Japanese Market: Great Potential for Vietnamese Labour Export

12:28:16 AM | 4/16/2014

The Japanese market for Vietnamese labour export remains big. How should Vietnamese workers, businesses and managers approach this difficult and highly demanding market? Mr Nguyen Ngoc Quynh, General Director of the Overseas Labour Management Department, the Ministry of Labour, Invalids and Social Affairs (MOLISA), was interviewed by Vietnam Business Forum. Nguyen Thanh reports.
According to Mr Quynh, in 2013 the Japanese market received some 10,000 Vietnamese trainees. The demand of Japanese businesses is diversified mostly construction, mechanics, food processing, fisheries, etc. The average income is US$800 – 1,200/month and total export fee of US$4,500/person.
 
What is the Japanese market's potential in relation to Vietnamese labour export?
Japan is regarded as a potential market for Vietnam in labour export with big demand and high wages. Working in Japan, Vietnamese workers can learn and access modern technology. In recent years, Japanese demand for Vietnamese workers increased sharply. The demand is also more diverse, from technical industry to agriculture, electronics assembly, food processing, interior decoration, and others. Those areas are highly suitable with the Vietnamese workforce. The demand is unlimited, depending only on the negotiation ability of Vietnamese partners. In particular, Vietnam has recently succeeded in sending medical workers to work and get further training in Japan. It is most promising for Vietnamese counterparts to develop training plans suitable with Japanese demand. This is good news for Vietnamese market and workers.
 
Then, under what form does the Japanese market receive Vietnamese workers?
Japan does not accept foreign workers with low professionalism, but only trainees of a higher level. Vietnam started sending trainees to Japan in 1992. However, due to high percentage of contract violations (leaving for work outside contracts), the number decreased to some 3,000 trainees a year. After the issuance of Decree 141/2005/ND-CP on management of Vietnamese guest workers (later becoming a law), MOLISA improved the recruitment, training and management, cases of contract violations decreased from 30 percent to some 2 percent. As a result, the number of trainees increases each year.
 
In addition to professional services, Vietnam has cooperated with IMM Japan (Japanese SME international human resources development organisation) to send trainees to Japan under non-profit programme free of charge. The programme helps the target group in disadvantaged Vietnamese provinces to get training in Japan on high technology, with a high sense of discipline.
 
Can Vietnam meet high Japanese requirements in labour export?
As mentioned above, Japan does not accept foreign workers of low professionalism, but training high skill for human resources development of developing countries including Vietnam. In fact, many Japanese companies have already employed Vietnamese workers and highly evaluated them for their commitment, hard-working, learning and sharing. Still, there are certain cases of poor discipline and low capacity.
 
Then, what should Vietnamese workers, businesses and managers do to promote labour export to Japan?
Obviously, the door is wide open for Vietnamese workers to work in the attractive Japanese market. However, high orders are also high challenges to Vietnamese workers, with stringent conditions and demands. Therefore, upgrading training and working in Japan is the key to stabilize and expand the market share. We must enhance the selection of trainees to meet the demand of partners and avoid negative consequences that may cause losses, both financially and to business brands.
 
Secondly, we must increase the quality and professionalism of businesses in the Japanese market. Once they choose Japan as a key market, Vietnamese businesses must develop good strategy and investment for sustainable development with their resources and assistance of partners, as well as a Japanese language training centre. Those businesses with training centres as Letco (Letco Labour Supplying and Training Co.,Ltd - Hanoi University of Industry), LOD (LOD-Human Resource Development Corporation), Suleco (Suleco Overseas Manpower Service Company), etc. should cooperate in training workers before the latter are sent to Japan. Suleco has set a good example. Upgrading teaching staff and making use of Japanese teachers and experts are most important to the success of any business. Development of partnerships and reliable counterparts are also vital for success in the Japanese market.
 
Together with those efforts of businesses, there must be coherent solutions by Vietnamese authorities for the sustainable development of this market. Among them, the Japanese side should be persuaded to extend training time, take strong measures against the illegal use of foreign workers in Japan, as well as applying additional laws dealing with Vietnamese workers refusing to return home.