Erick Thohir Wants SOE Directors To Be Filled With Young Generation: 5 Percent Must Be Under 42 Years Old

JAKARTA - SOE Minister Erick Thohir said that he continues to produce young people to lead state-owned companies. He said, one way to do this is to increase the percentage of young leaders on the board of directors of SOEs.

"BUMN has set a target to increase the share of BUMN leadership by the younger generation under 42 years old by 5 percent to encourage the transformation of BUMN," said Erick, in a written statement, Monday, June 14.

Erick said, the portion of young leaders on the board of directors of SOEs will be doubled to 10 percent by 2023. He emphasized that the younger generation is needed in advancing state enterprises and is not a threat or burden for seniors in SOEs.

"The young generation is not a burden, let alone a threat, but instead becomes an inspiration, energy and driving force for the progress and transformation of SOEs, especially in the digital era and with the demands of an increasingly competitive business world," he explained.

According to Erick, seriousness in boosting the composition of millennial leaders must be supported by three sides. First, the rules or policies, the environment, and a supportive work culture. Second, capacity building through training and mentoring. Third, opportunity.

To encourage the achievement of that target, said Erick, the Indonesian Human Capital Forum (FHCI) as a strategic partner of the Ministry of SOEs specifically formed an organization that accommodates young SOE employees in 2018. The organization was originally referred to as FHCI Millennials which was later changed to FHCI Muda in 2020 and later Young SOEs now.

It is hoped that the collaboration will encourage the development of competent SOE human resources as well as become a forum for the Young SOE community to unite ideas, develop potential, and increase competence.