online learning platforms. The rest are provided by other institutions, "said Panji. Academy is a training institution owned by Ruangguru.

Also read : Questioning the Benefits of Preemployment Cards

KOMPAS/ADITYA DIVERANTA

Screenshot of the site gratisinbelajar.com on Thursday, (18/6/2020). This site is a form of citizen initiative to criticize the Pre-Employment Card program which is considered a waste of budget.

Regarding the potential loss of the state, Panji said, it needs to be further examined. The government will take action, if there is a fictitious training institution. He added, the training materials in the preemployment card program cannot be compared with free training programs provided by other institutions in the internet.

“There is a training course carrying the same title on YouTube but the duration is only four minutes. It cannot be compared with the eight hour training on the preemployment card program. So, it must be reviewed. If it\'s really the same, we will review it again, "he said.

At present, a number of online learning platforms have offered free training programs following the launch of the preemplpoyment card program in March, this year. Online learning platform Gratisinbelajar.com is one of them. The founder of the platform, Faiz M Ghifari, said that the emergence of the platforms which provided free training courses was due many complaints that the trainings provided under the preemployment card program were not applicable and very expensive. . According to Faiz, the government’s spending of up to Rp 5.6 trillion for the preemployment card program is too much, given the limited variety of the training courses being offered.

It means that there is no one would help them (this middle class).

"The ratio of the price and quality of the training materials under the preemployment card program is not quite appropriate. It is quite different from similar training providers abroad, such as Coursera or Udemy, which cooperate with well-known tertiary institutions, "said Faiz.

Meanwhile, responding to the postponement of the preemployment card program, Denni said, this program was actually intended to help the middle class affected by Covid-19.

According to her, such a group of people are not covered by the social safety net program, unlike the poor people, who are recorded in the data of the recipients of the social safety net programs. "If for example, the preemployment card program was not established or postponed until 2021, it means that there is no one would help them (this middle class)," said Denni. ( P D S /A G E / S P W/ D I V/ B I L )