Labour shortages dampen hope for tourism recovery in Vietnam

Asean News Published 1 year ago on 17 April 2023 | Author TIN Media
VIETNAM :

Since tourists are returning after the difficult years of COVID-19, local media has claimed that  Vietnamese tourism firms are having trouble filling positions with enough staff to meet demand.

According to the International Labour Organization, Vietnam's tourist industry has been one of the most hit in the world, accounting for over one-third of all employment losses in the nation.

The National Administration of Tourism reported that many employees who were placed on furlough or lost their jobs due to the pandemic decided to leave the industry. It also stated that 90% of those with graduate degrees and 44% of those with graduate degrees moved to other areas less affected by the pandemic to make a living.

Owners of hotels, bars, restaurants, and travel agencies in Vietnam are being forced, according to the VnEconomy, to offer greater pay for full-time employees who must handle numerous jobs, hire more seasonal semi-qualified or unqualified workers, and slash services.

However, barely 60% of available positions have been filled so far this year, according to many tour operators who claimed to have planned to handle the recruitment issue at the end of last year.

According to Cao Thi Ngoc Lan, deputy chairperson of the Vietnam Tourist Association, the tourist industry currently requires more than 485,000 personnel to operate at least 70% of its potential.

According to her, the industry is expected to employ 800,000 people by 2025 and 1 million by 2030, creating 60,000 openings annually on average.

Vietnam's tourism reached its pinnacle in 2019, when the nation received 18 million visitors from outside and made more than US$30.2 billion, according to the General Statistics Office.

When Covid-19 struck, the number of international visitors fell to 3.8 million in 2020 and then to 157,300 in 2021. Since that time, the Southeast Asian nation has welcomed roughly 3.7 million travelers, or about 20% of pre-pandemic levels, after fully reopening its doors to foreign travelers.

The government has authorized a plan to waive tourist visa restrictions for new nations and allow international visitors to remain for longer periods to encourage tourism and spur economic growth.

This year, Vietnam hopes to welcome 8 million visitors from abroad, bringing in around US$27 billion.