Vietnam pursues institutional reform and labor law updates

Vietnam is pursuing significant institutional and legislative reforms aimed at enhancing national governance and human resource management. According to Resolution No. 19-NQ/TW, the country seeks to create new development capacities by shifting from a management-oriented mindset to a development-enabling one. This involves breakthroughs in law enforcement, decentralization of power, and modernizing national administration to improve competitiveness and unlock social resources.

Simultaneously, the National Assembly is discussing amendments to the Law on Vietnamese Workers Working Abroad under Contract. The proposed changes aim to transition from simple labor export to a model of “human resource circulation.” The draft prioritizes sending highly trained workers abroad to acquire advanced skills, technology, and management expertise, with a focus on reintegrating these skilled individuals into the domestic economy upon their return. However, lawmakers have raised concerns regarding the potential brain drain in strategic sectors such as semiconductors, artificial intelligence, and digital technology.