Minimizing Brain Drain: How BumDes Holds the Best Resources in the Villages

Abstract

This paper examines the extent the BumDesor Village-Owned Enterprises (hereafter BumDes) may minimize the local Brain drain in the village. Brain drain is a severe problem in Indonesia as they affected directly to the development of the village. Brain drain leads to the absence of human resources in the village, causing the best people to leave the village. Using qualitative methods and in-depth interviews in three villages in East Java, in Malang District, Banyuwangi District, Gresik District, this work found that the BumDes counter the brain drain to some extent. This paper demonstrates that there are three patterns of how brain drain can be minimized through the BumDes. Those are women's empowerment in BumDes business units, empowering village youth to manage the digitalization of the BumDes business unit, and recruitment of local fresh graduated from college to run the BumDes. In short, the BumDes could keep the best human resources to develop the villages.