Lessons Learned That Can Be Applied to Vietnam


license issued by the Ministry of Labor.

In addition, the Immigration Law also stipulates sanctions for violations from low to high levels; Competent authorities can confiscate part or all of the deposits of organizations and individuals providing labor export when violating commitments; The Government can request the cancellation of labor export contracts and prohibit sending labor to other countries when necessary.

(2) Labor export management policies

One is the policy of managing labor export activities.

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The government has issued a number of policies to manage labor export activities, for example, in 1978, it started implementing international cooperation on human resources in the State of Kerala. A number of labor export supply organizations were established in Delhi and Madra to send trained technical workers to work abroad at the request of foreign employers. The government also started to conduct contractual agreements with Middle Eastern, African, and Southeast Asian countries in the fields of health, education, and engineering for labor export [87].

- Policy on developing key export industries: India's Information Technology industry is the industry that provides the most labor export to other countries. The Indian Government has directly and indirectly supported the export of information technology experts through policy incentives, investment support solutions, support through negotiations, and lobbying for this activity in bilateral and multilateral relations.

Lessons Learned That Can Be Applied to Vietnam

In addition, many other support measures have been applied such as: tax cuts, removal of wage equality requirements, exemption of social security taxes for workers working abroad, establishment of export processing zones and software technology parks, simplification of investment project approvals, simplification and speeding up of procedures for granting work permits, visas, and labor certification requirements, mobilization of more joint ventures, and projects participating in expert export services. Establishment of the National Information Technology Task Force and the Ministry of Information Technology to promote the growth of the industry and promote


software export, services providing experts to the international labor market [87].

- Vocational training policy for labor export: India's strength and success in the field of exporting information technology experts mainly rely on abundant human resources, good English, basic training and low labor costs, the flexibility and adaptability of Indian software experts and technicians, their reputation for providing projects on time and on schedule... have brought competitive advantages to India when participating in the international labor market.

The Government's incentive solutions have contributed to promoting the development of human resources, specifically: The Government has invested in building facilities and training experts in the field of information technology to ensure a source of highly qualified and skilled human resources in the following years. One of the leading measures to increase the number of IT experts is to establish Indian Institutes of Information Technology in many regions of the country in parallel with the Indian Institutes of Technology, some of which are joint institutions of the Government and the Industry. The institutes both provide undergraduate programs in software technology and organize short-term training courses sponsored by enterprises; In many regions, especially in the South, State governments have supported the establishment of private training schools by providing facilities.

The policy of developing human resources in the Information Technology industry is a comprehensive solution of the Government to ensure that it continues to maintain the supply of exported labor while not affecting the development of the information technology industry due to the shortage of trained labor and good experts in the future [87].

- Mortgage to ensure the implementation of commitments: When applying for a license to supply labor export, organizations providing labor export services must deposit at the bank an amount of money worth from 300,000 to 1,000,000 Indian Rupees depending on the number of workers that the organization and individual intend to recruit to work abroad. This is considered a mortgage to fulfill commitments when receiving a license to export labor and to cover expenses.


repatriate workers when they are at risk. This mortgage may be partially or fully confiscated in case the service providers fail to fulfill their commitments.

Second, Preferential tax policies and domestic investment incentives

- The Government always plays an important role in providing measures to encourage repatriation, attracting workers to return to participate in domestic production activities, apply their professional skills and expertise, and effectively use savings from labor export activities.

- Recently, the Government has reformed investment licensing procedures, advised Indian investors on technology transfer and education policies, and created favorable mechanisms and networks to make their investments in human and financial development more effective. In 2000, the Government established a Committee to review mechanisms for promoting support from non-resident Indians and a High Level Committee on Overseas Indians to attract benefits from the overseas migrant network [87].

Third, the policy of mobilizing remittances and financial resources of Indians working abroad.

The government has mobilized the financial resources, trade relations and prestige of the Indian labor community abroad according to each subject and job position. For example, in addition to financial contributions, Indian experts permanently residing abroad also actively participate in mobilizing and attracting increased foreign direct investment, transferring technology, business experience, management, purchasing equipment in the fields of health, information technology, mechanics, electronics... establishing branches of multinational companies, or companies of Indian expatriates in India, developing software technology, mechanization, supporting Indian companies in exports, establishing trade relations in the international market, supporting projects using domestic human resources... Or in each period, Indians abroad are encouraged to invest in the country through special savings programs.

The government also plays an important role in guiding the use of remittances.


Reinvestment in production and business activities, reinvestment in health care, education and vocational training, although still at an unclear level, still individual in nature, or at the local government level.

1.4.4 Lessons learned that can be applied to Vietnam

Firstly, on the policy and legal basis for labor export activities

Governments of all countries consider labor export as a strategy and a long-term national policy, so they all have national programs on labor export and thoroughly implement socialization. The issue of labor export is often mentioned in high-level exchanges and is expressed in bilateral agreements with foreign countries. Government diplomatic and economic agencies regularly monitor and update the economic-political situation and the needs of the foreign labor market to exploit and dominate.

Countries have incorporated the viewpoint of promoting overseas employment and labor export activities into the Labor Code, from which sub-law documents are issued to implement state management from the stage of signing contracts, organizing selection, training, organizing labor export, managing laborers working abroad until the contract expires and they return home, implementing regimes to ensure the legitimate rights of the state, labor supply companies and laborers, and forms of rewards and penalties to handle issues arising related to labor export.

The legal system and sub-law regulations on labor export are transparent and strict, but also very open, creating initiative for workers and businesses participating in labor export.

Second, on the mechanism for organizing, licensing, selecting and managing workers working abroad.

All countries have a complete State management apparatus for labor export, including State management agencies, representatives of specialized companies, and labor export brokers in the host country. In addition, some countries also have labor attachés at diplomatic missions in the labor importing country.

The Government encourages all economic sectors to participate in labor export, including forms of visiting relatives and finding jobs abroad. The General Department of Labor or the Department of Labor Management


Overseas employment is a representative agency of the Government that issues licenses for labor export activities for companies and individuals participating in overseas labor markets. The recruitment apparatus of these countries is simple, compact, with convenient procedures, low costs for overseas labor, short appraisal and licensing time with low costs.

Workers going to work abroad are granted passports certified by the Ministry of Labor (Overseas Employment Administration Department). During their working time, they are under the management of the supplying companies and the labor representative agencies in the importing countries. Every year, the Government organizes an assessment of the performance of companies through the implementation of labor export policies and is the basis for licensing or suspending the operations of companies. This is a good experience to improve the quality of labor export companies and the efficiency of labor export activities.

Third, on financial management policies for training human resources for export, supporting labor export, tax policies, job placement fees and encouraging income remittance back home.

All countries advocate promoting the export of trained labor, and supporting the training of exported labor through training centers, vocational training, foreign languages, and providing free information.

Most countries support labor supply companies and workers by establishing Labor Export Support Funds, not taxing income for overseas workers, exempting remittances from taxes, applying measures to encourage remittances through the domestic banking system, supporting loan policies for workers before going abroad and upon repatriation, and regulating reasonable limits on the amount of deposits for exported workers (in the Philippines, only about

1,000 USD), job placement fee, minimum wage regulations for workers working abroad, establishment of a Social Welfare Fund to support justice, material assistance for workers who have accidents, pay for tickets to return home, allowances for their families when facing difficulties... The application of policies to encourage labor export is also very flexible and adaptable to each situation and condition.


The above policies are completely applicable in our country, especially policies such as: supporting training of labor export through training centers, vocational training, foreign languages, providing loans for labor export, developing the Overseas Employment Support Fund, encouraging remittances back home, and not taxing personal income for labor export workers. At the same time, we need to develop activities to support workers from the time they prepare to work abroad (through authorities at all levels, organizations, unions, and business systems), when working abroad (Vietnamese representative agencies abroad, Vietnam Labor Management Board...), after returning home, they continue to need support from the State and businesses to stabilize their lives and jobs.

Fourth, regarding market policy, diversifying types, identifying key industries to promote labor export.

Labor exporting countries all develop market strategies, the state supports economic organizations in searching and exploiting markets through official activities of the Government and diplomatic agencies. Countries all seek to maximize the comparative advantages of their labor force, demonstrated through diversification in forms and industries. Domestic service is the strength of the Philippines, India encourages the export of intellectual and highly skilled labor to Western European countries and the US, so recently when the number of laborers in the Gulf countries has decreased, the number of Indian computer software experts working in the US and Western European countries has increased.


Chapter 1 Summary


Chapter 1 with the title: Theoretical basis of human resource quality to meet the demand for labor export, the thesis presents the following basic issues:

1. Clarifying the concepts related to the quality of human resources meeting the needs of labor export . Issues related to the content of the quality of human resources meeting the needs of labor export. To evaluate the quality of human resources meeting the needs of labor export, the thesis has established direct criteria such as: (1) Height, (2) Weight, (3) Life skills, social understanding, (4) Vocational skills, (5) Education level, (6) Foreign language proficiency, (7) Situation handling skills, (8) Ability to work independently, (9) Ability to work in a team, (10) Organizational awareness, discipline and understanding, compliance with the law. And indirect criteria such as: Number of workers received, language similarity, suitability in geographical conditions, living conditions, culture, customs, religion... between the receiving country and the sending country.

2. Clearly analyze supply and demand factors in the labor export market to form the quality of human resources to meet market needs.

3. Analyze and distinguish the main factors affecting the quality of human resources to meet the needs of labor export.

4. Provide some criteria to evaluate the effectiveness of overseas labor activities.

5. Present experiences in improving the quality of human resources to meet the labor export needs of the Philippines, India and Korea. Draw 4 lessons that can be applied to Vietnam, especially in training to improve the quality of human resources for labor export.


Chapter 2

ANALYSIS OF THE CURRENT STATUS OF HUMAN RESOURCES QUALITY TO MEET THE DEMAND FOR LABOR EXPORT

OF VIETNAM IN PAST TIMES


2.1 OVERVIEW OF VIETNAM'S HUMAN RESOURCES QUALITY AND LABOR EXPORT

2.1.1 Socio-economic characteristics affecting the quality of human resources

Firstly, the economy grows steadily every year, but the increase in employment is not commensurate with the economic growth rate, and labor productivity is still low.

Since the start of the reform process in 1986, Vietnam's economy has developed impressively, with an average growth rate of 7.5% per year from 2000 to 2008. According to the General Statistics Office, in 2009, Vietnam's economy still grew by 5.32% despite the economic crisis and in 2010, it reached a growth rate of 6.78%.

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World

Asia and

Pacific

ASEAN

Central

Country

India

Vietnam


Chart 2.1: Average annual GDP growth 2000-2008 (%)

Source: IMF: World Economic Outlook Database (October 2009)

The labor force (LLLD) increased by an average of 1.06 million people/year in the period 2000-2007, reaching 46.7 million people in 2007. Although there have been potential changes,

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