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Indonesia – ManpowerGroup to enter market

18 May 2015

Staffing firm ManpowerGroup (MAN: NYSE) has announced plans to expand into Indonesia as early as September. The company has reportedly seen an opportunity to tap into companies that are struggling to find skilled labour in the Southeast Asian nation, reports reuters.com.

Strong growth in Indonesia's foreign direct investment has been a rare bright spot for President Joko Widodo, but companies’ inability to find suitably skilled engineers, accountants, and executives to run their businesses could undermine the growth.

Sam Haggag, Director of ManpowerGroup Asia-Pacific, told Reuters: "Given the challenges employers are facing in Indonesia getting the right talent, this is a great opportunity for the ManpowerGroup to bring value to the Indonesia market.”

ManpowerGroup; which already has offices in Vietnam, Philippines, Singapore, Malaysia, and Thailand, decided to finally open a unit in Indonesia after more of its customers looked to invest in Southeast Asia's largest economy, Mr Haggag explained.

"President Widodo's government is very encouraging in regards to its commitment to growth and supporting FDI. It is driving our customers," he said, adding that more than half of the Fortune 500 companies are ManpowerGroup's clients.

The company reportedly saw "significant opportunities" in Indonesia in talent management and recruiting professionals for financial services, construction, engineering and information technology.

Mr Haggag declined to say how much the company would initially invest in Indonesia.