At a recent Ha Noi job fair, many businesses left with thousands of blank application forms due to a shortage of applicants for unskilled positions in their companies.

The Goshi-Thang Long Motorbike Spare Parts Company received only eight application forms from the fairgoers, yet the company requires 500 unskilled workers.

Deputy Director of the Ha Noi Department of Labour, Invalids and Social Affairs’ Job Placement Centre Vu Thi Thanh said the job fair was able to meet just over 30 per cent of business demand for labour.

The problem is similar at job fairs held in other provinces such as southern Dong Nai, Binh Phuoc and Binh Duong provinces, home to a large number of industrial parks.

The Dong Nai job placement centre said more than 1,600 workers attended its job fair last month, but businesses could employ only about 300 workers.

During the eight recruitment fairs held this year in the province, jobs for 12,300 workers were advertised, over 85 per cent of which were for unskilled workers, but businesses only received 2,344 application forms.

"Unskilled workers were mostly needed in commerce, construction, electronic spare parts production, garment and textiles manufacturing and footwear," said Thanh. Those workers would receive training from businesses if they were recruited, she added.

Nguyen Tri Minh, an official from World Tec Vina Ltd Co in Chon Thanh Industrial Zone in southern Binh Phuoc Province - which specialises in producing electronic spare parts - said the company needed around 500 unskilled workers aged between 18-35.

The company would offer unskilled workers training in appropriate skills after being employed, Minh said. "Low salaries are part of the reason for the labour shortage," said Thanh.

Most of companies offered monthly salaries of between VND1.3-1.5 million (USD72-83), which is not sufficient to cover daily expenses, particularly in cities like Ha Noi and HCM City, she said.

Tran Thi Le Thu from central Thanh Hoa Province said she came to Ha Noi several months ago but could not find a suitable job. "I hope to find a stable job here but with salaries offered of VND1.3-1.5 million, I find it hard to live," she said.

A personnel officer for a garment and textile company in Ha Noi, Nguyen Thi Thuy Hang, said the company did not have high skill requirements but unskilled applicants were asking for unreasonable salaries and bonuses, making it hard for the company to meet their wage demands, while ensuring profitability. "Workers should be aware that given their skill levels, they will only receive a basic salary, but if they improve, salaries will increase," Hang said.

Another reason for labour shortages is that while demand remains high among businesses, the real numbers of this group remains limited.

"Businesses registered at my centre have a huge demand for unskilled workers but the limited number of this group in Ha Noi makes it hard for us to meet their need," Thanh said. "Businesses can recruit unskilled workers from other provinces but with such low salaries, they are failing to attract migrant workers," she added. A large number of workers who had been laid off as a result of the impact of the global crisis had returned to their home provinces and found suitable jobs, leading to the shortage, she said.

In order to help balance the unskilled labour market, it was essential for businesses to have more attractive policies to lure workers, particularly appropriate salary rates, Thanh said. Businesses and workers should negotiate to find a common ground to satisfy both sides.

"Businesses offer low salaries to guarantee profits, while workers with low skill levels are looking to good working conditions," she said.