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Vietnam labor market skill mismatch

Updated 2 times since CLSTR started tracking revisions of this situation.

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2026-10-22 06:02 UTC → 2026-10-22 11:45 UTC · added ~~removed~~

Recruitment trends in Vietnam are shifting as employers increasingly prioritize practical skills, adaptability, and attitude over formal academic degrees. A report titled ‘Elevating Vietnamese Human Resources 2026’ indicates that while degrees serve as initial signals, 44% of recruiters believe relevant work experience can substitute for a prestigious degree. Although international degrees are valued for providing multicultural adaptability, particularly in technology sectors, collaboration between businesses and educational institutions remains low, with only 15% of employers participating in curriculum development. This mismatch is forcing young workers to retrain or pivot career paths. Some graduates, such as those in marketing, are entering the gig economy to sustain themselves while pursuing technical vocational training in industrial fields like electricity to secure stable employment. The rise of artificial intelligence is further complicating the landscape, necessitating constant technical updates. Recent observations highlight that even high-achieving graduates struggle to secure suitable employment. Trần Anh Tuấn, Vice President of the Ho Chi Minh City Vocational Education Association, notes that difficulties range from total unemployment to working in unrelated fields or failing to meet specific job requirements due to a gap in practical skills like data analysis or client presentation. Market imbalances have emerged where popular majors produce a surplus of graduates, while specialized technical and technology sectors face labor shortages. Newer challenges have emerged in the semiconductor and infrastructure sectors. In semiconductor manufacturing, Dr. ~~Le Viet Khuyen, former Deputy Director~~ Ha Thuc Vien of ~~the Higher Education Department, has emphasized~~ Vietnamese-German University (VGU) emphasizes that ~~institutions~~ training must ~~proactively survey market needs and adjust curricula~~ expand beyond integrated circuit (IC) design to ~~avoid teaching obsolete subjects.~~ include testing, packaging, manufacturing, and equipment. This requires a multidisciplinary approach involving electronics, computer science, mathematics, materials science, and mechanical engineering. Concurrently, the construction sector faces acute shortages driven by major national projects like high-speed railways.

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