Gloominess is embracing the employment market

As recorded by Adecco Vietnam, the overall hiring demand decreased by more than 30 per cent compared to the same period last year.

Some sectors, such as consumer finance, real estate, and retail, have experienced significant declines in recruitment due to restrictive government policies and tightened consumer spending. Other sectors such as pharmaceutical, healthcare, and technical sales saw a more resilient demand for skilled professionals.

Although the number of vacancies at IT companies decreased by 35 per cent on-year, the requirement for IT skills is gradually becoming more widespread in most fields. Companies are increasingly looking for professionals with expertise in software development, cybersecurity, AI, digital development, and data analytics to meet their transformation needs.

Meanwhile, a significant decline in sales orders for industrial manufacturing led to considerable lay-offs, especially in terms of electronics, semiconductors, textiles, furniture, and chemicals.

As factories have been moving towards digitalisation and automation, lean manufacturing, and zero-carbon policies, there has been a shift in labour requirements with decreasing demand for low-skilled manual labour. Instead, those with expertise in robotics, process automation, and advanced manufacturing technologies have become increasingly sought after.

The healthcare and pharmaceutical industry is anticipated to see sustained demand for professionals in light of the government's goal of improving healthcare infrastructure and increasing consumer demand. This field seeks experts in a variety of roles, including physicians, brand managers, and medical information specialists.

However, the application of technology to upgrade the examination and treatment experience is also likely to affect the industry's hiring requirements.

Nguyen Hoang Thanh Chuong, head of Permanent Recruitment Services at Adecco Vietnam, predicts that the labour market will continue to face many difficulties in the second half of 2023 as he has not seen many positive signs from employers. However, several industries are expected to drive the job market, such as technology, healthcare, e-commerce, renewable energy, and digital services, thanks to the increasing demand for skilled professionals.

"Opportunities will open for domestic labour as many large corporations in Vietnam are changing their recruitment strategies. Open positions for expats are decreasing sharply, and are mainly focused on important functions in the early stages of an investment plan. Their roles are mainly to train and assist with the transfer of technology to skilled domestic candidates," he said.

Growing need for high-quality manpower in digital era The explosion of digital technology, smart devices, and production and business automation is posing challenges in the labour market, pushing enterprises to develop long-term training strategies for future development.

Lenders look further afield for recruitment As digital transformation calls for a different set of skills and knowledge, many financial institutions are turning to the overseas market for recruitment.

Strong macroeconomic foundation fuels growing hiring demand Vietnam's recruitment market is continuing on an upward trend following the strong recovery of the economy post-pandemic.