Recruiting Workers for Labor Export to Japan Becoming Increasingly Difficult

Vietnamese labor for export is becoming increasingly scarce, with many Japanese labor unions complaining that they have to look for workers in other countries, according to the Ministry of Labor, Invalids, and Social Affairs.

"The biggest obstacle for labor export companies now is selecting workers. Most companies report that it is very difficult," said Deputy Minister Nguyễn Bá Hoan at a seminar on improving the quality and effectiveness of labor export organized by Người Lao Động newspaper on December 18.

According to Mr. Hoan, this situation contrasts with the past, when companies' main challenge was securing contracts with foreign partners. Nowadays, there are many contracts, but finding workers is extremely difficult. This is causing domestic companies to struggle in fulfilling their commitments with foreign partners. The Ministry has noted a decrease in the number of workers being sent by many large, established companies in the industry.

The Ministry of Labor, Invalids, and Social Affairs leadership recently visited Japan, where labor unions reported a high demand for workers. They came to meet Vietnamese labor export companies to collaborate and recruit workers, but many orders could not meet the timeline to send workers abroad. As a result, many Japanese companies have shifted to recruiting from countries like the Philippines, Malaysia, and Indonesia.

Japan has been a traditional labor market for Vietnam for decades, accounting for about 50% of all Vietnamese workers going abroad, equivalent to 350,000 people (as of July). Vietnam also leads the list of 15 countries sending trainees and workers to Japan.

However, in recent years, this market has shown signs of waning appeal due to economic fluctuations in Japan, a sharp decline in the yen, and the simultaneous expansion of Vietnam's cooperation with new markets. This has provided workers with more options beyond Japan.

Mr. Phạm Viết Hương, Deputy Director of the Department of Overseas Labor Management (Ministry of Labor, Invalids, and Social Affairs), said that not only is the government making efforts to seek new markets, but Vietnamese companies are also actively looking for new opportunities. In meetings with high-level leaders, labor cooperation issues are always brought up. Vietnam has already signed agreements and is expected to send workers to countries like Germany, Greece, Finland, Poland, and some Nordic countries.

Vietnamese laborers working in a factory in Japan. Photo: An Phương
Vietnamese workers in a Japanese factory. Photo: An Phương

Businesses are also proactively exploring new markets such as France, Finland, Denmark, and Spain. According to Mr. Hương, companies are not waiting for bilateral agreements to be signed between governments before sending workers but are taking the initiative to find partners. This approach is opening up many new opportunities and options for workers with better wages, benefits, and working conditions.

Deputy Minister Nguyễn Bá Hoan believes that, given that new markets are still in their early stages, it is important to address the current challenges in the traditional Japanese labor market. Both countries have long-standing cooperation, cultural similarities, and Japan has also increased its welfare policies for workers.

Ms. Dương Thị Thu Cúc, General Director of Saigon Intergco Group, emphasized that businesses should focus on quality, not quantity, when sending workers abroad. "Japanese unions want to recruit workers, but if the wages, benefits, and jobs are not stable, we reject the contract," she said.

With over 25 years in the industry, Ms. Cúc said her company confidently selects partners and sets requirements for Japan to ensure the workers' rights. Good positions with competitive wages and benefits help companies recruit more easily. On the other hand, Saigon Intergco ensures that the workers sent to Japan are qualified in both language and skills.

Ms. Dương Thị Thu Cúc, General Director of Saigon Intergco, sharing at the seminar on December 18. Photo: Hoàng Triều
Ms. Dương Thị Thu Cúc, General Director of Saigon Intergco, sharing at the seminar on December 18. Photo: Hoàng Triều

According to Ms. Cúc, when a company is confident about its workforce's quality, it becomes easier to negotiate wages and benefits. For instance, when the yen depreciates, she negotiates for businesses to raise the minimum wage from 15 man (one man equals 10,000 yen) to 18-19 man, or else cover accommodation and food costs. Workers who reach N3 or N4 level Japanese should be rewarded with an additional 4-5 man. Once in Japan, workers must continue improving their language skills, and their wages should be increased as they achieve higher levels.

Similarly, Mr. Nguyễn Đức Nam, Chairman of the Board of Directors of Sona International Manpower and Trade Joint Stock Company, emphasized that businesses should prioritize the workers' benefits to attract them.

"The workers' income must be the best; this is the company's goal," said Mr. Nam. Therefore, when negotiating with foreign partners, the company always aims for a minimum salary of 1,000-1,200 USD per month. In addition to job skills, companies also focus on training workers in foreign languages. This enables workers to communicate effectively with colleagues, managers, and employers.

Currently, nearly 500 companies in Vietnam are licensed to send workers abroad. About 700,000 Vietnamese workers are currently working in over 40 countries and territories, across more than 30 industries, sending back around 3.5-4 billion USD annually.

Summary:
Recruiting labor for export to Japan has become increasingly difficult as the supply of Vietnamese workers dwindles. Japan's labor market, traditionally the largest destination for Vietnamese workers, has lost some of its appeal due to economic challenges and the depreciation of the yen. In response, both the Vietnamese government and businesses are expanding their search for new labor markets, such as Germany, Greece, and Finland, while still addressing challenges within the Japanese market. Companies are now placing more emphasis on offering competitive wages and better conditions for workers, aiming to ensure both quality and quantity in the workforce they send abroad. Vietnam Manpower continues to explore new opportunities while navigating the complexities of the evolving global labor market.

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