Robert Walters Global Salary Survey 2014 463 VIETNAM In 2013, the recruitment market started slowly in Vietnam but picked up after the New Year or ‘Tet’ celebrations, with hiring activity across IT as well as the pharmaceutical and industrial sectors. People were willing to move jobs but in most cases market conditions could not support their salary expectations. Companies continued to prefer hiring local professionals, however the candidate-short market and skills gap between middle and top management meant this need could not always be met. As a result, hiring managers were open to enticing overseas Vietnamese back home due to their international exposure and expanded portfolio. In view of the severe talent shortage, most companies were flexible in their hiring requirements and considered applicants with broadly matching skill sets. Employers will need to focus on developing skills and knowledge internally if they want to build up their teams, particularly as the competition for quality local talent looks set to intensify. Generally, the outlook is fairly positive, with international companies starting to turn to Vietnam as a sourcing alternative to China. Market conditions will continue to be a challenge, but as multinationals convert representative offices into wholly-owned businesses and subsidiaries, future growth looks promising. SUMMARY
In 2013, the recruitment market started slowly in Vietnam but picked up after the New Year or ‘Tet’ celebrations, with hiring activity across IT as well as the pharmaceutical and industrial sectors.
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Robert Walters Global Salary Survey 2014 463
VIETNAM
In 2013, the recruitment market started slowly in Vietnam but picked up after the New Year or ‘Tet’ celebrations, with hiring activity across IT as well as the pharmaceutical and industrial sectors. People were willing to move jobs but in most cases market conditions could not support their salary expectations. Companies continued to prefer hiring local professionals, however the candidate-short market and skills gap between middle and top management meant this need could not always be met.
As a result, hiring managers were open to enticing overseas Vietnamese back home due to their international exposure and expanded portfolio. In view of the severe talent shortage, most companies were flexible in their hiring requirements and considered applicants with broadly matching skill sets. Employers will need to focus on developing skills and knowledge internally if they want to build up their teams, particularly as the competition for quality local talent
looks set to intensify. Generally, the outlook is fairly positive, with international companies starting to turn to Vietnam as a sourcing alternative to China. Market conditions will continue to be a challenge, but as multinationals convert representative offices into wholly-owned businesses and subsidiaries, future growth looks promising.
SUMMARY
The majority of hiring that
took place in accounting and finance in 2013 was for replacement
roles, with new vacancies occasionally created through business expansion. With widespread budgetary constraints, hiring managers looked for employees who could carry out broad roles. Internationally-recognised certifications like ACCA, CIMA or CPA also gained value in Vietnam, and companies continued to prioritise applicants with these qualifications.
Front office banking was generally quiet throughout 2013. With companies focusing heavily on developing their existing teams, fewer new roles were created. Companies prioritised quality service provision and client relationships over market share growth, and so took a cautious approach to recruitment. Looking ahead, banks will continue to search for quality Vietnamese nationals who have been educated overseas, although the competition for their signatures will be fierce. With regard to salaries, having remained stable in 2013, they may rise slightly in 2014.
Companies looked for hiring specialists who could fill business-partnering roles
and add commercial value, particularly in the consumer goods and pharmaceutical industries. Multinationals were also on the lookout for HR professionals with expertise in learning and development as well as organisational development due to talent shortages. This trend will continue in 2014, and we expect to see greater demand for HR heads and directors with 10 years’ experience or more. HR professionals with overseas backgrounds will also be popular hiring targets but will be in very short supply – as will HR business partnering and talent management specialists. On average, we’ll see pay increments of 10% for job-movers in 2014, with perhaps up to 20% for senior HR experts.
It was a mixed year for recruitment within the IT sector. Restructuring, cost-saving and redundancies among multinationals led to reduced hiring activity on the one hand, while outsourcing and new business expansion caused increased demand on the other. Managers and engineers with experience in digital, web, and mobile development were hiring priorities, as were senior managers able to build up hardware and software companies at national and regional level. We expect to see companies looking to recruit cloud computing and mobile application specialists in 2014. Outsourced IT service provision will also be a key area. IT leadership and cross-cultural communications skills will be in short supply, and 20% pay increments for non-moving staff should remain constant in 2014.
In the FMCG sector, some company offices were downsized or closed during 2013. This meant recruitment needs dropped off and only the best sales and marketing applicants were likely to find work. In the chemical, automation and electrical engineering sectors there was an ongoing call for sales and marketing professionals. 2013 was also very active for those specialising in technical healthcare. Hiring mangers sought candidates with very specific market knowledge as they were less willing to take a risk with new hires from outside the industry. In 2014, we expect to see new FMCG businesses set up in Vietnam, with positive implications for recruitment. Salaries should rise in line with inflation, or hover around the 10-20% increment range on average.
It was a quiet recruitment year for this sector, with only the top companies looking to expand. And with cost-saving top of the agenda, internal rather than external applicants were the order of the day. Recruitment levels should pick up in 2014, particularly in the garment, electronics/electrical and FMCG industries, with hiring for procurement specialists likely to be busy. Overall we anticipate shortages of high-quality, multi-tasking employees with strong technical skills. Salary increments will be modest at around 10-15% in 2014, while employees will also be looking for compelling training and development offers.