Vietnam-Singapore Industrial Park (VSIP), a joint venture between Vietnam’s Becamex IDC and Singapore's Sembcorp Development, has revealed a big labor shortage at its industrial park in Nghe An province, central Vietnam.
In a meeting with provincial authorities, VSIP Nghe An said its corporate tenants require an additional 4,000 workers in 2022, of whom 85-90% are unskilled. Workers must be between the ages of 18 and 40, primarily female, and will work in sectors like automobile components, electronics, and apparel.
The industrial park currently employs 14,000 people. However, tenant businesses confront numerous challenges like professionalism at work, employment stability, and short-time attachment among laborers, VSIP leaders said. Enterprises have also experienced trouble attracting individuals fluent in Chinese and Korean.
The companies reported shortages including Woosin Vina Co., with 714 workers, manufacturing electrical systems for automobiles; and Luxshare ICT Nghe An Co., making electrical components, with 6,700 workers.
VSIP is a symbol of the Singapore-Vietnam relationship and Singapore’s investment success in Vietnam. Its projects across Vietnam include VSIP I, VSIP II and VSIP III in Binh Duong (in the south), VSIP Bac Ninh I and II, VSIP Haiphong, VSIP Hai Duong (in the north), and VSIP Quang Ngai, VSIP Nghe An, Becamex VSIP Binh Dinh, VSIP Quang Tri (in the central region). They attract 880 tenant companies from 30 countries and territories, with investment capital of $17 billion.
The Singapore partner, Sembcorp Development, is the wholly owned urban business of Sembcorp Industries, a leading energy and urban development player. Becamex IDC Corp, the Vietnamese partner, is a famous brand in development of IP infrastructure, residential areas, urban areas and transport infrastructure.