The Impact of Digitalization on Vietnam’s Job Market – Skills in High Demand

In recent years, Vietnam’s job market has experienced a significant transformation, driven by the rapid pace of digitalization. As the country continues to embrace technological advancements across various industries, the demand for a new set of skills has emerged. This shift is not only reshaping the landscape of employment but also highlighting the crucial need for individuals to upskill and adapt. In this article, we explore the profound impact of digitalization on Vietnam’s job market and delve into the skills that are currently in high demand.

The Digital Revolution in Vietnam

Vietnam’s journey from an agrarian-based economy to one of Southeast Asia’s most promising emerging markets has been accompanied by a surge in digital transformation. As the country modernizes its infrastructure, integrates technology into various sectors, and promotes innovation, the traditional notions of work and employment are evolving.

• Retail and E-commerce: The proliferation of e-commerce platforms has revolutionized the way Vietnamese consumers shop. Online marketplaces and delivery services have created a surge in demand for digital marketing professionals, e-commerce managers, supply chain analysts, and customer experience specialists. In 2022, according to Bain & Company, there were 60 million digital consumers in Vietnam, which equates to 80 per cent of the population 15+. 
• Technology and Computer Science: The tech sector is booming in Vietnam, with a rising number of startups and established companies seeking professionals skilled in software development, data analysis, artificial intelligence, cloud computing, cybersecurity, and block chain technology. Within a few years, Vietnam has seen the emergence of over 3,800 startups and four tech unicorns that have attracted billions of U.S. dollars in funding, raising the question of whether the country could be the next startup hotspot in Southeast Asia.
• Finance and Fintech: Fintech has gained traction, with digital payment solutions, online banking, and peer-to-peer lending becoming integral parts of Vietnam’s financial ecosystem. As a result, experts in financial technology, data analytics, risk assessment, and block chain are highly sought after. According to State Bank of Vietnam, the number of Fintech companies in country has quadrupled in the last few years, from 39 companies at the end of 2015 to more than 150 firms in 2021
• Healthcare and Telemedicine: The ongoing pandemic has accelerated the adoption of telemedicine and digital healthcare solutions. Job roles such as telehealth consultants, healthcare app developers, data privacy experts, and medical data analysts are gaining prominence.
• Manufacturing and Industry 4.0: Vietnam’s manufacturing sector is embracing Industry 4.0 technologies such as automation, IoT, and advanced robotics. Professionals with skills in industrial automation, robotics programming, and smart manufacturing processes are increasingly in demand.
• Digital Marketing and Content Creation: With businesses relying heavily on online presence, digital marketers, content creators, social media managers, and SEO specialists play pivotal roles in building brand visibility and engagement. The industry is developing very quickly in recent years, with revenue in 2023 estimated at about 876 million USD. According to a general report, as of the first quarter of 2023, Vietnam had 77.93 million Internet users, equivalent to 79.1% of the total population. The number of active mobile connections nationwide is currently 161.6 million, with the number of social network users at 70 million.

Skills in High Demand

As digitalization reshapes the job landscape, certain skills have emerged as crucial assets for job seekers aiming to thrive in the evolving economy of Vietnam:

• Coding and Programming: Proficiency in programming languages like Python, Java, and JavaScript is essential for tech roles. Coding skills empower individuals to create, develop, and maintain software and applications.
• Data Analysis and Big Data: The ability to gather, analyze, and interpret large datasets is vital for informed decision-making. Skills in data visualization, statistical analysis, and machine learning are increasingly valuable.
• Digital Literacy: A fundamental understanding of digital tools, software, and online platforms is necessary across various industries.
• Adaptability and Learning Agility: With technology evolving rapidly, the capacity to adapt to new tools, platforms, and systems is crucial.
• Creativity and Innovation: The digital era demands creative problem-solving and innovative thinking to address complex challenges.
• Cybersecurity Awareness: As technology dependence grows, the need for individuals who can safeguard digital assets and data from cyber threats becomes paramount.
• Communication and Collaboration Skills: While technology drives change, human interaction remains pivotal. Strong communication and collaboration skills are indispensable for effective teamwork and client interaction.
• Critical thinking (Tư duy phản biện): This is the intellectually disciplined process of actively and skillfully conceptualizing, applying, analyzing, synthesizing, and/or evaluating information gathered from, or generated by, observation, experience, reflection, reasoning, or communication, as a guide to belief and action. – the definition by University of Louisville, United State.

Vietnam’s job market is undergoing a transformative phase, driven by the surge of digitalization across sectors. The skills in demand are shifting towards those that align with the technological advancements and changing business landscape. Job seekers and professionals who recognize the significance of upskilling and adapting to these new demands will be well-positioned to seize the abundant opportunities that the digital revolution presents. As Vietnam continues its journey towards becoming a digitally empowered economy, the acquisition of these skills will be the key to unlocking a successful and fulfilling career.