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Introduction to workforce planning for Asia’s renewable energy and tech sectors
Asia’s renewable energy and tech industries are expanding rapidly, driven by heavy investments expected to reach $119 billion by 2027 and a growing push for sustainability.
With this fast-paced growth, businesses need strategic workforce planning to attract, develop, and retain the right talent. This approach focuses on matching employee skills with company goals, forecasting future needs, and implementing practical solutions.
Companies are adopting innovative workforce solutions to attract talent in Asia’s renewable energy sector. Many are turning to Employer of Record (EOR) and Managed Service Provider (MSP) services.
The role of EOR and MSP solutions in building a sustainable talent pool
These specialised services help businesses simplify hiring, comply with local laws, and effectively manage talent across borders.
- An EOR acts as the legal employer for international hires. They handle contracts, payroll, taxes, and local compliance. This enables companies to quickly enter new markets without having to establish a local business entity. For example, a tech firm expanding into Indonesia can use an EOR to onboard skilled developers without dealing with local regulations.
- MSPs complement this by managing temporary and contract workforce needs and overseeing recruitment, payroll, and performance tracking. This flexibility allows businesses to adjust their workforce size based on project demands, ensuring efficiency and cost control.
Here at CXC, we demonstrate how these solutions work in practice. Working with us gives companies access to our vast talent pool, proper compliance systems, and adaptable workforce management. This enables businesses in renewable energy and technology sectors to grow quickly while maintaining quality and compliance with local regulations.
Key challenges in workforce planning for sustainable talent in Asia
Whilst the solutions mentioned above provide strong frameworks for workforce management, companies must still navigate several obstacles in the Asian market.
Skills shortages and mismatches
The growing shift to renewable energy has created a huge demand for specialised skills across the region. Many projects need experts in electrical engineering, solar panel installation, and wind turbine maintenance. However, there’s a gap in the talent market, as many workers still have experience rooted in traditional industries like oil and gas.
For example, in Vietnam, the booming solar industry struggles to find technicians skilled in installing and maintaining photovoltaic systems, highlighting the urgent need for retraining programs. This skills gap is particularly evident in project management for large-scale solar and wind projects and newer technologies like battery storage and smart grid management.
Without enough workers trained in these emerging areas, companies face significant delays and higher costs—which ultimately impacts their ability to meet the region’s growing energy demands.
Regulatory and policy uncertainty
Inconsistent regulations across Asia make it hard for companies to plan their workforce effectively. Each country has different labour laws, tax policies, and environmental rules, making a standard hiring approach nearly impossible.
This complexity is evident even within individual countries. In India, for example, states like Tamil Nadu offer attractive solar incentives such as subsidies, while others like Maharashtra impose higher tariffs and tougher approval processes. This forces businesses to adapt hiring strategies based on varying regulations, which can further complicate expansion plans.
The push for sustainability adds complexity, as countries frequently update green policies to meet climate targets. In Indonesia, for instance, new carbon regulations have forced companies to adapt hiring practices quickly, creating uncertainty in workforce planning. Without stable, long-term guidelines, businesses hesitate to invest in talent development, slowing their progress towards meeting sustainability goals.
Infrastructure and resource gaps
The rapid growth of Asia’s renewable energy sector relies on solid infrastructure, yet many countries still face significant gaps.
Despite having ideal solar energy conditions, the Philippines struggles with outdated electricity grids and limited investment in upgrades. The ambitious Terra Solar project, which aims to generate up to 4 GW of solar power, underscores the urgent need for infrastructure improvements. Much of this renewable energy can only be effectively transmitted or utilised with modernised grid systems.
Another example is Thailand. Limited battery energy storage systems (BESS) and outdated grid infrastructure struggle to handle the increased load from new wind farms. The country’s draft Power Development Plan (PDP) for 2024-2037 proposes just 10,000 MW of BESS, far below the estimated need, which is three to four times higher to effectively manage renewable energy integration. Without modernising the grid and expanding storage capacity, Thailand remains reliant on gas-fired power plants during peak demand—slowing the transition to clean energy and limiting job growth.
High competition for skilled talent
As Asia’s renewable energy and tech industries expand, the demand for skilled professionals has surged, leading to fierce competition for top talent.
Countries like Singapore and South Korea have become major tech hubs, attracting highly skilled workers from across the region. This talent drain makes it difficult for smaller local firms to compete, as larger companies often offer higher salaries, better benefits, and attractive career development opportunities.
Malaysia’s solar sector is a clear example of this competitive landscape. With strong government support through initiatives like the National Energy Transition Roadmap (NETR) and the Green Technology Financing Scheme, the industry has seen rapid growth, attracting both local and foreign investors, such as China. As a result, local firms must work even harder to attract and retain talent, facing stiff competition from well-funded international players entering the market.
Beyond offering competitive salaries, firms can invest in comprehensive training programmes, implement flexible work arrangements, and build strong company cultures that emphasise innovation and growth.
As work becomes increasingly digital and remote-friendly, companies can also offer hybrid working models and digital collaboration tools to attract tech-savvy talent. These forward-looking approaches can help businesses attract potential candidates while improving their retention of valuable team members.
Lack of regional collaboration
Asia’s renewable energy and tech sectors are often hindered by varying workforce standards across countries. In Indonesia, for example, the Ministry of Energy and Mineral Resources requires solar panel installers to hold local certifications that align with the Indonesian National Standard (SNI), which ensures safety and quality but is not recognised internationally.
Similarly, Vietnam has its own specialised training programs, such as the “Training of Trainers on Rooftop Solar Installation,” tailored specifically to national standards. However, just like the example above, these certifications are not acknowledged in neighbouring countries, limiting the mobility of skilled workers across borders and complicating project deployments.
Cultural differences further add complexity. In Southeast Asia, countries like Thailand often use indirect communication styles to maintain harmony, while more direct communication is preferred in Western-influenced business environments like Singapore. This can lead to misunderstandings in cross-border teams if not managed properly.
To address this, firms should invest in cross-cultural training programs that help employees understand and adapt to these differences, building stronger, more cohesive multinational teams.
Strategic solutions for sustainable workforce planning in Asia
To tackle the region’s workforce challenges, companies must adopt flexible and innovative strategies that support growth and adaptability.
Leveraging EOR and MSP for talent compliance and flexibility
EOR and MSP services go beyond simplifying hiring—they enable companies to build a more adaptable and responsive workforce. Outsourcing compliance management, payroll, and legal responsibilities allows businesses to focus on strategic growth rather than administrative tasks.
For example, an energy company expanding across Southeast Asia can use an EOR to swiftly adjust its workforce in response to regulatory changes, minimising risk and disruption.
MSPs provide additional flexibility by offering tailored workforce solutions, including access to a pre-vetted talent pool and real-time performance analytics. Taking Malaysia’s solar sector as an example, MSPs can help firms quickly scale project teams based on seasonal demands, reducing overhead costs and improving project outcomes.
Technology enhances these services, enabling seamless integration of compliance checks, payroll processing, and workforce data analytics. This digital approach supports more thoughtful workforce planning, helping companies adapt quickly to industry changes.
Building a talent pipeline through local training programs and partnerships
To develop a sustainable talent pool, Asian companies are increasingly partnering with educational institutions and governments to create local training programs. These initiatives aim to upskill the workforce in specialised renewable energy roles.
- In the Philippines, for example, the government collaborates with universities through the Green Jobs Act to offer vocational training.
- At the same time, Malaysia’s National Energy Transition Roadmap includes programs designed to equip local talent with skills needed for the expanding solar sector.
These collaborative efforts can help organisations bridge the skills gap and build a reliable pipeline of qualified professionals for the growing renewable energy sector.
Implementing data-driven metrics for workforce planning success
Effective workforce planning in Asia’s renewable energy and tech sectors requires a data-driven approach. Essential metrics include:
- Time-to-hire: Measures recruitment process efficiency
- Employee retention rates: Indicates workforce stability and job satisfaction
- Skills gap analysis: Identifies areas needing additional training
- Workforce productivity: Tracks project completion rates and performance scores
These help organisations identify potential issues early. For example, a high turnover rate might signal problems with job satisfaction or mismatched skill sets, allowing companies to refine their hiring strategies promptly. By tracking these key performance indicators (KPIs), companies can make informed decisions to meet their long-term talent needs.
Conclusion: Building a future-ready workforce for Asia’s growing sectors
Asia’s renewable energy and tech industries are growing rapidly, and businesses need a flexible, skilled workforce to keep up with these changes. By planning and building the right talent, companies can meet industry needs and continue to grow. Strategic workforce planning isn’t just about filling jobs today—it’s about preparing for the future.
Using data-driven approaches, investing in local training programs, and adopting flexible solutions like EOR and MSP services help companies build strong teams ready to handle new challenges.
For businesses in Asia, partnering with experts can make a big difference in managing complex workforce needs. CXC’s EOR and MSP services offer the support companies need to handle compliance, streamline hiring, and find the best talent. Working with CXC allows businesses to focus on growth while building a skilled workforce that can adapt to the changing landscape of Asia’s renewable energy and tech industries.
Get in touch with us to learn how we can help your business succeed in this fast-paced market.
