VN enjoys competitive labour costs

Monday, Jan 29, 2018 19:06

Students at HCM City Technical and Economic College participate in a lesson. — Photo

Viet Nam still offers competitive labour costs for those wishing to invest in the Asia Pacific, the Vietnamese Total Workforce Index (TWI) has revealed.

According to TWI, the reported cost of doing business in Viet Nam is only 4.6 per cent of the gross national income per capita, while the average monthly salary is some US$220 compared with the $2,648 per month in the region.

Meanwhile, Viet Nam’s labour market efficiency is not too low compared to the region, namely 4.33 per cent compared to 4.38 per cent in the region,

Its technical readiness in commerce reached 3.51 per cent compared to 4.92 per cent in the region, while the working time was almost equivalent to the region, TWI noted.

Among the 55.92 million workforce in Viet Nam, the permanent workforce makes up 38 per cent and contingent workforce accounts for 62 per cent, TWI said.

However, the Vietnamese workforce had some limitations, with only 5 per cent having a working English proficiency, while only 10.4 per cent were high skilled workers.

TWI, which was released by ManpowerGroup Solutions – a brand of ManpowerGroup – on Monday, is a comprehensive workforce analysis tool that allows organisations to determine the relative ease of sourcing, hiring and retaining workforce skills in competing labour markets around the world.

ManpowerGroup Vietnam this month celebrated its 10th anniversary in Ha Noi and HCM City, marking a milestone in developing and powering the future of work in Viet Nam.

“Its 10 years in Viet Nam is an important milestone in the context of the early stage of the Skills Revolution, where people need to constantly develop the right skills to be employable and achieve sustainable success in their career,” Simon Matthews, CEO of ManpowerGroup Vietnam, Thailand and Middle East, said. — VNS

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