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More employers are placing a premium on candidates who combine relevant hands-on experience (82%) with strong retention potential (71%), and have their salary expectations align with the company budget (61%) as companies seek to ensure long-term workforce stability.
Vietnam’s employers are preparing to hire more in 2026, but the bigger challenge may not be finding candidates — it may be finding the ones who will stay.
According to the Vietnam Employer Hiring Study 2026 by Reeracoen Vietnam, based on responses from 51 employers across major industries in March 2026, nearly seven in 10 employers expect to increase hiring activity compared with 2025. Of these, 14% anticipate significant growth, while only 10% expect to reduce headcount.
But the report also points to a more complex talent market. Employers are not simply looking to fill vacancies or expand teams. They are increasingly hiring with retention in mind, placing greater emphasis on candidates who can contribute quickly, fit the organisation, and stay for the long term.
The top selection factors in 2026 are:
- Relevant hands-on experience (82%)
- Long-term commitment and retention potential (71%)
- Salary alignment with company budget (61%)
- Cultural fit with management style (49%)
- English proficiency (39%)
According to the report, the 71% weighting on long-term commitment is one of the most telling signals in this year's data as employers are not just hiring for skill, but against attrition.
What this means is that employers are hoping to reduce the risk of an early turnover in a market where salary competition, job-hopping and rising expectations continue to put pressure on workforce stability.
Retention risk is shaping hiring decisions
The report also revealed that retention has become a central concern for Vietnam employers. The study identified five distinct retention risks for this year:
- Salary competition (33%)
- Young workforce job-hopping (24%)
- Career progression expectations (20%)
- Work-life balance demands (14%)
- Management capability gaps (10%)
This spread of concerns highlights why hiring decisions are becoming more cautious and strategic. A candidate’s ability to do the job is still critical, but employers are also weighing whether the person is likely to stay, grow with the business and remain engaged amid competing offers.
Five pressures influencing Vietnam’s talent market
The report also points to several overlapping pressures that are making hiring more complex for employers in Vietnam. While many companies are preparing to expand their teams in 2026, they are doing so in a market where salary expectations are rising, experienced talent remains difficult to secure, and recruitment teams are being asked to deliver more with limited resources.
First, hiring demand is increasing faster than recruitment investment. While 69% of employers plan to hire more in 2026, only 43% expect to increase their recruitment budgets. Nearly half, at 47%, plan to keep budgets flat, while 10% expect to reduce them. This means for organisations that do not adapt, this paradox will compound into competitive disadvantage.
Salary pressure is another major challenge. Rising salary expectations were cited by 86% of employers as their top hiring challenge, while 84% expect to raise salaries for new hires. At the same time, 33% identified salary competition as their biggest retention risk. This suggests that wage inflation is not only making recruitment more expensive, but also increasing the risk of employees being drawn away by better offers.
The shortage of mid-level talent is also weighing on employers. Thirty-nine percent cited a shortage of experienced hires as a top challenge. These include manufacturing engineers (35%), sales professionals (35%), factory supervisors (33%), and IT/AI specialists (31%).
Digital and AI-related skills are becoming another priority, with 73% of employers identifying these skills as the most urgent area for upskilling, ahead of leadership development at 51% and English communication at 37%. This points to a labour market where digital fluency is increasingly becoming a baseline expectation rather than a differentiator.
Employers are also expecting more from recruitment partners. Eight in 10 employers said they want faster shortlisting, while 69% want salary benchmarking and market intelligence. Nearly half, at 49%, want cultural fit pre-screening. The findings suggest a shift away from high-volume CV sourcing towards a more targeted recruitment approach, where precision, speed and strategic counsel are becoming increasingly important.
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