A month before the Lunar New Year, 26-year-old Nguyen Minh Hong, an administrative employee in Ho Chi Minh City, submitted her resignation.
“Many people asked why I didn't wait until the Tet bonus before quitting. But last year, I felt I received more than I contributed”, she explained. Before resigning, Hong had interviewed at four places, not yet securing a new position but still decided to leave.
Hong is one of many examples illustrating the paradox known as The Great Resignation – a trend of mass resignations amid high unemployment rates. This paradox has swept through the Americas, Europe, Asia, and now Vietnam, in a context where the most intense phase has passed, and the country shifted to a new normal, coexisting with Covid-19.
According to the General Statistics Office's report, by the end of 2021, Vietnam had over 1.4 million unemployed people, accounting for 3.22%, an increase of 0.54% compared to the previous year. Among them, the urban unemployment rate exceeded 4%, higher than in rural areas, contrary to the labor market trends of the past years.
An online survey by Anphabe, a recruitment consulting firm, showed that in the current Vietnamese labor market, 6 out of 10 people are actively looking for new jobs. Anphabe points to several COVID-19-related reasons for this phenomenon, such as industry fluctuations, fatigue, burnout in stressful work environments, imbalance or loss of connection with colleagues, and disengagement from the company…
A 2021 study by global management consulting firm McKinsey & Company in 8 countries with diverse labor market and economic models also confirms this. Before the pandemic, only about 6% of employees wanted to switch jobs for higher salaries. Due to Covid-19, this rate could reach up to 25%.
Working people line up to complete unemployment benefit procedures at the employment service center. Source: VnExpress.
Nguyen Minh Hong shared that she wanted to quit because she felt unable to connect with colleagues and did not want to commit to the company. Having started working in early 2020, she and her colleagues hardly knew each other as they mostly worked online. Occasional office visits were marked by masked faces and work-related conversations only. “I felt isolated,” Hong said.
Once, when her boss sent a text with work instructions, she didn't understand and asked several questions, resulting in a scolding phone call. Hong believed that face-to-face meetings would have made understanding and discussing work easier.
Last year, Hong and her family contracted COVID-19, leading to nearly three months of quarantine and treatment, further distancing her from the company. Despite her long absence, she received financial support. “It wasn't much, but I felt like I owed strangers,” she said. Struggling with psychological pressure and balancing childcare with work, the young mother just wanted to “quit to lighten the load.” At the end of the year, as businesses began to reopen, Hong decided to break free and seek new opportunities.
Another reason for the mass resignations post-market recovery is the group of 'super job hoppers' becoming active again after a long period of inactivity, according to Anphabe.
The pandemic had kept Nguyen Hoang Minh, a 22-year-old from Cau Giay, Hanoi, stationary for two years. He quit a job at a foreign company at the beginning of 2020. Within four months, Minh switched to real estate brokerage and bank credit staff but struggled without income, eventually returning to his old job. For over a year, he contemplated quitting due to night shifts that didn't offer skill development. After Tet, with more job opportunities, he informed his boss of his long-considered decision.
Hoang Minh acknowledged being a 'super job hopper,' typically staying with a company for about two years, representing 17% of Vietnam's workforce. It wasn't surprising that he chose to leave after more than a year.
Hoang Minh worked the night shift in March 2021. Source: VnExpress.
However, standard laborers like 32-year-old Nguyen Thu Minh from Thanh Xuan, Hanoi, who typically stay with a company for about 4.5 years (accounting for 64% of the workforce), also felt disillusioned and tired. “A year full of upheavals made me unstable and realize that I no longer fit this job,” said the communication industry worker.
During the pandemic lockdown, she pondered over the question, “Does my job create any value for society?” Thu Minh spent her time reading books and newspapers, realizing the instability of the labor market. She needed to learn and seize opportunities for change, but her current job didn't meet those expectations.
Dr. Ly Qui Trung, a professor at Western Sydney University, Australia, notes that the COVID-19 context combined with Industry 4.0 has accelerated changes and unpredictability, particularly evident in young people frequently switching jobs or workers preferring remote work…
The Covid-era job-hopping trend poses significant challenges for the economy, especially for business recovery. According to a General Statistics Office survey of 22,000 businesses, nearly 18% reported a labor shortage, with the highest in the Southeast region at 30.6%. This situation also leads to additional labor costs for businesses, including recruitment, training, transition costs, etc., increasing production costs and potentially leading to inflation.
Workers at Saigon Seafood Trading Joint Stock Company are working on a Tet order in January 2022. Source: VnExpress.
To mitigate mass resignations, Dr. Pham Khanh Nam, head of the Economics Department at Ho Chi Minh City University of Economics, suggests economic incentives including monetary (such as salary increases) and benefits like housing, vaccines, testing, transportation, and skills training relevant to new jobs.
“Localities should collaborate in vocational training and skill enhancement to improve the professionalism of workers. This would improve both the quantity and quality of the labor force,” Dr. Nam proposed.
Experts advise that instead of hastily switching jobs, workers should develop a suitable career path, clearly define their goals, and identify what they need to learn and add to serve their job better.
Thu Minh decided to return to her university major in Psychology. She nearly completed her 'self-upgrade' plan before quitting by taking online courses to consolidate her expertise and update her knowledge. To better transition to her new job, Thu Minh also collaborated with the intended application recipient for half a year.
Currently, Hong is living off unemployment benefits and contemplating starting a business or renovating rental properties, instead of wage employment. Hoang Minh has received a job offer for a marketing position at a cosmetics company. “I'm not sure how long I'll stay with this place,” said the super job hopper.
Nguồn: VnExpress.
