​Vietnam is a leading destination for foreign direct investment (FDI), with $38.23 billion in inflows in 2024, driven by low labor costs and a strong manufacturing sector contributing over 20% of GDP. However, rising demand for skilled workers has made talent competition fierce. This article outlines effective strategies to attract and develop top talent in Vietnam.

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The foundation of any successful strategy to attract and develop talent in Vietnam begins with a deep and clear understanding of the labor market. With a dynamic workforce, regional wage variations, and evolving employee expectations, businesses must tailor their recruitment and retention strategies to align with Vietnam’s employment landscape.

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Vietnam’s labor market is large, dynamic, and evolving, with a total workforce of 52.53 million people actively employed. The country benefits from a young and growing workforce with Millennials & Gen Z making up half of the workforce. Additionally, Vietnam has a strong female workforce participation rate of 75,9%, compared to 83.3% for men, offering businesses an opportunity to promote gender inclusivity and workplace diversity.

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Vietnam’s labor force participation rate stands at 75,9% for female and 83,3% for male, heavily concentrated in major economic hubs such as Hanoi, Ho Chi Minh City, Da Nang, and Hai Phong.

Vietnam’s labor market varies significantly across northern, central, and southern regions, with distinct economic activities, workforce demographics, and wage structures. Understanding these regional differences is crucial for businesses to develop effective recruitment and workforce planning strategies.

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Regional Labor Market Overview

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Minimum Wage Variations by Region

As of March 2025, Vietnam’s minimum wage structure is divided into four regions, reflecting the economic activity and cost of living (the exchange rate standing at 25,250).

Source: Vietnam Briefing

For more insights, check out the list of Vietnam key industrial zones.

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Understanding what Vietnamese workers prioritize is crucial for attracting and retaining top talent. Meaningful Work: A Vietnam Report reveals that employees seek competitive salaries, career growth, work-life balance, job security, and purpose-driven work.

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Competitive Salary and Job Stability

Salary and job security remain top concerns for Vietnamese workers. A survey by Jobs_that_makesense Asia and Manpower found that 40% of respondents prioritize salary and job stability when searching for new roles. As living costs rise, employees seek structured salary growth and long-term financial incentives. In response to this, many companies are offering annual pay rise to attract and retain talent in Vietnam. To be more specific, the annual pay rise in the Logistics industry was 10-20%, followed by 5-10% in the manufacturing industry. Annual pay rise in the Consumer goods industry only stood at 3-7%.

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Salary benchmark within 24 hours

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Career Growth and Learning Opportunities

One-third of Vietnamese workers place a high value on learning and career progression. A Vietnam Report highlights that employees find deeper meaning in their work when they acquire new skills. With growing demand for AI, cybersecurity, and automation expertise, the existing skills gap remains a challenge.

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Work-Life Balance and Flexibility

Work-life balance is becoming increasingly important as employees seek greater flexibility and well-being in their professional lives. According to the Manpower Survey, 26% of employees prioritize wellness programs, paid leave, and reasonable working hours when evaluating job opportunities. These factors play a crucial role in enhancing job satisfaction, reducing stress, and improving overall productivity.

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Purpose-Driven Work and ESG Values

A staggering 99% of employees say they seek purpose in their careers, and 85% consider a company’s social responsibility when selecting an employer (Meaningful Work: A Vietnam Report). Businesses with strong ESG (Environmental, Social, and Governance) initiatives are becoming more attractive to today’s workforce.

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Diversity, Equity, and Inclusion (DEI) in Vietnam

87% of employees believe companies should actively implement DEI initiatives to reduce social inequalities and foster inclusive workplaces. A commitment to diversity and fair hiring practices is increasingly influencing job seekers' decisions.

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As Vietnam continues to experience rapid economic development and industrial expansion, the demand for skilled labor is on the rise across various sectors. To stay competitive in this dynamic environment, businesses must adopt innovative strategies to attract and nurture talent.

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Vietnam’s online job market is growing rapidly, with job seekers increasingly using digital platforms to find employment opportunities.

To maximize hiring success, companies should select platforms that align with their industry and job requirements. Different job boards might be suitable for different hiring needs as below:

• Manpower Vietnam – A comprehensive job board that provides a talent pool across various industries, from manufacturing and logistics to IT and finance. In addition to job listings, Manpower Vietnam offers free job postings, making it an attractive choice for companies looking to reach a broad candidate base at no cost. They also provide value-added services such as permanent recruitment, staffing, payroll, and HR consulting, ensuring a streamlined hiring process.

• VietnamWorks & TopCV – These platforms are ideal for white-collar professionals in business, marketing, HR, and management. They cater to job seekers looking for office-based roles in major cities.

• LinkedIn – While less popular for entry-level roles, LinkedIn is widely used for executive hiring, networking, and headhunting for senior positions. It allows recruiters to connect directly with highly experienced professionals and passive candidates who may not be actively searching for jobs.

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Vietnam has a large and growing graduate workforce, making campus hiring an effective strategy for companies looking to secure entry-level talent. Engaging directly with universities and colleges allows businesses to connect with fresh graduates early, ensuring a steady pipeline of young, skilled professionals eager to grow within an organization. Businesses should look for leading universities that specialize in the fields relevant to your recruitment requirements. For instance, the leading Vietnam universities include:

• Economic sector (business, sales, marketing, finance, logistics,): National Economic University, Foreign Trade University, Academy of Finance, University of Economics Ho Chi Minh City, ...

• IT, Engineering, and Technical Fields: Hanoi University of Science and Technology, VNU University of Engineering and Technology, FPT University,....

To effectively nurture talent and ensure a sustainable sourcing strategy, businesses are encouraged to collaborate with universities and vocational institutions through structured training and talent development programs. Companies like ManpowerGroup Vietnam, the strategic HR partner with Ministry of Labor, Invalids and Social Affairs (MOLISA) for over 16 years, regularly propose and implement initiatives (career orientation, upskilling and reskilling programs and so on) that bridge the gap between academic training and practical industry needs—laying the groundwork for long-term workforce sustainability.

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Compensation is a key driver in attracting and retaining top talent according to Manpower Survey, especially in Vietnam’s increasingly competitive job market. As employee’s mindset shifts, they are more selective about job offers, salary structures, and additional benefits. However, businesses must balance offering attractive compensation packages while maintaining cost efficiency to ensure sustainable growth.

The key to achieving this balance is salary benchmarking, a structured approach to evaluating industry standards and market view on salary to align pay scales with market conditions, job demands, and financial viability. ​

A very valuable resource like the ManpowerGroup Salary Guide 2025provides comprehensive salary ranges in 12 industries and key offerings of market leaders, helping businesses set competitive yet sustainable compensation packages that attract top talent without compromising financial efficiency.

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One-third of Vietnamese workers place a high value on learning and career progression according to Manpower Meaningful Work Survey, employees stay longer when they see a future within the company. Organizations should establish transparent career pathways, enabling workers to progress based on skills, experience, and performance.

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Modern employees, particularly younger generations, seek purpose beyond just financial compensation. They are more likely to stay with companies that prioritize sustainability, ethical business practices, and social impact. Organizations that integrate Environmental, Social, and Governance (ESG) principles into their core values enhance employee engagement, attract mission-driven talent, and build a stronger employer brand.

Business can Develop partnerships with non-profit organizations to drive social impact, launch company-led charity initiatives supporting local communities and many other ESG practices and incorporate these into strategy to attract and develop talent in Vietnam.

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Drive Sustainability Through Top Green Talent

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Working with local recruitment agencies and headhunters helps companies access a pre-screened talent pool, reducing the time-to-hire, improving retention and cost of hiring. Agencies have deep market knowledge and connections, allowing them to match candidates efficiently to company needs. Below are 3 implementation tips to enhance collaboration with recruitment agencies:

• Choose Agencies Specializing in Your Industry: Not all recruitment agencies offer the same expertise. To find the best-fit candidates, companies should partner with agencies that specialize in their industry.

• Check Their Track Record: Review agency testimonials and past client success stories to ensure the quality of the service

• Establish Clear Hiring Requirements & Performance Expectations: A successful partnership with a recruitment agency relies on clear communication. Companies should provide detailed hiring criteria and performance benchmarks to ensure that agencies deliver the right candidates.

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Foreign companies entering Vietnam may struggle to navigate the local labor market, facing obstacles such as understanding regulatory requirements, accessing qualified candidates, and competing with other firms for top talent. Additionally, the fast-growing industrial landscape has led to talent shortages in certain regions, making it even more challenging for businesses to meet their workforce needs.

Manpower Vietnam offers tailored workforce solutions to help businesses overcome these challenges and build a strong, efficient workforce. With extensive experience in Vietnam's industrial sectors, Manpower provides services that address every stage of the recruitment and workforce management process, including Mass recruitment, Staffing and Outsourcing, Headhunting, etc. By partnering with Manpower Vietnam, businesses can confidently navigate the complexities of the labor market, ensuring they have the right talent to drive their industrial success.

If you are looking for a recruitment, staffing, and outsourcing service provider in Vietnam to grow your business, reach out to  Our Services page or input your contact information in the form below and we will get back to you soonest:

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