2024 Marks a Transformative Year in Vietnam’s Labor Market
Amid the rapid advancement of technology, the lingering impacts of the COVID-19 pandemic, and shifting economic factors, Vietnam’s labor market is undergoing significant changes in 2024. One of the most notable trends is the evolving and increasingly complex expectations of candidates regarding compensation and benefits.
Key Trends in 2024
According to a recent survey by Navigos Group, 92% of job seekers expressed a desire for a salary increase in 2024. This statistic highlights a growing emphasis on income among the workforce. The survey also revealed a sharp rise in candidates’ demand for flexible work arrangements, including remote work, flexible hours, and a better work-life balance.
Regarding transparency in compensation, the survey found that 85% of candidates believe employers should disclose salary and benefits at the beginning of the recruitment process. Moreover, job seekers now expect competitive compensation that accurately reflects their skills and experience. Beyond salary, they are also placing greater importance on benefits such as insurance, paid leave, and professional development opportunities.
These evolving expectations around compensation in 2024 present new challenges for employers. To attract and retain top talent, companies must adapt to these needs and implement appropriate compensation and benefits strategies.
New Compensation Expectations of Candidates in 2024
Increased Salary Expectations
According to the latest survey by Navigos Group, 92% of candidates hope for a salary increase in 2024.
This statistic clearly reflects growing concerns over income, especially in the face of rising inflation and increasing living costs.
To respond to this demand, employers need to reevaluate their current salary structures and consider offering competitive pay raises.
Additionally, introducing allowances or extra benefits could help offset cases where significant salary increases are not immediately feasible.
Demand for Flexible Work Arrangements
Due to the long-term impact of the COVID-19 pandemic, many workers have become accustomed to remote work and flexible schedules.
In 2024, this desire for flexibility remains strong. Candidates are increasingly seeking roles that offer autonomy and adaptability, rather than rigid schedules.
This presents both a challenge and an opportunity for employers—by offering remote work options, flexible hours, or better work-life balance initiatives, companies can better attract and retain top talent in a competitive labor market.
Transparency in Compensation
85% of candidates believe that employers should disclose salary ranges and benefits at the very beginning of the recruitment process. This allows candidates to clearly understand what’s being offered and make informed decisions based on their personal needs.
To meet this demand, employers should clearly state salary and benefit information on job postings, recruitment websites, and during interviews.
Competitive and Fair Salary
In an increasingly competitive job market, offering a competitive salary is essential for attracting and retaining top talent. Competitive salaries should be based on a candidate’s skills, experience, and the current labor market conditions.
Employers can determine appropriate compensation by referencing salary surveys, recruitment websites, or consulting with HR advisory firms.
What Should Employers Do to Attract High-Quality Talent?
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Foster a Positive Work Environment: Create a supportive and welcoming workplace where employees feel valued and motivated. A positive work environment promotes both personal growth and professional development.
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Provide Development Opportunities: Offer training and professional development programs to help employees build their skills and advance in their careers. This not only supports their personal goals but also strengthens their long-term commitment to the organization.
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Support Work-Life Balance: Ensure that employees have the time and flexibility to maintain a healthy balance between their professional and personal lives. Flexible schedules and remote work options can help employees manage both aspects effectively.
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Encourage Communication and Connection: Organize after-hours events and team-building activities to build a stronger, more connected work community. These interactions foster a sense of belonging and contribute to a more collaborative and supportive work culture.
- Ensure Fairness and Transparency in Compensation:Offer competitive and equitable salaries while maintaining transparency around compensation policies and benefits. This transparency helps build trust and a sense of fairness within the organization.
- Conduct Regular Evaluations and Feedback: Implement periodic performance evaluations and provide constructive feedback to help employees understand their progress and areas for improvement. This contributes to a work environment focused on continuous growth and employee motivation.
Conclusion
The emerging compensation trends among job seekers in 2024 present new challenges for employers. To address these effectively, companies must pay close attention to the evolving needs and expectations of candidates. Adapting compensation policies to align with labor market realities will be crucial in attracting and retaining top talent.