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Intel executive laments poor labour productivity in Vietnam

Mai Thien An, head of Intel Products Vietnam’s production department, told a forum on Sunday that employees often arrive at work on time but then have breakfast or take a break before they actually start working. He also said workers have been caught stealing, not following processes, and disregarding safety regulations, according to VN Express.

Labour productivity is a recurring theme in Vietnam with the country trailing in Southeast Asia. In 2021, it was fourth to last of ASEAN member states (excluding Burnei), ahead of only Myanmar, Cambodia, and Lao. According to the Asian Productivity Organisation Vietnamese workers were productive to the tune of US$20,540 a year. For comparison, Indonesia and the Phillipines, hit US$26,350 and US$23,600, respectively, on the same metric.

With this in mind, firms looking to enter the Vietnam market should keep in mind that there is a trade-off in labour productivity versus the low-cost.

See also: Average Salary in Vietnam 2024: Quick Guide

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