Ho Chi Minh City, 27 March 2014 – Towers Watson Vietnam, a leading professional services company (NYSE, NASDAQ:TW), unveiled findings from its 2014 Flash Survey, highlighting compensation, rewards and benefits trends for general industry in Vietnam, and simultaneously announced the launch of the company’s 2014 Total Rewards Survey.
According to the 2014 Flash Survey findings, the labour market in Vietnam shows signs of economic recovery; more than 82% of the survey participants remained upbeat about the business outlook for 2014, projecting their business revenue would increase. Accordingly, 67% of respondents indicated an increase in hiring projections especially in the sales and manufacturing functions. The survey also reflects a positive sign in compensation budget planning with a median budget increase at 9.6%. On the other hand, 90% of respondents plan to control cost in HR activities including Learning & Development, Compensation, Recruitment and Benefits.
More than a half of respondents (57%) have a formal written HR Strategy and 79% of respondents currently focus on optimizing, streaming and improving HR processes. Among these, only 47% of respondents stated that their companies design HR as a business partner. Also, only 51% respondents linked their talent development program to their rewards program.
Commenting on this finding, Ms. Huynh Thu Huong, Managing Director of Towers Watson Vietnam said, “These findings show that while an organisation’s HR function in Vietnam has made forward and positive strides, a lot still needs to be done for HR to become a strategic business partner. HR strategy should support business strategy and HR should drive talent and reward programmes that provide a competitive edge to companies. HR leaders should also look to use data analytics to optimise their processes and transform their HR organisations.”
Meanwhile, Towers Watson Vietnam has also started the new cycle of 2014 Total Rewards Survey for all industries. This Towers Watson’s survey looks at salary increases in various industry sectors, including chemical, energy, financial services, FMCG, technology, media and pharmaceutical, and a range of job levels within organisations. Last year, Towers Watson Total Rewards Survey included 110,318 incumbents from 312 companies in Vietnam.
About Towers Watson
Towers Watson (NYSE, NASDAQ: TW) is a leading global professional services company that helps organisations improve performance through effective people, risk and financial management. With 14,000 associates around the world, we offer solutions in the areas of benefits, talent management, rewards, and risk and capital management.