Improving skills and professional qualifications of labourers

According to the General Statistics Office under the Ministry of Finance, the proportion of trained labourers holding degrees or certificates in Q1/2025 was 28.8%. Over 70% of labourers still do not possess formal qualifications. In the coming time, it is essential to enhance training and improve the skills and qualifications of the workforce.
Vocational training and skills development for labourers are crucial.
Vocational training and skills development for labourers are crucial.

Vietnam still in its "golden population" period

According to the General Statistics Office, Vietnam remains in its demographic "golden population" phase.

Q1/2025 statistics show that the labour force, including those aged 15 and over, was estimated at 52.9 million people, an increase of 532,000 compared to the same period last year. The labour force participation rate was 68.2%, down 0.8% points from the previous quarter and down 0.3 points year on year.

The number of employed labourers in Q1/2025 was estimated at 51.9 million, a decrease of 234,000 from the previous quarter but a year-on-year increase of 532,100. Of this figure, urban areas accounted for 20 million labourers (down 115,900 from the previous quarter, but up 433,600 year on year), while rural areas accounted for 31.9 million (down 118,100, up 98,500 year on year).

The national statistics agency notes that employment is trending toward pre-Covid-19 levels. However, the informal employment rate remains high. In Q1/2025, informal employment made up 64.3% of the total, up 0.7 percentage points from the previous quarter and down 0.5 points year on year.

Nguyen Huy Minh, Deputy Head of the Population and Labour Statistics Department, commented: “Vietnam is still in its golden population phase with a large and growing labour force aged 15 and over. While there are some positive signs in the labour market, such as an increase in the labour force, employment, and income, many challenges remain.”

4% of the potential workforce remains untapped

According to the General Statistics Office, the underutilisation rate of Vietnam’s workforce usually hovers around 4%. In Q1/2025, this rate was 3.9%. Most of the underutilised labourers were aged 15–34 (46.8%).

This indicates that a significant portion of the potential labour force, especially young labourers, remains untapped.

Meanwhile, self-employed labourers producing for own use in Q1/2025 totalled 3.8 million, an increase of 168,200 from the previous quarter and a decrease of 117,400 year on year.

In the context of a labour market increasingly demanding higher skill levels and as the economy shows signs of slowdown and instability, this group faces significant difficulties in finding quality employment.

At a press briefing, a key statistic was that the proportion of trained labourers with degrees or certificates in Q1/2025 stood at 28.8%, up 0.2% points from the previous quarter and up 1% point year on year.

Nguyen Huy Minh noted: “The labour market is continuing to recover. However, the quality of the workforce still has many limitations and has not yet met the requirements of a modern, flexible labour market. Over 70% of labourers still lack formal qualifications. In the context of aiming for 8% economic growth and innovation, the labour force must be improved in terms of both quality and quantity.”

He also emphasised the need to continue improving the quality of labourers to meet social demands and the country’s economic growth targets.

Nguyen Huy Minh added that as the Ministry of Education and Training takes over the management of vocational education, education pathways will be more clearly structured — from high school to vocational training and university. In the future, vocational institutions must be strengthened and aligned with the labour market's structure and needs.