According to ManpowerGroup’s Total Human Resource Index Report 2022, Vietnam currently has an abundant labor force with about 50.74 million people of working age.
Another notable indicator of Vietnamese workers is the proportion of informal workers accounting for 55% of the total workforce. This force often does not have a labor contract and the ability to receive social insurance is very limited.
Skill level is one of the points that Vietnamese workers need to overcome to be on par with other markets. Although there is a high rate of education universalization (about 88%), the number of workers with high skills or expertise accounts for only about 11.67%, almost unchanged from 3 years ago.
Soft skills, including foreign language ability, are playing an increasingly important role in most industries, besides English, there are a number of other foreign languages such as Chinese, Japanese, and Korean. However, the percentage of Vietnamese workers who have enough English to work is only 5% of the workforce. This rate is quite low compared to non-English speaking countries in the region such as Indonesia (10%), Malaysia (21%), Thailand (27%).
The report also revealed that the average income of Vietnamese workers is currently 275 USD (equivalent to 6,545,000 VND). This is a relatively attractive labor cost and brings many benefits to employers, contributing to attracting foreign investors.