Solutions for FDI Enterprises to Retain Employees

While Vietnam has found solutions to improve the quality of labor, especially highly skilled labor, and gradually shifting Vietnam’s labor structure from relying mainly on the low-cost labor advantage to high-quality labor to attract foreign investment, FDI enterprises themselves must also have solutions to retain employees, increase competitiveness in attracting labor, and at the same time create conditions for local labor to develop skills and improve their expertise.

Mr. Park Sung Ho, General Director of Samsung Electronics Vietnam – Thai Nguyen, said that as one of the largest mobile phone production bases in the world, Samsung’s factories in Vietnam are operating with three goals: People are number 1 – Products are number 1 – Environment is number 1. Therefore, Samsung’s factory in Thai Nguyen (SEVT) reached the milestone of 1 billion technological products produced in April 2024. Including both Samsung factories in Bac Ninh (SEV) and Thai Nguyen, the total output has reached over 2 billion products, while Samsung globally has produced nearly 6.3 billion products in the past 36 years.

Typically, the new generation of foldable phones launched in July 2024, including the Samsung Galaxy Z Fold 6 and Galaxy Z Flip 6, are manufactured at SEV and SEVT. Mr. Duong Ngoc Duy, Head of Production at SEVT, said that in the early years, the factory at SEVT needed a lot of support from foreign experts in technology transfer and production line installation, but now the factory has completely mastered advanced technology.

However, to achieve the above results, finding and training high-quality human resources is a top priority, and it is necessary to maintain unique advantages to increase competitiveness. According to Ms. Dang Thi Thu Huong, Director of Recruitment and Training at SEVT, high-quality human resources are always in demand, especially talented engineers in the fields of automation, artificial intelligence, and programming. Therefore, SEVT has cooperated with leading Vietnamese universities to implement internship programs for outstanding students.

Moreover, during the working process, employees participate in various soft skills and professional skill development courses, and are updated on technology trends; at the same time, every year, SEVT will select and send outstanding employees to participate in training courses abroad or participate in employee exchange programs between Samsung branches globally. “Talents of Samsung Vietnam will become leading technology experts in the world in the future,” said Ms. Dang Thi Thu Huong.

Besides, the representative of SEVT also said that SEVT is an enterprise that has won the award of “Enterprise for Employees” for many years when it strives to build a safe working environment and provide good welfare benefits for employees such as transporting by high-quality buses, providing modern dormitories, maternity benefits, and separate working arrangements for pregnant women…

With its competitive salary policy with the lowest monthly salary more than 1.5 times the minimum wage as prescribed, SEVT still conducts regular salary adjustments and maintains full bonus even in difficult economic periods. Up to now, SEVT has been in operation for nearly 11 years with an average seniority of 8.3 years, and employees at SEVT have an average seniority of 9.4 years.

Besides, the report of the Ministry of Planning and Investment recommends continuing to implement policies and solutions for stabilizing and developing the labor market; improving the efficiency of management and regulation of labor supply and demand to effectively connect workers with employers, and promptly have solutions to help enterprises overcome the shortage of labor. At the same time, implement solutions to build and form a flexible, synchronized, modern, sustainable, and integrated labor market.