Indonesian Employers Are Hiring Rich Kids
Indonesia’s highly competitive labor market throws even more hurdles in front of you when you don’t happen to be the offspring of selected elite. It is a common and growing trend that companies prefer to hire the children of families with wealthy background. Emerhub talked with some of them. Rini (23) had no problems finding […]
Indonesia’s highly competitive labor market throws even more hurdles in front of you when you don’t happen to be the offspring of selected elite. It is a common and growing trend that companies prefer to hire the children of families with wealthy background. Emerhub talked with some of them.
Rini (23) had no problems finding a job after graduating university in Bandung. Even though her father wanted her to be independent and build her own luck, it was precisely the name of her father that helped her to get a job.
“During the job interview they asked me to fill a form where I had to state the names of my parents and where they work”, explained Rini. “After they found out that my father is quite an important figure in the government, getting the job wasn’t that difficult for me”.
Ayu (21), born and raised in Makassar, recently got a job in retail industry in Jakarta. Ayu is one of those fortunate youngsters whose parents own a mining factory in their hometown, which gives her the financial security she needs to enjoy life in the capital.
“I was asked how would I come to the office in case I’m selected”, he described one of the first questions during the interview.”I said that using my own car, after which they wanted to know which model. They seemed to be pleased to hear it was a Honda City”.
There are several reasons why Indonesian employers prefer to hire kids from wealthy families. One of them is the low salaries employers can pay to them. For both Rini and Ayu, their salaries cover only a fraction of their actual expenses. Rest is covered by their parents.
In Ayu’s case, the employer, reseller of several luxury brands in Indonesia, also appreciates the fact that he is already using many of the company’s brands himself. “I think it enables me to understand better our customer needs, because I come from a similar background myself”.
Rini agrees with Emerhub, that this kind of system is highly unfair towards the young people who don’t have the luck of coming from wealthy families. “I have many friends from my university, who despite being very smart and hard-working, struggle to find a job. I think the employers are not willing to pay them salaries that would even enable them to cover basic expenses, not to mention building a family”.
As long as rich kids continue to accept prestigious jobs that pay very little, employers will obviously have no intentions to increase the salaries or make the selection process more meritocratic. Even though the average household income remains low in Indonesia, from the population of 240 million you will still have almost an endless supply of well-educated and well-off young people to hire.
About the author: Lauri Lahi is Emerhub’s co-founder and marketing director, an expat living in Indonesia.
Let's grow your business in Indonesia
Get in touch with Emerhub by filling in the form below and our consultants will reach out to you within a few working hours.
More articles from Indonesia
Digitization is accelerating the growth of MSMEs in Indonesia
Indonesia is making rapid progress towards digitization as the country’s e-commerce sector depends heavily on the mobile-first approach. By the end of the year, the country will have 83 percent internet users with an average yearly spend of USD 620. This creates a massive opportunity for investors to invest in Indonesia because of this unique customer behaviour.
Why are foreigners Investing in Lombok instead of Bali this year?
Lombok is on the precipice of becoming the next Bali for investors! Discover why investing in Lombok is gaining investors’ attention in 2022.
Introducing Seller of Record (SoR) service by Emerhub
A Seller of Record (SoR) is a legal entity that sells goods or services to end users. The SoR is especially useful for businesses that do not have a local presence but sell to interstate or global customers.
Growth Signals Detected in Indonesia’s Investment Report for Q2 2022
The World Bank’s Indonesia Economic Prospects report for June 2022 predicts that Indonesia’s economy would grow 5.1 percent in 2022 and 5.3 percent in 2023, as the pressures of deteriorating global economic conditions, increasing inflation, and tightened external credit begin to weigh.
Indonesia is set to become the next long-term destination for Digital Nomads
The Indonesian government is said to be launching a special Digital Nomad Visa in an effort to entice more overseas employees to the country.
How to Build a Customer Support Team in Indonesia
Building a customer support team in Indonesia can be a competitive advantage for your business. We highlight the importance, benefits, and how-to.