Vietnam’s Labor Market and Future Trends

24Jan2025

B&Company

B&Company is the first Japanese company specializing in market research and investment consulting in Vietnam since 2008.

In this section “Vietnam Briefing”, young researchers of B&Company will provide timely information of Vietnam’s industrial trends, consumer trends, and social movements.

This article is written in English and automatic translation is used for other language versions. Please refer to the English version for accurate content. Although we strive to ensure the accuracy of the original information, please check separately for each information. Interpretations and future prospects are the personal opinions of each researcher.

Vietnam’s job market in 2024 reflects the nation’s dynamic economic growth, with thriving industries like technology, manufacturing, and tourism driving employment. Emerging trends such as digital transformation, green economy initiatives, and healthcare expansion are reshaping the labor landscape. As Vietnam integrates further into the global economy, its workforce must adapt to evolving demands driven by automation, globalization, and sustainability.

Vietnam Labor Landscape in Recent Years

Vietnam remains in its “golden population structure” phase[1], with the labor force aged 15 and older reaching 53 million in 2024, maintaining a stable level of 67% of the total population over the past five years since 2019. The workforce is mainly from rural and suburban areas, accounting for 61%, while urban workers comprise the remaining 39%. The unemployment rate remained low at approximately 2% throughout the year[2]. However, youth unemployment (ages 15–24) remained consistently high throughout the year and showed an increase in trend compared to the same period in 2023[3].

Source: Kinhtetrunguong.vn

By the end of 2023, the agriculture, forestry, and fisheries sector continued to dominate Vietnam’s employment structure, accounting for 27% of total jobs. This was followed by the processing and manufacturing industry at 23%, retail and automobile repair at 15%, and construction at 9%[4]. Compared to five years ago in 2019, Vietnam’s employment structure has undergone a significant shift, gradually transitioning from agriculture to industrial and construction sectors

Vietnam’s number of employed people by economic activity from 2019 to 2023

Source: General Statistics Office of Vietnam

Additionally, the proportion of highly skilled workers in Vietnam remains low, with only 28% of the workforce holding formal training or certification, a small 1% increase from 2023. The increase in skilled workers has contributed to the average monthly wage in Vietnam rising to nearly 315 USD—an 8% increase from 2023[5]. This demonstrates that wages, while competitive, continue to attract companies seeking cost-effective labor solutions.

In 2024, a significant number of Vietnamese workers entered the labor export market, targeting popular destinations such as Japan, South Korea, China, and others. By the end of the year, Vietnam recorded over 150,000 workers participating in labor export, a figure consistent with the same period in 2023[6]. The primary sectors for labor export included manufacturing, construction, agriculture, and services (such as elderly care, patient care, and domestic work). Although labor export accounted for only 0.2% of the workforce, wages in these sectors were 160–500% higher than the national average in Vietnam. Due to these higher wages and relatively low skill requirements, this trend has become a popular employment option for many Vietnamese workers.

The Future of Jobs in Vietnam

The job market in Vietnam is expected to grow significantly in the near future, supported by government initiatives such as Resolution No. 06/NQ-CP issued in January 2023[7]. This resolution outlines job development targets to be achieved by the end of 2025, aiming to reduce the proportion of agricultural labor to approximately 25% and increase the share of highly skilled labor to 30%. It also emphasizes vocational training for workers in key fields such as AI, the Internet of Things (IoT), data science, automation, and blockchain. As a result, in recent years, major corporations like Samsung, Amkor, and most recently NVIDIA have established AI factories[8] and semiconductor manufacturing plants[9] in Vietnam, creating job opportunities and training programs for both skilled and unskilled labor.

In January 2025, the World Economic Forum published a report on the global job market and future trends. Notably, over 300 companies from Vietnam participated in the study, which highlighted significant shifts expected in the coming years. Manual assembly roles are gradually being automated and replaced by machinery and AI, with a projected decline of 7% and eventual full replacement. In contrast, high-tech professions such as AI and machine learning specialists are witnessing rapid growth, with a projected increase of 36%. This is followed by roles like e-commerce specialists, expected to grow by 26%, and business development professionals, with a 24% increase, among others[10].

The growth rate of some professions in Vietnam in 2025

Unit: %

Source: World Economic Forum

The upcoming year 2025 will require employees to have critical skills such as analytical thinking, leadership and social influence, and creative thinking. However, as Vietnam progresses further into the digital transformation era and experiences rapid advancements in AI and semiconductor technology, skills like AI and big data expertise, networks and cybersecurity, and talent management are expected to become the most sought-after in 2030.

Core skills required for employees in 2025 and 2030

Unit: 100% = 300 Enterprises

Source: World Economic Forum

In addition, employers participating in the survey also pointed out that to successfully transform their organizations and keep up with the government’s outlined objectives, the government itself needs to revise and update its regulatory framework (57%). Additionally, skills gaps among candidates in the labor market remain significant (65%), making it challenging for many businesses to find and recruit suitable talent for their operations. The lack of proactivity and resistance to change within private and state-owned enterprises (48%), along with insufficient investment capital (30%), further slows the pace of organizational transformation

Conclusion

Vietnam’s labor market is poised for growth, driven by strategic policies, a competitively priced workforce, and strong global integration. Yet, many enterprises in Vietnam have expressed concerns about closing the skills gap between local talent and global standards. They emphasize the need for the government to implement impactful public-policy measures, such as increasing public funding for reskilling and upskilling programs and adopting more flexible hiring and firing practices. By addressing these challenges, Vietnam can build a competitive and sustainable labor market that supports long-term economic growth.

[1] Golden population structure is characterized by the highest proportion of the working-age population (15-64 years old) compared to the dependent population (under 15 years old and over 64 years old)

[2] Portal of Ministry of Planning and Investment (2025). Vietnam’s Labor and Employment Situation in 2024 <Access>

[3] General Statistics Office of Vietnam (2024). Vietnam’s Job and Employment in 2024 <Access>

[4] General Statistics Office of Vietnam (2024). Number of Employed Persons by Kinds of Economic Activity in 2023 <Access>

[5] Source of Asia (2024). Vietnam Labor Market 2024 Onwards <Access>

[6] Vietnam Plus (2024). Vietnam’s Labor Export in 2024 <Access>

[7] Vietnam Government Portal (2023). Resolution No. 06/NQ-CP: Strategizing for a Flexible, Modern, And Efficient Labor Market <Access>

[8] FPT (2024). Inside FPT’s first AI Factory in Vietnam <Access>

[9] Tap Chi Tai Chinh (2024). Major Cooperation Ventures in Vietnam’s Semiconductor Market <Access>

[10] World Economic Forum (2025). The Future of Jobs Report 2025 <Access>

* If you wish to quote any information from this article, please kindly cite the source along with the link to the original article to respect copyright.

B&Company

The first Japanese company specializing in market research in Vietnam since 2008. We provide a wide range of services including industry reports, industry interviews, consumer surveys, business matching. Additionally, we have recently developed a database of over 900,000 companies in Vietnam, which can be used to search for partners and analyze the market.

Please do not hesitate to contact us if you have any queries.

info@b-company.jp + (84) 28 3910 3913