'The Golden Period Of Recruitment': Labor Demand In Vietnam Rises After Tết Holiday
A senior recruitment consultant said that employees look for companies that understand their needs and offer an avenue to learn.
Major companies in Vietnam’s industrial parks and export processing zones are now hiring more than 12,000 workers. Of the number needed, at least 2500 require a university degree, 4700 need college and vocational education, while the rest for manual workers.
The HCM City Center for Forecasting Manpower Needs and Labor Market Information said the city needs workers for trade, services, textile and footwear, food processing, logistics, IT and chemical industries.
In an article posted by Viet Nam News, PhoYuen Viet Nam Co. Ltd in Tan Binh District, Ho Chi Minh City has one of the largest labor demands, with more than 2,000 workers needed for various positions such as IT technicians, office and purchase staff, secretaries, quality management staff and manual workers.
The rise of labor demand after the Lunar New Year holiday is a common scenario in Vietnam. Dubbed the “golden period of recruitment” by recruitment agencies and talent acquisition consultants, the three-month period between Tết in January or February and April is the best time to ramp up recruitment, with thousands of job-seekers eager to start new careers after receiving their yearly bonus.
“The Lunar New Year is a milestone of each year for a person to evaluate what he has done in the past year, and what things he can change for the new one,” said a senior consultant at 40HRS, a recruitment agency catering to all levels of workers in various industries, adding that her company currently sees ICT/IT-related jobs as the most in-demand after the new year holiday.
Re-evaluating career trajectories, seeking new opportunities
Bao Ngan, a job seeker, understands why people leave their jobs after the holiday. She has never experienced quitting a job, but she knows “staying in a job you don’t love” is not ideal.
With Tết symbolizing new beginnings and fresh starts for many Vietnamese, it’s the ideal time to re-evaluate their life choices, especially in their careers.
“People get tired of their jobs so they find a new one, something that would make them want to go to their workplaces everyday, something that would give them happiness,” said Ngan.
“However, this is not the most professional way to deal with your job. Some people quit after getting their bonus without telling their employers. But then again, their social insurance books are with their employers. So in one way or another, they will have to face their employers. It’s better to end a job the right way.”
A senior recruitment consultant said that employees look for companies that understand their needs and offer an avenue to learn, adding that “it’s normal for employees to change their jobs when they see they are not improving or growing”.
But when seeking new opportunities, she suggests, “job-seekers need to know what they want in a job, so it’s easy for them to identify the organizations they can be part of.”
Using online job portals such as Careerbuilder or VietnamWorks, two of Vietnam’s most popular job sites, help people find the right job for them.
“But first, you need to create a comprehensive CV that will showcase who you are professionally,” she said.
Retaining the best talents
Employees are given the freedom to stay or leave their jobs. Bearing the weight when employees choose the latter, companies need to create a work environment where employees can grow and thrive, not get burnt out by tasks or feel underappreciated.
A report released by Anphabe in 2019 revealed that Vietnam’s employee turnover rate has reached to 24%, significantly higher than the optimal turnover rate of 10%. According to Anphabe, the four main factors that impact whether an employee stays or leaves a job are: income, career path, employers’ reputation, and work-life balance.
The report also showed that that “the higher the salary, the greater the rate of quitting”, especially in the fields of marketing, sales, IT and finance.
Thanh Nguyễn, CEO of Anphabe, commented, “If 10% is the ideal turnover rate, which allows an organisation to remain stable and transformable with new people every 10 years, then obviously we can't be at ease with the current 24%”.
“Higher salaries or promotion should not be the only solution as they only provide temporary effect. The goal should be to increase engagement, effort and loyalty.”
Joan Tercero, co-founder at PEOPLED., a new talent acquisition and HR solutions company, said employee experience is the key to retaining the best talents. It’s about asking “are my employees happy?”, and making sure that companies meet the demands of their employees to further drive productivity.
“Companies should focus on the uniqueness of their team and use that uniqueness to see what clicks for them and what drives more productivity. It’s creating an environment where what the employees want is aligned with the culture of the company,” explained Joan.
For Tran, a senior manager at one of Vietnam’s biggest staffing and recruiting companies, it’s important for employers and employees to have the same goal, which will help both parties to traverse the same path towards the achievement of the goal.
“Employers and employees play different roles in the company, but without the other, a company will never succeed. It’s important to know that these two sets of people need to be in sync in terms of what they want to achieve.”