Nguyen Canh Viet, 29, from Ha Tinh province, still cannot leave fir Japan to work despite the scheduled departure in early May.
He borrowed VND150 million to cover expenses for exit procedures.
“There is no information about when I can fly to Japan. I dare not look for another job in Vietnam. The company told me to wait,” Viet said.
Nguyen Xuan Trong, president of Phuc Thai High Technology JSC, which sends 600 workers abroad every year, said because of Covid-19, all the orders from foreign partners and exit schedules have been postponed.
Twenty workers have received visas but cannot exit. Others have completed the training program and are waiting for departure. In addition, the process for obtaining residence status has been going much more slowly than usual.
“Unable to send workers abroad, we don’t have revenue. We still have to spend money to maintain the operation and pay workers,” Trong said.
Le Nhat Tan, deputy general director of LOD Human Resources Development, said because of Covid-19, the company has to stop implementing many orders, but there are no new orders. As for orders from loyal clients, the company has to seek workers online.
|Vietnam sent 32,062 workers abroad in the first quarter of the year, while no Vietnamese worker left the country in April and May. Vietnam’s major markets have not yet reopened to receive workers.|
Tan is pessimistic about business this year because it is still unclear when labor import markets will open again.
According to the Ministry of Labor, War Invalids and Social Affairs (MOLISA), Vietnam sent 32,062 workers abroad in the first quarter of the year, while no Vietnamese worker left the country in April and May. Vietnam’s major markets have not yet reopened to receive workers.
The Covid-19 crisis has also workers overseas because the enterprises where they are working have scaled down the production or shut down.
Nguyen Tien San from the Vietnam Labor Export Association (VLEA) said a survey by the association found that many overseas workers have had their working hours cut and their income reduced.
The enterprises where they are working have asked workers to take long leave with an allowance of 60 percent of their basic salary.
Workers in manufacturing and mechanical engineering appear to be suffering the most heavily. It is expected that the volume of kieu hoi (overseas remittance) to Vietnam this year will see a sharp decrease in comparison with last year.
Even when labor export companies resume business, the number of workers to be sent abroad will see a sharp decline this year.
Large companies are not recruiting workers, while small and medium enterprises (SMEs) are laying off workers as they cannot maintain a big staff during the Covid-19 crisis.
Businesses are expecting interest rates to continue to fall, while banks’ credit growth continues to stand still or declines because of low credit demand.