Indonesia is heavily reliant on its abundance of natural resources, primarily oil and gas, which constitute a major part of the developing nation’s export revenue. Mining and agriculture also play a major role in the economy, which has continued to climb despite the global economic crisis. Experts estimate the natural resources sector employs more than 50% of the domestic labour force and more than 60% of expat workers. Boasting a population of over 220m people, Indonesia enjoys a particularly strong domestic market that many multinational corporations involved in a range of sectors, including consumer goods, banking, insurance and telecommunications, have found attractive. Competition to locate competent senior Indonesian executives with strong technical knowledge remains a major challenge. This demand will continue for many years given that many Indonesians do not have access to quality education. Although education standards are improving and the quality of human resources along with it, the deficit continues to grow given that many of Indonesia’s best and brightest prefer to seek their fortunes abroad, while demand continues to increase. In short, Indonesia’s under-exploited natural wealth and the shortage of proven senior executives across the gamut of sectors have combined to ensure the Indonesian recruitment market weathered the financial crisis and remains on track for
continued growth.

Andrew Hairs
Regional manager, Monroe Consulting Group