The suggestion was made by Dr. Chang-Hee Lee, International Labour Organisation (ILO) Vietnam Country Director, during a recent interview with Nhan Dan Newspaper regarding the negative impacts of the coronavirus pandemic on labour and employment in Vietnam.
In a recent ILO report, about 38% of the global workforce is currently witnessing a severe decline in output, with high risks of layoffs, reduced wages and working hours particularly evident in accommodation and catering services, manufacturing, wholesale and retail trade, real estate, transport and entertainment activities. In Vietnam, these sectors currently employ more than 22.1 million labourers, or 40.8% of Vietnam's total employment pool (according to ILO calculations based on the results of the 2018 Labour Force Survey by the General Statistics Office of Vietnam).
According to Chang-Hee Lee, this implies very important policy implications for policy makers, businesses and workers in Vietnam, because these are labour-intensive sectors, often employing low-paid workers with low skill levels, with women accounting for the majority of the labour force in such sectors.
This means the crisis caused by the COVID-19 pandemic would exert a greater impact on vulnerable workers and female labourers, resulting in the need for special attention paid to this issue when the Government develops support packages, the ILO official suggested.
Women are subject to a greater burden during this crisis, as they constitute the majority of the two million unpaid family workers, while they are also the main caregivers for the elderly and children, not to mention accounting for most jobs lost in the most heavily affected areas (textiles and clothing, housemaids…). Therefore, ensuring gender issues in policy responses must be considered seriously, the ILO country director proposed.
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Dr. Chang-Hee Lee, International Labour Organisation Vietnam Country Director.
Praising Vietnam in introducing and implementing policies to stimulate economic development and support businesses, jobs and income amid COVID-19, Chang-Hee Lee said support packages adopted recently under new Government resolutions are generally consistent with ILO recommendations made at the global level for broad and synchronised policy responses to deal with COVID-19.
It is important to focus on maintaining employment, by directing government support to businesses that take measures to safeguard workers and protect their health, the ILO official suggested, adding that this would also help slow down and minimise the shock from the employment crisis.
In addition, the impact of disease control measures should be minimised on microenterprises, household businesses, farmers and the agricultural-rural sector, as in the case of a sharp decline in world demand for Vietnamese goods and services, or a broken global supply chain, microenterprises, household businesses and the agricultural-rural sector will provide alternative supports, Chang-Hee Lee said.
Moreover, social security needs to continue to play a priority role in stimulus packages, including future support packages, to reinforce the measures already in place to protect people and their livelihoods, he stressed, adding that now is the time to take a balanced approach to addressing this dual crisis.
“Vietnam has shown itself to be one of the leading countries in the world in terms of public health, and it’s time to show that the country is also excellent in addressing economic, social, and labour market challenges. I have great faith that Vietnam will do it. The international community, including the ILO and UN organisations, is here to help,” Chang-Hee Lee concluded.
