Vietnam has descended from 43rd to 57th in the latest Total Workforce Index (TWI) created by the American recruitment firm ManpowerGroup.
TWI is an index that analyzes over 100 factors across 76 markets, evaluating the four key indicators of productivity, cost efficiency, regulation, and skills availability in both labor types of permanent and contingent.
In the Asia-Pacific region, Vietnam ranks 13th in this year’s TWI.
At the same time, the Southeast Asian country ranks last in both the Permanent Workforce Index Ranking and the Contingent Workforce Index Ranking, whereby the informal workforce currently comprises 37 percent of the total workforce.
Currently, Vietnam’s total workforce includes 57.5 million people, of which 41 percent are contingent and 57 percent are permanent, according to the report.
By generation in the total workforce, Baby Boomers who were born between 1946 and 1965 make up 15 percent, Generation X who were born between 1966 and 1975 occupy 20 percent, Generation Y who were born between 1976 and 1995 account for 32 percent, and others constitute 33 percent.
Subcontracting is legal in Vietnam, with the maximum tenure for a single-term contract being 36 months.
In terms of openness of visa policies, Vietnam ranked 61st globally.
At the same time, the country ranks 69th for ease of doing business.
The reported cost of doing business in Vietnam is 5.9 percent of the country’s Gross National Income (GNI) per capita.
The average monthly wage in the country is US$242, compared to $1,802 in the region and $1,931 globally.
The average work week in Vietnam lasts for 40 hours, versus an average of 41.7 hours in the region.
However, the average work day is made up of eight hours, on a par with the regional average.
Singapore ranks first globally in the TWI, followed by Hong Kong and New Zealand in the top three.