Vietnam's laid-off communist officials face uncertain future
But fretting at home after leaving public employment once considered a job-for-life, Nguyen Thi Thu told AFP she feels 'empty' over a future that is no longer certain.
Vietnam is in the midst of a dramatic remaking of its state apparatus, with 100,000 positions slated to be scrapped as Hanoi seeks to streamline bureaucracy and boost the economy.
On Monday, 80,000 roles were slashed as most of the nation's provinces and cities were merged.
Feelings are mixed among newly unemployed apparatchiks – communist party officials whose jobs were once guaranteed.
'It's really a waste for the state to lose one like myself,' said 56-year-old Cuong, who served in Bac Giang province outside Hanoi. Bac Giang was merged into a neighbouring province's administration.
A NEWSLETTER FOR YOU
Friday, 8.30 am Asean Business
Business insights centering on South-east Asia's fast-growing economies.
Sign Up
Sign Up
The government said those caught in the overhaul would either be made redundant or offered early retirement.
Cuong told AFP he could have remained in his post – or even been promoted – but chose to accept a US$75,000 payoff for his remaining six years after a 30-year state career.
'It's time to rid myself of so much complexity in state politics,' he said.
The mass reorganisation overseen by Vietnam's top leader To Lam echoes steps taken by US President Donald Trump and Argentine leader Javier Milei to take an axe to government spending towards 'efficiency'.
'Don't know what's next'
Former district-level secretary Thu admits she may not have been able to manage the burdens of the job as management prioritised performance.
The 50-year-old felt she had no option but to resign when her office was relocated to the Mekong Delta province of An Giang, more than 70 km from her home.
'I resigned, not because I wanted to quit my job,' Thu said. 'It's better to resign rather than waiting for a dismissal order.'
Vietnam – a global manufacturing hub – recorded economic growth of 7.1 per cent last year and is aiming for eight per cent this year as it vies for 'middle-income country' status by 2030.
But the country is facing headwinds from key trade partner the US.
Trump threatened a 46 per cent tariff before settling on a 20 per cent rate in a deal announced on Wednesday – a levy five times the rate before he took office the second time.
Vietnam's deputy finance minister said the new administrative structure would bring 'strong scale to connect strong business and economic infrastructure' and create 'greater socio-economic development'.
Lam, the Communist Party general secretary, said Monday that 'the decision to reshape the nation is a historical landmark with strategic meaning' aiming 'to continue our path towards a socialist country... for people's happiness'.
But for Thu, the way forward is now unclear.
'I don't know what to do next,' she said.
Scrolling carefree on his phone and chatting with friends online, Cuong said he had few regrets over his voluntary redundancy.
He feels like Vietnam may be the one missing out on what he has to offer. AFP
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Times
an hour ago
- Business Times
AIA Singapore steps up wealth management ambitions even as it leverages ageing trend
[SINGAPORE] By 2026, an estimated 21 per cent of Singapore's population will be aged 65 and above, making it a 'super-aged' society. This is a rise from the current 17 to 18 per cent. Such a demographic shift is expected to drive stronger demand for health protection and long-term retirement savings, which AIA Singapore sees as a key growth opportunity. 'We are focused on capitalising on structural growth opportunities like addressing the ageing population, the need to bridge that protection gap and catering to the growing wealth of people both here and abroad,' said chief executive officer Wong Sze Keed in a recent interview with The Business Times. The life insurer has operated in Singapore since 1931 and currently offers a range of personal insurance products as well as employee benefits insurance for businesses. Wong recently marked five years leading AIA Singapore, having first joined in March 2013 as chief partnership distribution manager and rising through the ranks over more than a decade with the company. Recognised as a seasoned industry veteran, she was recently appointed president of the Life Insurance Association Singapore in the new management committee for the 2025/26 term. She brings more than 32 years of experience in Singapore's financial services sector, having held various senior management roles throughout her career. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up Capturing increasing wealth opportunities Beyond the ageing population, AIA Singapore is also eyeing growth in other key areas, including rising affluence across the region. Wong said it aims to meet the growing demand for protection and long-term savings, particularly among the mass affluent and high-net-worth (HNW) segments. To support this, the insurer is expanding its international wealth business across the region by offering products related to wealth accumulation, legacy planning and protection. Specifically, it is looking to draw on Singapore's status as an increasingly wealthy and well-regulated financial hub that continues to attract global capital. Last year, a wealth centre dedicated to serving HNW individuals and families was launched in the city-state. In addition, the insurer partnered with the Wealth Management Institute to certify its HNW directors and consultants through formal training to improve their expertise. 'Our goal is to be Asia's biggest partner for wealth planning, both here in Singapore and across the region,' Wong said. Sustainable financial performance AIA Singapore's focus on wealth-related opportunities in the local market has contributed to growth in its long-term savings business, Wong noted. The insurer's value of new business rose 15 per cent year on year to US$454 million for the full year ended Dec 31, 2024, from US$394 million in the year-ago period, on a constant exchange rate basis. This was supported by double-digit growth across both its agency and partnership distribution channels, AIA said in its FY2024 earnings announcement in March. Wong added that the insurer is 'keeping a tight grip on (its) finances across the board' while ensuring long-term financial sustainability. Customer experience also remains a focus. AIA Singapore is investing in digital transformation to improve engagement and operational efficiency for both customers and distributors. This includes ongoing efforts to advance its technology, data and analytics strategy. The insurer is also growing its distribution network, which includes its agency force and in-house financial advisers. Its number of consultants increased from 5,500 in 2022 to about 5,900 in 2024.
Business Times
an hour ago
- Business Times
Oil slips 1% after Opec+ accelerates output hikes
[SINGAPORE] Oil prices slipped 1 per cent at the start of trading on Monday after Opec+ accelerated output hikes and raised concerns about oversupply. Brent crude futures fell 67 cents, or 1 per cent, to US$67.63 a barrel by 2308 GMT, while US West Texas Intermediate crude was at US$65.80, down US$1.20, or 1.8 per cent. The Organization of the Petroleum Exporting Countries and their allies, a group known as Opec+, agreed on Saturday to raise production by 548,000 barrels per day in August, further accelerating output increases at its first meeting since oil prices jumped - and then retreated - following Israeli and US attacks on Iran. The August increase represents a jump from monthly increases of 411,000 bpd Opec+ had approved for May, June and July, and 138,000 bpd in April. Opec+ cited a steady global economic outlook and healthy market fundamentals, including low oil inventories, as reasons for releasing more oil. AFP
Business Times
an hour ago
- Business Times
South Korea investigators seek to arrest former president Yoon again
[SEOUL] South Korean prosecutors requested a new arrest warrant on Sunday to detain former president Yoon Suk Yeol, after questioning him twice, including a session that lasted over nine hours. Yoon was formally stripped of office in April, after being impeached and suspended by lawmakers over his Dec 3 attempt to subvert civilian rule, which saw armed soldiers deployed to parliament. He has appeared in court on insurrection charges, and has been questioned by a special counsel investigating the martial law declaration. 'Today, the special counsel filed a request for a detention warrant with the Seoul Central District Court for former president Yoon Suk Yeol on charges including abuse of power and obstruction of special official duties,' Prosecutor Park Ji Young, a member of the counsel, told reporters. Park said that Yoon had also been charged with 'falsification of official documents' over his martial law declaration. 'The warrant outlines why a detention is deemed necessary, but I cannot elaborate,' said Park, adding the details will be discussed in court. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up The special council questioned Yoon on Saturday over his resistance during a failed arrest attempt in January, as well as allegations that he authorised drones to fly to Pyongyang as a justification for declaring martial law. Yoon's legal team slammed the warrant as 'excessive and unwarranted'. 'We have thoroughly refuted the allegations and demonstrated that, as a matter of law, no crime can be established,' his legal team said in a statement. 'The special counsel failed to present any objective evidence during the investigation, and even based on witness testimony, the charges do not hold,' they added. Last week, the court dismissed an arrest warrant requested by the special counsel after Yoon initially refused to appear for questioning, citing that he had since expressed a willingness to comply with future summons. AFP
