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Indonesia: Job market

What are my chances of getting a job?

Government restrictions on hiring workers from abroad coupled with high levels of unemployment mean recent UK graduates are likely to find opportunities for employment in Indonesia extremely limited.

  • Typical problems encountered: there are moderately high levels of unemployment in Indonesia, with many graduates unable to find work. Government policy restricts companies in Indonesia, whether domestic or foreign, from employing foreign nationals in jobs that can be done by Indonesians. 
  • How to improve your chances: as there are more opportunities for skilled or more experienced workers it may be beneficial to wait a few years following graduation. Alternatively, you could gain employment in the UK with an organisation that has operations in Indonesia, with the ultimate aim of transfer there.
  • Language requirements: a good working knowledge of Bahasa Indonesia (the official national language) will increase your chances of finding work. This is also the language of instruction in schools (other than the numerous international schools) and universities. English may be spoken in multinational businesses in large cities, but in rural areas it can be difficult to find people who speak English. The leading language training organisation in Indonesia is the Indonesia Australia Language Foundation (IALF) . It offers intensive and semi-intensive courses in Bahasa Indonesia at language centres in Jakarta, Bali and Surabaya. In the UK, the SOAS Language Centre  offers a one-year beginners' Indonesian language course.

Where can I work?

  • Major industries: oil, gas, mining, textiles, agriculture, forestry, fishing and tourism.
  • Recent growth areas: infrastructure development and energy market.
  • Industries in decline: timber, motor manufacturing, tourism (possibly due to the threat of terrorist activity).
  • Shortage occupations: surveying.
  • Major companies: Telkom Indonesia, Bank Central Asia, Bank Mandiri, Bank Rakyat Indonesia, Bank Negara Indonesia, Bumi Resources (coal mining), Bank Danamon, Gas Negara (State Gas Company), Semen Gresik (cement), PT Bukit Asam.
  • Search for more companies: Kompass  is a worldwide business directory searchable by country and product/service. You might also find Indonesia Yellow Pages  and Wikipedia - list of companies in Indonesia  useful.
  • Major cities: Jakarta (capital), Bandung, Surabaya, Medan.

What’s it like working in Indonesia?

  • Average working hours: normal business hours are 8am to 5pm, Mondays to Fridays, and 8am to 1pm on Saturdays. Government offices are generally open from 8am to 4.30pm, Mondays to Fridays.
  • Holidays: annual leave entitlement varies, as in the UK. Indonesia has 13 public holidays per year, plus ‘cuti bersama’ (or 'joint days’), which follow public holidays and are usually factored into employees’ annual leave entitlement.
  • Tax rates: all Indonesian residents, including foreign nationals, must register with the Tax Service Office in their city of residence and obtain a personal tax number. Income tax is progressive and ranges from 5% to 30%. A useful guide on the payment of personal income tax is available at Living in Indonesia, A Site for Expatriates .
  • Working practices and customs: where Western business culture involves working to strict deadlines, Indonesian business culture places more importance on building relationships and considering ideas. Indonesians have a high regard for status, position and age, and it is important to show respect in the presence of elders and superiors. Indonesians do business with people they know, so building relationships, which often extend to all members of the family, is crucial. You should always dress smartly in office situations.
 

What are the next steps?

 
 
 
 
AGCAS
Written by AGCAS editors
Date: 
August 2011
 
 
 

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