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Employment structure and returns to skill in Vietnam : estimates using the labor force survey

Author

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  • Demombynes,Gabriel
  • Testaverde,Mauro

Abstract

This paper uses Labor Force Survey data to assess key aspects of the labor market in Vietnam over 2007-14. The analysis finds large growth in wage employment in the foreign-owned and domestic private sectors. However, the state sector remains a major employer, particularly for workers with higher education, employing 70 percent of wage workers with a university degree. Low-skilled occupations dominate the stock of existing jobs, but the top growing occupations overwhelmingly belong to high-skilled categories. The paper notes that the high unemployment rates of recent university graduates, which have raised concern about a mismatch between skills and employer needs, reflect the transition to the job market and diminish sharply as graduates age. The returns to education in the private sector are highest for university graduates. Finally, women and ethnic minorities are less likely to work in wage jobs, and those that do earn lower wages, although the wage gap for women has declined over time.

Suggested Citation

  • Demombynes,Gabriel & Testaverde,Mauro, 2018. "Employment structure and returns to skill in Vietnam : estimates using the labor force survey," Policy Research Working Paper Series 8364, The World Bank.
    • Handle: RePEc:wbk:wbrwps:8364
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    File URL: http://documents.worldbank.org/curated/en/965641520866682470/pdf/WPS8364.pdf
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    Cited by:

    1. Nguyen, Hung The & Lam, Bao Quoc & Nguyen, Quyen Le Hoang Thuy To & Nguyen, Phong Thanh & Huynh, Vy Dang Bich, 2022. "Career Path Choice in the Industry 4.0 using Grey Decision Making," MPRA Paper 116683, University Library of Munich, Germany, revised Sep 2022.
    2. Tran, Tuyen Quang & Bich Thi Vu, Ngoc & Van Vu, Huong, 2023. "Does job mismatch affect wage earnings among business and management graduates in Vietnam?," Research in International Business and Finance, Elsevier, vol. 65(C).
    3. Dang, Hai-Anh H. & Nguyen, Cuong Viet & Carletto, Calogero, 2023. "Did a successful fight against COVID-19 come at a cost? Impacts of the pandemic on employment outcomes in Vietnam," World Development, Elsevier, vol. 161(C).
    4. Rosemarie D. Obispo & Pedrito Jose V. Bermudo & Antonio R. Yango, 2023. "Organizational Communication, Work Motivation, and Pedagogical Competence of Public Elementary School Teachers in the Division of Cabuyao City," Technium Social Sciences Journal, Technium Science, vol. 44(1), pages 384-415, June.

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