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What You Should Know About Staffing Trends In Vietnam In 2023

When the position requires higher skill, the harder it is to recruit talented people. And based on a recent survey, more than 90% of Vietnamese businesses will continue recruiting in 2021 when the Covid-19 pandemic is expected to be under control. So, staffing trends augmentation could be a great solution when there are so many companies that want talents to work for them.

1. What is Staffing Trends or Manpower Augmentation?

In short, Staff augmentation is temporarily using outside personnel to augment your organization's work performance.

Around the world, many businesses have started using staffing services many years ago. However, in Vietnam, staffing services just have also grown and become popular a decade ago because of the benefits it could bring to businesses, and yes, this is still definitely one of the staffing trends in Vietnam.

Using manpower augmentation service to done task more quickly
Figure 1. Using manpower augmentation service to done task more quickly

1.2 Here are the three main types of manpower augmentations:

  • Common workforce: Your company needs reliable workers to perform a task. But they don’t need a specific skill set to do a job like a basic factory, warehouse work, retail, events, and manual labor.

  • Skill-based: You require certain skills (typing, spreadsheet use, multi-lingual, driving,…). But the relative level of skill is not too important and they can do jobs like clerical work, data processing, transcription, basic copywriting, driver.

  • Highly – skilled talent: You require more advanced skills that are only attainable via significant training and experience, and the level of skill and experience is important. Software engineering, contract law, brand design, IT administrator,… are the job usually require highly skilled talent.

1.3 Benefits of Increasing Manpower:

  • Access to Skilled Talent: By using manpower augmentation, businesses may access a larger talent pool and specific talents that might not be readily available in-house.

  • Cost reduction: Through manpower augmentation, businesses can temporarily engage external workers in place of recruiting full-time staff.

  • Scalability and Flexibility: Depending on the demands of the project, manpower augmentation gives you the freedom to easily scale up or down the personnel.

  • Increased Agility: Employing labor augmentation allows businesses to adapt more quickly to changing market conditions and customer demands.

2. Digital Transformation and Tech Skills

As organizations across industries began to place a high priority on digital transformation, demand for tech-savvy individuals increased in Vietnam. Companies were looking for people with skills in software development, cybersecurity, artificial intelligence, and data analytics. For individuals wishing to succeed in the job market, upskilling and learning pertinent digital skills have become crucial.

Companies are making significant investments in training and development programs to upskill their current workforce in order to fulfill this demand. This not only aids in the retention of exceptional workers, but also guarantees that companies have the know-how required to compete in the quick-paced digital economy of today.

Additionally, we are witnessing an increase in flexible staffing models that enable businesses to acquire the IT talents they want as needed. This involves collaborating with outside businesses or recruiting independent contractors with particular knowledge.

Data analytics is one of the most significant and in-demand talents. Organizations require qualified specialists who can evaluate and interpret the massive amounts of data that enterprises generate. Companies may use data analysts to find patterns, forecast customer behavior, and make growth-oriented choices. Companies are seeking employees with expertise in cloud computing, cybersecurity, and artificial intelligence in addition to data analytics.

Organizations must invest in their workers' tech abilities to be competitive as staffing trends develop further. This entails giving staff members continual training and development opportunities so they may stay current on the newest innovations and fashions. Businesses who don't invest in the technological skills of their staff run the danger of losing ground to rivals and their competitive advantage.

3. Recruitment and Talent Acquisition techniques

In response to the shifting staffing environment, recruitment and talent acquisition techniques have developed. Businesses in Vietnam have embraced cutting-edge strategies including employer branding, focused social media campaigns, and data-driven hiring tools. The emphasis switched to finding and keeping top employees by providing competitive wage packages, possibilities for career advancement, and a supportive work environment.

The usage of social media for recruiting is one of the biggest developments in staffing in recent years. Recruiters now rely heavily on social networking sites like Facebook, Twitter, and LinkedIn to find and attract prospects. These platforms are being used by businesses to promote their employer brands, post job opportunities, and engage with potential applicants. Recruiters can interact with passive applicants on social media who may be interested in a position that matches their talents but are not actively hunting for new employment.

The use of artificial intelligence (AI) in hiring is a significant trend in staffing. Numerous components of the hiring process are being automated by AI-powered solutions like chatbots and predictive analytics. Candidates receive a personalized experience from chatbots by using them to ask questions and receive immediate feedback. Through the analysis of data from numerous sources, including resumes, tests, and social media profiles, predictive analytics may assist recruiters in finding top-performing individuals.

The expansion of remote work is another hiring trend that has acquired a lot of popularity recently. The COVID-19 epidemic has caused many businesses to accept remote work as an acceptable choice for their staff. Organizations now have more chances to hire people from across the globe rather than only in the area where they are based. Because they have a better work-life balance, companies that have adopted remote work practices are likely to draw more candidates and keep their personnel.

4. Which benefits your company will have when using staff augmentation service?

  • The most important thing is manpower augmentation staff can understand the project quickly and also add value to a project. So, your company can have manpower augmentation staff with specific skill sets on a single project, rather than having to hire new employees to do all the company projects.

  • Second, your company can increase/decrease workforce based on real situations, staffing augmentation workforce function in the same way that retail stores contract seasonal employees.

  • Finally, manpower augmentation can be a “trial time” for potential full-time official employees. And the staffing organization takes responsibility in the case of a miss hire, not your company.

You can always change the workforce whenever you want
Figure 2. You can always change the workforce whenever you want

But the truth is, there’s doesn’t have a one size fit all staffing solution for every scenario. So you should consider the other way if:

  • The projects require a specially high level of contextual, institutional knowledge, hiring manpower augmentation staff in this scenario is not a good idea. It could lead to lengthy ramp-up times, and wasted costs.

  • Staffing augmentation is also not a great solution for long-term projects or skills required on an ongoing basis (you should recruit official employees instead).

  • And there is an implicit risk that your organization will be more dependent on staffing augmentation organizations for talent which may add some negative effect to your plans for the company.

5. How to check if a manpower augmentation organization is suitable for your company?

After you set a plan to temporarily boost your company’s work performance. So how can you decide to choose your best among hundreds of staffing outsource companies in Vietnam?

  • Research Your Staffing Partners Experience and Expertise: You can judge the outsource organization in much the same way as you would when you hire a permanent employee. Measuring the satisfaction of their previous customers or reading reviews and testimonials about them on blogs and a social fan page is the common way to judge a company in Vietnam.

  • Attention to language and cultural differences: Cultural differences, if not be considered at first can lead to a less-than-desirable outcome.An experienced staffing augmentation company can identify cultural or linguistic differences between your work environment and potential staff. They have the expertise to understand these nuances and can provide insights into managing or adjusting for these differences. By leveraging their knowledge, you can ensure that the selected candidates are the best fit for your organization's needs and requirements.While customizing a staffing solution that fits a company’s unique outsourcing requirements.

  • Sector Experience and Track Record: A good staffing firm should have experience in your sector or a closely similar one. Look for organizations that have experience working with enterprises of a similar size and complexity. These businesses have to have a history of finishing tasks with criteria like yours effectively. Examine case studies, customer references, and reviews to learn more about their experience and dependability.

  • Collaboration and communication: For a seamless transition between your internal staff and the augmented workforce, collaboration and communication must be effective. Consider the labor augmentation company's project management methods, communication processes, and readiness to follow your company's communication rules. Project success may be influenced by how well communication styles and channels fit together.

The cultural difference still matters, even with staffing augmentation employees
Figure 3. The cultural difference still matters, even with staffing augmentation employees


As we mentioned above, talented people will still be hard to hire in Vietnam’s recruitment market in 2023. And manpower augmentation will still the staffing trends in Vietnam if COVID-19 pandemics will be under control soon.

Source: Internet

Get top-notch Staffing and Payroll solutions from TSC in Asia. Our services, including Staffing and Payroll Outsourcing, BPO/RPO, and BOT model, enable businesses of all sizes to hire and operate cost-effectively. Since 2018, our recruitment team has provided candidates in diverse fields catering to specific client needs, from junior to management positions.


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