The global economic crises that hit the world in 2008 pushed Indonesia in to the corporate spotlight. As world economies plunged in to recession, Indonesia’s economy continued to grow thanks largely to a strong domestic market. As a result, Indonesia receives a great deal positive press coverage, enticing many established companies to increase their growth plans and many more to establish a new presence in Indonesia.
This surge in activity has exposed an Indonesian skills shortage as companies fight to find skilled professionals to fill their key positions. The shortage of talent has led to a talent war, with offers and counter offers of employment accelerating people’s careers and salaries at a rapid pace.
While this is good news for many Indonesian executives, some companies are becoming frustrated by the ever increasing demands of their existing employees and job seekersthey encounter.
Currently there are no signs of the trend slowing, although it is worth noting the pace of which Indonesian professional’s income is increasing is unsustainable in the long term. Potentially Indonesia may see a market correction in 2015 when polices will implemented to ease the free flow of skilled labor within the ASEAN Economic Community.
To assist companies in understanding the demands of today’s Indonesian professionals, Monroe conducted a survey of 600 people, all of which are middle to senior level professionals and currently earning in excess of $,1500 per month.
The responses gathered showed 96% of people would be happy to interview for a job outside of their current employer if they were approached. However 39% of respondents said they would consider staying with their current employer after tendering their resignation if they were offered a promotion or more money to stay. This indicates that a large number of professionals are satisfied with their current company but will move if the right offer is made.
The data collected for salary demands demonstrates the problems companies face, with 43% of respondents expecting their salaries to increase by over 40% when changing jobs and 27% of people receiving over a 20% increase in salary from their current employer in that past 12 months.
The focus of consideration when looking at other job opportunities remains on financial income with 53% rating the importance as very high and a further 43% rating it as high. Medical Insurance coverage and office working environment also rated as being of high importance to the professional jobseeker. The priority given to financial income continued to rate of high importance for keeping Indonesian professionals satisfied in their job.
Clearly it is a good time for skilled professionals but how long employers will be willing to continue to meet their demands remains to be seen.