Tech sector strong employment driver despite job market blues: expert

Although Vietnam’s job market is yet to show positive signs of recovery, there’s high demand for data engineers, AI engineers, developers and other tech sector professionals, a recruitment expert says.

Truong Thien Kim, associate director of permanent recruitment services, Adecco Vietnam, said that the job situation has not shown much improvement in the first six months of 2024 despite a stable national growth of 5% plus in the last few years.

However, he added that improved H1/2024 economic performance in Southeast Asia, including Vietnam, has seen the recruitment market record “a fair demand” for talents in sales and marketing for industrial markets as well as quality and production professionals in the manufacturing and sourcing sectors.

Besides, Adecco Vietnam has recorded a 5% year-on-year increase intake in several sectors including manufacturing and export.

Despite the general downtrend in labor demand, the tech sector has remained a strong driver of employment, Kim noted.

The encouragement of digital transformation has been a key factor in a demand surge for tech-related jobs across various industries including data engineers, AI engineers and developers. Furthermore, with the rapid growth of AI driven applications, concerns about data protection have also increased and demand for cybersecurity experts has risen in tandem.

As Vietnam solidifies its role as a manufacturing hub, there is a growing need for skilled workers in this sector. Recruitment requests received by Adecco Vietnam for this industry rose 10% compared to H1/2023.

The firm has observed a notable trend in the hiring of senior experts in quality, sourcing and process excellence in manufacturing. With the new focus on becoming a green manufacturing hub and the push to up export of “made-in-Vietnam” products to developed markets, demand for environmental engineers has also risen.

Healthcare continues to be a major focus of the Vietnamese government under the ongoing five-year plan (2021-2025). The development of smart healthcare environments with electronic health records and electronic payments has boosted digitisation in both the private and public sectors, which has meant that demand for people with the required tech skills has increased.

Vacancies for digital application experts and solution sales professionals have risen, while the need for “traditional role players” has been maintained in the pharmaceutical sector.

Significant investments from global giants like Intel, Samsung and Qualcomm have boosted job opportunities in the semiconductor industry. The Vietnamese government’s ambitious plan to train 50,000 engineers by 2030 further underscores the growth potential in this sector, Adecco Vietnam says.

It notes positions in chip design remain highly sought after and a “war” for talents has broken out in the domestic market, which has very high demand for qualified engineers.

The job market for media and marketing has remained stable with positions like account manager and creative lead continuing to see regular annual recruitment.

This sector is on the way to being dominated by technology and AI, with the latter having the ability to take over many tasks like content writing, script development, planning, ideation and creative production.

The finance, banking and professional services sectors are seeing hesitancy in hiring due to various volatilities. Tier 2 banks in Vietnam are expanding their digital banking teams, following the trend set by Tier 1 banks in previous years. However, the insurance sector is experiencing layoffs and personnel cuts.

Urgent need to whet local skills

There is a growing trend of overseas professionals, particularly from India and Southeast Asian countries, seeking jobs in Vietnam, making it an increasingly attractive destination for expats. To nurture and maintain the competitiveness of Vietnamese talent, it is crucial that the country focuses on developing in-demand skills for today’s “dynamic workforce,” the recruiter notes.

Apart from certain specialised industries, the recent trend is toward "localisation", with many businesses and multinational corporations focusing on recruiting and developing local talent for director and department head positions.

As Vietnam continues to draw foreign investment, there is a growing preference for candidates proficient in English and other foreign languages, especially Mandarin in recent time, to improve communication with international partners.

“Emerging trends highlight the importance of digital literacy and proficiency in technologies like AI, machine learning, and blockchain, which are vital for adapting to an agile market,” the Adecco Vietnam report states.

“Employers increasingly favour candidates with a blend of technical skills and business acumen, along with the ability to work independently using digital collaboration tools. The capacity to navigate and thrive in a rapidly changing work environment is highly valued,” it adds.