Labor shortages are expected in Vietnam during the first and second quarters but only locally, especially in southern and central regions, while recruitment demand is likely to increase in some areas.

The Ho Chi Minh City Employment Service Center said that after the Lunar New Year (Tet) holiday, many enterprises need to recruit a large number of workers for expanded production and trade plans this year.

It forecast that labor shortages may focus on sectors that require a huge number of workers, such as garments and textiles, footwear, wood processing, and food processing.

Shortages occur as factories resume operations but many workers are yet to return as they want to spend more time with their families during Tet. Others plan to seek other jobs in their home towns instead of returning to the their former employer.

The Ministry of Labor, Invalids and Social said connections between labor supply and demand are limited. Imbalances still occur in some localities, sectors, and jobs.