Navigos Group, the leading company in Vietnam’s recruitment industry, operator of the biggest job portal VietnamWorks and an executive search firm Navigos Search, has issued the report on recruitment demands for senior management level in Vietnam through Navigos Search’s clients’ hiring needs in Q4/2018. This quarter recognized the impact of free trade agreements and FDI on recruitment needs in Vietnam.
Consumer Electronics market continues to be competitive and is expected to increase sharply in recruitment demand after Tet.
Facing the intensive competition from E-commerce top companies with huge financial resources, Consumer Electronics market clearly shows the trend of strongly shifting from traditional sales channels to e-commerce. Companies in this sector all have business expansion plans in 2019 and although the market has been very competitive, there are still niche markets where companies can exploit.
After Lunar New Year, recruitment demand in Consumer Electronics sector will grow strongly. It is also noteworthy that some companies will enter Vietnam market, and it will be a great opportunity for both candidates and employers.
The demand for Marketing positions in the industry is increasing, especially from multinational companies. Because of the shortage in human resources, companies in this sector are willing to recruit candidates who had experiences in other industry such as FMCG.
Shortage of Human resources in Electronics industry due to the relocation production from China to Vietnam
According to our records, FDI companies in this field have planned to move their factories from China to Vietnam. However, these businesses are also facing a major challenge in recruitment because the proposed salary is no more attractive than competitors, so candidates are still unsure about the decision to switch to another environment.
As noted by us, enterprises in the Electrical/Electronics field in Hai Phong and Bac Ninh in Q4/2018 also have plan to expand business. Besides, new companies will officially operate from the beginning of 2019.
Because of the trend of shifting production from China to Vietnam and the expansion plan, the Electronic Manufacturing segment is predicted to increase in recruitment demand in 2019, including middle and high-level human resources in positions such as: Plant Manager; Supervisor; Management and Assistant level for back office.
FDI capital streaming into Real Estate sector will boost recruitment demand
In 2019, we noted that investors are planning to adjust their portfolio (both directly and indirectly), thereby affecting supply chains and FDI inflows into the Real Estate market of Vietnam. The reason behind this mainly comes from 2 trends: shifting production from China to Vietnam and FDI flow into Vietnam to serve the consumer market in Vietnam and ASEAN.
In Q4/2018, the Real Estate Market appear some “super” projects, driving the strong increase of new real estate trading floors, leading to the high recruitment demand, especially positions related to Sales and Marketing.
In 2019, the Real Estate market is expected to grow steadily. Especially, the condominiums market continue to grow, businesses will focus on recruiting positions related to Investment and Sales. In addition, the market in the Northern provinces, especially the neighboring provinces of Hanoi and the concentration of many industrial parks will be very exciting, which lead to the grow in hiring demand.
Many benefits and challenges for the Garment/Textile industry before free trade agreements
The recently concluded Comprehensive and Progressive Agreement for Trans-Pacific Partnership – CPTPP will bring many benefits to Vietnam’s textile and garment industry, strongly boosting exports, along with the competitive workers’ salary in Vietnam, will attract more FDI inflows, from which many new jobs will be created.
In addition, multinational companies are operating in China, and both Chinese domestic companies in the fields of textiles, footwear, sporting goods, etc. tend to shift orders and production activities to other countries to avoid high taxation. In ASEAN, Vietnam is considered as the most potential and competitive for the transfer of these businesses.
According to our records, many businesses that have been operating for many years in Vietnam are also in the process of expanding their scale of production. Facing an increasing recruitment demand in this industry, companies face more challenges in recruiting and retaining human resources. The reason is that the textile industry is always scarce for human resources, especially the high-level personnel who have specialized skills in the industry and can communicate in English. Currently, some businesses due to lack of competitiveness have led to the loss of workers, forced to narrow production or production is not at full capacity.
The Agricultural sector shows signs of prosperity and more fierce competition in recruiting and retaining talents
In the fourth quarter of 2018, there are many businesses in the agricultural sector expanding their investment and some businesses that need to standardize human resources. The recruiting competition is getting stronger, many businesses have a need to recruit talent that more loyalty.
Particularly for the livestock sector, because this year has been much improved in terms of price and achieved more outstanding results than in 2017, companies began to have intensive capital deepening plans. In addition, the effective CPTPP agreement also brings benefits to the export of agricultural products and more FDI potential for this sector. Thus, we predict the recruitment needs will rise and lead to more opportunities for labor market. In 2019, foreign-invested enterprises also plan to strengthen their management capacity in Vietnam.