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Addressing human resource issue in industrial parks

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With the attraction of nearly 1.75 billion USD from 15 newly licensed projects and 14 projects with increased capital in 2024, Nghe An Province has maintained its position in the group of 10 leading provinces and cities in attracting foreign direct investment (FDI).

As a locality with a large population, Nghe An Province has about 50,000 people added to the workforce every year, but businesses in the province are facing difficulties in recruiting and attracting workers, especially skilled and high-quality workers.

Attracting workers is difficult, “retaining” them is even harder

The Southeast Economic Zone and industrial parks of Nghe An Province currently have 322 valid projects, with a total investment capital of over 185 trillion VND. There are 224 domestic projects and 98 FDI projects. The project focuses on producing electronic products, optics, auto parts and some green products (solar panels, high-performance batteries, etc.).

Notably, several technology corporations in the global value chain have built production facilities in the Southeast Economic Zone, with high investment value, production capacity and large market scale.

Regarding labour, more than 49,000 workers and labourers are working in the Southeast Economic Zone and industrial parks of Nghe An Province. The proportion of labourers aged 15-34 accounts for 35%, and those aged 35 and over accounts for 65%. With the rapid development of projects in industrial parks in the province, the demand for labour is increasing rapidly, especially projects in the textile and electronics sectors. The local labour shortage affects the production and business of enterprises, affecting the province’s investment attraction.

According to the Southeast Economic Zone Management Board, the labour recruitment demand of enterprises in economic zones and industrial parks, especially FDI enterprises, will continue to increase by more than 40,000 workers in 2025.

In VSIP Nghe An Industrial Park, there are currently seven investment projects in the ecosystem of Luxshare – ICT Group. Do Nhat Hoang Tat, Human Resources Director of Luxshare – ICT Nghe An Company, said: In June 2020, Luxshare – ICT Group decided to invest in VSIP Nghe An Industrial Park.

After four years, the Company has developed seven factories and more than 14,000 workers. In August 2022, the Group’s leaders came to survey and decided to invest in Luxshare – ICT Nghe An 2 Project. Initially only processing, the enterprise has gradually produced electronic, optical, acoustical and other products.

It is expected that by 2028, the enterprise will need up to 28,000 workers. “This is a big challenge that we are facing, and we need great attention and support from local authorities at all levels and vocational schools,” a Luxshare – ICT Nghe An Company representative emphasised.

According to Teng Wei Hong, General Director of VSIP Nghe An Company Limited: In Nghe An, VSIP is developing two major projects. From the first VSIP Nghe An project implemented in 2015 in Hung Nguyen District, in 2023, VSIP will continue to implement the VSIP Nghe An 2 project in Dien Chau District.

To date, the total FDI capital of VSIP Nghe An and secondary investors in the industrial park has reached 3.1 billion USD. The occupancy rate at VSIP Nghe An Industrial Park in Hung Nguyen is over 90%. “Thanks to the support of the local authorities and the Southeast Economic Zone Management Board, we have attracted more than ten leading manufacturers in electronics, precision mechanics and smart equipment. The number of workers in the Industrial Park has increased more than ten times.

Before the COVID-19 pandemic, there were only 2,000 people, now it has increased to 23,000 people. In the next two years, the above industrial park is expected to create jobs for about 35,000 workers. This is a joy, but also a great pressure on attracting and recruiting workers,” Teng Wei Hong shared.

Statistics from the Nghe An Provincial Employment Service Centre show that in recent times, many FDI enterprises have recruited a large number of workers, but have been unable to retain them. Many enterprises have had more than 50% of their employees quit.

A typical example is Luxshare – ICT Nghe An Company, the leading enterprise in Nghe An Province in arranging accommodation for workers (with a dormitory area of more than 2,000 rooms). Specifically, in 2023, this company recruited 7,126 workers, but there were up to 3,793 cases of resignation.

In 2024, the number of workers applying for resignation and job transfer is also very large. It is forecasted that from 2025-2029, FDI projects in Nghe An alone will need to register to employ about 98,700 workers.

Many solutions to “pull” workers back to the locality

The reasons leading to the difficulty in recruiting workers for industrial parks in the area have been identified by the departments and branches of Nghe An Province. First of all, it is due to the rapid increase in labour demand for enterprises, especially FDI enterprises operating in electricity, electronics, footwear, semiconductors, garments, etc.

Secondly, Nghe An is one of the leading provinces nationwide in the number of people going abroad to work. In 2024, Nghe An Province had more than 21,000 workers working abroad under contracts, with incomes many times higher than those working in enterprises in the province and the country.

Thirdly, not only Nghe An but also many other provinces and cities need to recruit a large number of workers.

The income and benefits of enterprises in the northern and southern regions are higher. On average, enterprises in Nghe An Province pay salaries and monthly income to workers at 6.63 million VND, while the national average is 8.49 million VND.

For example, Hai Phong is more than 8.8 million VND/person/month and Ho Chi Minh City is 11.4 million VND/person/month. Right next to Nghe An Province are Thanh Hoa and Ha Tinh provinces, the monthly income of workers is also higher, Thanh Hoa is nearly 7.9 million VND, and Ha Tinh is about 7.7 million VND.

Meeting the demand for labour is one of the “five readiness” that Nghe An Province has identified that must be well prepared to attract investment, including planning, investment premises, essential infrastructure, human resources, reform, promotion and active support.

To overcome the situation where the province’s labour force does not meet the demand for quantity and skilled labour, on January 2, Nghe An Provincial Party Committee issued a Project on strengthening the Party’s leadership in connecting labour supply and demand, solving employment, and attracting labour for domestic enterprises and FDI enterprises in the province in the 2025-2030 period.

Immediately after the Project was issued, the Standing Committee of Nghe An Provincial Party Committee also issued a Directive requesting Party committees, Party organisations, authorities and socio-political organisations to thoroughly grasp and promote the implementation of key tasks in this work.

At the Job Fair organised by the Management Board of the Southeast Nghe An Economic Zone and the Department of Labour, War Invalids and Social Affairs of Nghe An Province right after the Lunar New Year 2025 at VSIP Industrial Park (Hung Nguyen District), sharing with reporters, most of the workers participating in the event wanted to find suitable jobs right in their hometown.

Traveling nearly 100 km in cold and rainy weather to the location of the job fair, Nguyen Thi Hang (born in 2001, residing in Do Luong District, Nghe An Province) said that she had worked in an industrial park in the north with a good income.

With her experience, she hopes to find an office administrative job, such as quality inspection or personnel recruitment. Hoang Thi Ha (born in 1986) and Le Thi Thao (born in 1983), both residing in Hung Nguyen District, used to work as garment workers in Binh Thanh District, Ho Chi Minh City, and now also want to find work in their home district.

Or the case of Vo Thi Hien (born in 1989, residing in Hung Nguyen District), who worked as a worker at an electronics company in Taiwan (China) and has just returned, now also wants to find work in her hometown.

Attending the above event, hundreds of parents came to learn about recruitment information to send to their children working in other localities. Many workers said that working close to home is very enjoyable, however, it is also necessary to put on the “scale” the monthly income and expenses to consider.

According to the Management Board of the Southeast Economic Zone of Nghe An Province, 24 enterprises are consulting at this Job Fair, recruiting labour with more than 42,000 job positions. There are 36,000 unskilled workers and more than 4,000 trained workers.

Specifically, An Nam Matsuoka Garment Company Limited, operating in the garment industry, needs to recruit 2,000 workers. Luxshare – ICT Nghe An Company needs to recruit 33,000 more workers, administrative staff, accountants, and engineers.

Le Tien Tri, Head of the Management Board of the Southeast Economic Zone of Nghe An Province, said: The Job Fair is the first event in a series of tasks and solutions to implement Directive No. 33-CT/TU and Project No. 40-DA/TU of the Provincial Party Committee Standing Committee on strengthening the Party’s leadership in connecting labour supply and demand, solving employment, attracting labour for domestic enterprises and FDI enterprises in the province in the period of 2025-2030.

This is also an opportunity for workers who work far away to return home to celebrate the Lunar New Year of At Ty, and to grasp and learn directly about the working environment in their hometown, thereby having more options for suitable positions and jobs, helping workers stabilise their lives right in their hometown.

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Sigma OTT recognised as Hanoi Major Industrial Product in 2024

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The Hanoi People’s Committee held a ceremony on December 13 to honour Major Industrial Products (MIP) in 2024, with Sigma OTT ecosystem developed by Thu Do Multimedia, being recognised as one of the three IT High-tech products.

This distinction highlights the significance of innovation in the media sector, exemplified by Sigma OTT.

As many as 36 products from 25 businesses and organisations were honoured at the ceremony. In the information technology and high-tech sector, three products were recognised, including the Sigma OTT ecosystem from Thu Do Multimedia.

The initiative, launched by the Hanoi People’s Committee, aims to identify and promote high-quality products that enhance the competitiveness of local enterprises. These products receive support through partnerships and promotional activities both domestically and internationally, helping them expand globally. Recognised products benefit from promotional efforts throughout 2025, including increased visibility and prioritisation in trade promotion activities.

Hanoi plays a central role in industrial development, with industrial enterprises contributing around 35% of the city’s industrial production value and nearly 2 billion USD in exports. These companies also provide employment for about 80,000 people, underscoring their importance to the local economy.

Sigma OTT stands out for its innovative multimedia solutions, helping Vietnam’s digital transformation. Launched in 2018, it offers an alternative to expensive foreign technologies, with applications in broadcasting, online education, and telehealth. Its cost-effective solutions reduce dependency on international products, advancing Vietnam’s technological self-reliance.

Sigma OTT’s Sigma Multi-DRM is internationally recognised for digital content security, addressing significant concerns around copyright infringement and piracy. Audited by Cartesian in 2020, it places Thu Do Multimedia among Southeast Asia’s leaders. This recognition strengthens Sigma OTT’s position in global markets, including Thailand, the USA, and India, enhancing Vietnam’s presence in digital technology.

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SpaceX supplier Wistron NeWeb to invest extra $30 mln in Vietnam

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Taiwan-based Wistron NeWeb, a supplier of SpaceX, will invest $30 million more in its Vietnam subsidiary Neweb Vietnam as a “long-term investment.”

In a filing with the Taiwan Stock Exchange (TWSE) last week, Wistron NeWeb said the funding will be provided in stages according to the capital expenditure plan and funding needs of Neweb Vietnam. It does not provide other details.

Neweb Vietnam factory in Ha Nam province, northern Vietnam. Photo courtesy of the firm.

Neweb Vietnam factory in Ha Nam province, northern Vietnam. Photo courtesy of the firm.

Neweb Vietnam was established in 2020 and entered operation from August 2021. According to Wistron NeWeb, the activities of the Vietnamese subsidiary include satellite communications products and mobile communications products.

The project’s initial capital is $60 million, according to an investment registration certificate granted to Neweb Vietnam in 2020.

The project covers 11.3 hectares in Dong Van III Industrial Park, the northern province of Ha Nam. The first phase of 64.3 hectares has an annual capacity of 10 million domestic smart devices and 10 million wireless/business network/infrastructure network items.

The second phase will double the capacity of each item.

Prime Minister Pham Minh Chinh last week directed Vietnamese authorities to urgently carry out pilot licensing for SpaceX’s Starlink satellite internet services.

Chinh made the requests at a forum in Hanoi with the participation of 38 leading American companies, including Warburg Pincus, Meta, Polaris, Ford, Amkor, Amazon Web Services, Boeing, Gap, GE Venora, AES, Mastercard, AIG, Coca Cola, Bower Group Asia, and Bay Global Strategies.

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Trade minister speaks of harmonious trade relationship with the US

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Vietnam’s Minister of Industry and Trade, Nguyen Hong Dien, has reaffirmed the country’s commitment to fostering a balanced and mutually beneficial economic and trade relationship with the United States.

Dien made this statement during a meeting with US Trade Representative Jamieson L. Greer in Washington, DC on March 13, where they discussed bilateral economic and trade cooperation.

This was the first official ministerial-level meeting between the two countries since the new US administration took office.

Vietnam seeks a harmonious trade relationship with the U.S
US Trade Representative Jamieson L. Greer and the Minister of Industry and Trade Nguyen Hong Dien. Photo: Ministry of Industry and Trade

Dien declared the US as one of Vietnam’s most critical strategic partners and spoke of his eagerness to strengthen the comprehensive strategic partnership between the two nations in a practical, in-depth, and sustainable manner.

“The economies of Vietnam and the US are complementary, particularly in their trade structures, which has allowed bilateral trade to grow rapidly and remain stable for many years,” said Minister Dien. “This helps establish key foundations and ensures national interests in bilateral cooperation.”

Dien emphasised Vietnam’s consistent policy of promoting a balanced and mutually beneficial economic and trade relationship with the US. “Vietnam has no intention of creating obstacles that could harm American workers, economic security, or national security, and our government is implementing measures to encourage comprehensive and sustainable economic, trade, and investment relations between our two countries.”

Dien also urged technical teams from both sides to continue discussions so that the US can recognise Vietnam’s market economy status. “This would be a significant decision, reflecting the status of our comprehensive strategic partnership,” he added.

Meanwhile, Greer spoke of how the intent of the new trade policies is not to harm US partners, but rather to ensure that there will be mutual economic benefits in trade relations going forward.

“Vietnam needs to take stronger measures to further open its market and improve the trade balance between our two countries,” said Greer.

Vietnam and the US have mutually agreed on the need for close coordination to foster a fair and sustainable business environment. To that end, the two countries pledged to proactively review and address trade barriers that hinder investment and business operations. Additionally, they emphasised the importance of establishing mechanisms to monitor and prevent trade fraud, origin misrepresentation, and illegal transshipment.

Diplomatic relations between Hanoi and Washington were established in 1995, with a comprehensive strategic partnership following in 2023. The US is Vietnam’s second-largest export market with bilateral trade volume reaching nearly $150 billion last year.

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