Vietnam productivity push focuses on worker skills

The report says only about 28% to 29% of workers hold degrees or certificates, well below levels in Thailand, Malaysia, South Korea and Singapore. It also points to a familiar mismatch between training and employer demand, leaving businesses short of technicians even as universities produce too many graduates for jobs that require hands-on experience.

For investors, the message is that productivity gains in Vietnam will depend less on cheap labor and more on whether the country can build a workforce that can absorb technology, cut waste and lift value-added output. That is especially relevant for manufacturers, exporters and private firms trying to move up the supply chain, as well as education and workforce-training providers that stand to benefit from a more market-linked skills push.

The policy shift is also tied to Vietnam’s broader digital and innovation agenda under Resolution 57-NQ/TW, which makes human capital one of the core inputs for science, technology and transformation goals. In practical terms, that means more emphasis on vocational reform, closer ties between schools and companies, more apprenticeship-style learning and stronger support for digital, management and innovation skills.

The economic case is straightforward: Vietnam cannot rely indefinitely on adding workers or expanding factories. To sustain growth and keep raising competitiveness, it has to improve the quality of the labor force, not just its size.