Vietnam faces labor shortages due to rising overseas employment

Vietnam is facing a significant domestic labor shortage in key manufacturing sectors, such as textiles and seafood processing, driven by a growing wave of workers seeking employment abroad. According to Ministry of Home Affairs data, between 130,000 and 150,000 Vietnamese citizens work overseas annually, with the total number of overseas workers reaching nearly 900,000 by the end of 2023. These workers contribute between $6 billion and $7 billion in annual remittances to the national economy.

Industry leaders, including the Chairman of the Vietnam Textile and Apparel Association, have noted that many factories struggle to meet delivery schedules or sign new contracts due to insufficient manpower. Despite wage increases of 25% to 30%, companies find it difficult to compete with the electronics sector and international opportunities. Researchers suggest the migration is fueled by significant income disparities; while domestic wages in textiles or seafood often range from $250 to $350 per month, working in markets like Japan or South Korea can offer earnings three to five times higher.