According to the HCM City Department of Labour, War Invalids and Social Affairs, more than 10,000 foreign labourers are working in the city. There are around 2,000 in industrial and export processing zones, including 505 Chinese, 317 Taiwanese and 300 Japanese.

Mainly experts and skilled workers

Though the number of foreign labourers is rapidly increasing, the HCM City Department of Labour, War Invalids and Social Affairs’ Director Le Thanh Tam said most foreign laborers are highly-skilled ones who can’t be replaced by local labourers. The flow of foreign workers, therefore, isn’t affecting local labour.

The Chief of Ajinomoto Vietnam’s Human Resources Department, Nguyen An Chung, said the company has 15 foreign employees among its 1,800 workers. They hold key positions in the firm, such as general director, vice general director. Vietnamese are appointed to medium-level management positions.

“Vietnamese staff can learn new things and professional working styles from their foreign colleagues. Foreign employees often assume jobs related to policy making, while Vietnamese are involved in business. At banks, the use of foreign employees doesn’t affect Vietnamese,” said Ho Ngoc Anh from the Technological and Commercial JS Bank (Techcombank).

The Chairman of the Management Board of the Vietnam Industrial and Commercial Bank (Vietinbank), Pham Huy Hung, said the bank plans to recruit laid-off labourers from America and Europe. Hung said Vietinbank is willing to pay tens of thousands of USD for excellent foreign financial experts who have lost their jobs.

The Vice Chairwoman of the National Assembly Committee for Culture – Education – Youth – Children, Ngo Thi Minh, said: “Through surveys in many localities, I see that Vietnamese labourers’ skills are limited. Foreign companies bring modern machinery and technologies to Vietnam. They want to use local workers but Vietnamese workers don’t meet their requirements. Foreign investors have to take a lot of time to retrain Vietnamese workers. Some foreign firms that are not as financially well-off will choose the solution of hiring foreign employees.”

Illegal foreign workers

Tam said foreign workers need work permits to work in Vietnam. To get a permit, they must meet the following conditions: hold at least a bachelor’s degree and have at least five years of work experience.

However, many foreign workers in HCM City don’t have work permits because they don’t satisfy the criteria for work experience. Some work at two firms at once. Tam said the department is seeking solutions for these problems.

Many workers from Africa and the Middle East are working illegally in the districts of Go Vap, Binh Tan, Binh Chanh and Tan Phu. They do different jobs, such as selling garments, working as porters, builders, etc.

A company in Go Vap district employs around 100 Chinese workers who don’t have work permits. One firm uses over 900 foreign workers but declares only 300.

The vice head of the Southern Immigration Department, Phan Quoc Thai, said the number of labourers from Africa and the Middle East coming to HCM City increases year by year. The number rose from 2,893 in 2005 to 4,080 in 2007 and 1,765 in the first half of 2008.

Thai said it is very easy for foreign workers to enter Vietnam. They declare that they are entering Vietnam for travel or business purposes to get tourist visas but actually, they intend to work illegally.