If you use Ajax calls, you can specify the :before and :after parameters to show and hide a spinner/timer graphic.
If you need to actually show the % of work/file completed, you'll need to setup a process which has the status available, and call perdiocally_call_remote to check with the server what the status is (assuming its taking longer then regular client/server communication). The returning value would be a percentage/fraction, and you display a graphic associated with that percentage. If you want to get sophisticated, you may be able to run threads to split the progress
Hope this helps. Bart