Acknowledging the market economy’s risks and ensuring the unemployed find jobs soon, the policy on unemployment insurance has been enforced.
The country has also focused on the labour export market, with several key markets seeing positive growth including Chinese Taiwan and Japan. The quality of Vietnamese workers abroad and the operations of labour export companies have improved.
Policies related to salaries, social and unemployment insurances, labour safety and hygiene, and management of foreign workers in Vietnam have been implemented well. The regional minimum wage in 2015 increased 2.3-fold compared with 2011, while the average monthly income in 2015 also rose VND1.8 million (US$79.2) per capita from 2011.
During that time, labour relations have also improved. As of October 2015, the number of strikes had fallen by 25% compared to the same period in 2011.
Thanks to new policies and mechanisms on employment and developing the labour market, more than 7.8 million jobs were created throughout the country from 2011-2015, helping reduce the unemployment rate to below 4% in urban areas.
Last year, over 1.6 million people found new jobs, of which approximately 115,000 people went abroad to work.
Vocational training has been linked to the demands of the market and businesses, and international integration requirements. The forms of vocational training have been diversified, with priority given to people in rural areas, ethnic minorities and people with disabilities.
In 2015, vocational training was provided for more than 2.1 million people. As of late 2015, the rate of trained workers reached 51.6%, up 11.6% from 2010.
However, several targets have yet to meet expectations. The proportion of labourers working in the agricultural sector and the non-official sector remains high, accounting for nearly 65% of the total.
The number of workers who have taken out social insurance accounts for only 20 percent of the total, posing a challenge for fulfilling the target of 50% by 2020.
Integration into ASEAN is also posing challenges for Vietnam as the newly-formed ASEAN Community will allow the free flow of labour among the bloc’s countries.
The Ministry of Labour, Invalids and Social Affairs forecasts that Vietnam will have 59.13 million labourers by 2020 and around 68 million labourers in 2030. In 2020, the rate of trained workers is expected to reach 70%.
To improve labour quality and utilise human resources effectively, the ministry will continue to update the legal system and align the domestic labour market with international integration requirements in order to ensure a modern, effective, competitive and equal labour market, thus contributing to fulfilling development targets in the 2011-2020 Socio-Economic Development Strategy.
It will also expand the labour export market, while intensifying management to protect the interests of Vietnamese workers abroad.
Attention will be paid to vocational training for rural workers, and building a vocational education network that matches the country’s socio-economic development strategy and human resources development plans.
