According to provincial Department of Labor, Invalids, and Social Affairs (DoLISA), the number of businesses recruiting laborers in the first half of 2024 has increased significantly compared to the same period last year. After the Covid-19 pandemic, many companies have restructured their production and automated processes, leading to a higher demand for skilled laborers. In the face of the situation, the local authorities have implemented various training solutions to meet the growing recruitment demands of employers.
Labor recruitment on increase
Provincial DoLISA has just held a meeting with the Employment Department of the Ministry of Labor, Invalids and Social Affairs to discuss the labor market in Binh Duong. Currently, Binh Duong has 29 industrial parks and 12 industrial compounds, attracting around 1.3 million workers. In the first half of 2024, businesses in the wood processing, footwear and textile industries have secured raw materials and signed numerous contracts, boosting production to meet domestic consumption and export demands.
(1).jpg)
A business recruits additional workers to meet its current production demands
This is seen as a positive sign contributing to the growth of the local industrial and commercial activities, making the demand of recruiting laborers on sharp increase. In the first half of the year, the province saw 3,210 businesses needing to recruit 40,854 workers, a more than 70% increase compared to the same period last year. The local functional agencies have provided job counseling and placement services for over 54,000 people and created additional 17,500 jobs, achieving 47.4% of the annual plan. It is forecasted that the recruitment demand for 2024 will range from 60,000 to 70,000 workers, with about 20,000 to 25,000 workers needed for the rest of the year.
In the face of the recruitment demand for laborers on increase, establishing channels to connect labor supply and demand is crucial. Pham Van Tuyen, Deputy Director of provincial DoLISA noted that businesses need to recruit a large number of workers while they face difficulties in finding suitable candidates. The reason is that many unemployed workers are over 40 years old while most businesses prefer to recruit those under 40. Additionally, workers receiving unemployment benefits have not shown much interest in the vocational training support and job placement services provided by provincial Employment Service Center.
"According to regulations, workers receiving unemployment benefits must notify provincial Employment Service Center and cease receiving benefits once they secure new jobs. Therefore, many workers are not interested in finding official jobs, but prefer seasonal ones. Many businesses have announced to recruit laborers, but offered salaries and income levels do not meet expectations", said Mr. Tuyen.
Training skilled laborers
According to a report by provincial DoLISA, after the Covid-19 pandemic, many companies in the province have restructured and automated their production lines, reducing the need for unskilled laborers. For example, Saigon Stec Co., Ltd., located in VSIP II and specializing in manufacturing electronic components, is a leading company in this transition. Currently, the company has about 700 unskilled workers, which is surplus to their plan.
%20(1).jpg)
Making an appropriate plan on vocational training will help avoid the situation of labor surplus or shortage in the future
In the future, the company plans to continue transitioning to automated production, increasing the recruitment of highly qualified engineers and gradually reducing reliance on manual laborers. The company is focusing on recruiting Vietnamese engineers to receive technology transfer and management skills from the parent company's experts, gradually replacing foreign workers. To be more proactive in on-site human resources, representatives from Saigon Stec Co., Ltd. have expressed the need for the local authorities to implement more solutions to train high-quality human resources at the needs of businesses in the coming time.
To meet the growing demand for skilled laborers from businesses, provincial DoLISA is actively coordinating with various departments to review and address challenges faced by vocational training institutions to improve training quality. In addition, the department has proposed the Ministry of Labor, Invalids, and Social Affairs to consider increasing tuition support on vocational training for workers.
During a meeting with provincial DoLISA, Vu Trong Binh, Director of the Employment Department of the Ministry of Labor, Invalids, and Social Affairs, praised the efforts of Binh Duong provincial Employment Service Center in connecting labor supply and demand. He also suggested the province to conduct surveys and build a database on labor market shifts and demands by industries to provide accurate recruitment forecasts and develop appropriate vocational training plans. "There is a need to promote the application of information technology and digital transformation in the operations of employment service centers; closely coordinate with other provinces to monitor labor migration trends and avoid the situation of labor surplus or shortage and the wastage of high-quality human resources", proposed Mr. Binh.
Reported by Quang Tam-Translated by Kim Tin
