topic analyze the unemployment situation of vietnam in the last 5 years and analyze the measures used by the government to reduce unemployment

First quarter of 2020:The Covid-19 epidemic that appeared in Vietnam at the end of January 2020has so far directly affected the labor market participation of workers.Unemployment has ris

VIETNAM INTERNATIONAL UNIVERSITY, HANOI

UNIVERSITY OF LANGUAGES AND INTERNATIONAL STUDIES

ASSIGNMENT MACROECONOMICS TOPIC: Analyze the unemployment situation of Vietnam in the last 5 years and analyze the measures used by the government to reduce unemployment

Lecturer : Mr Hoang Anh Tuan

Group 3: : Ngô Th0y Linh

Đ2 Th3 Ki5u Nga

Nguy6n Th3 Thu Trang Vương Ng9c Liên Tr;n Th3 H<ng Nhung

Lê Th3 Thanh Thư

Class : KTTC.20E6

PREAMBLE

Today, with the advancement of science and technology, the world has not made a leap

in many aspects, making the human civilization text more and more new In recentyears, along with the rise of the world, our country has also achieved certainachievements in science and technology in industries such as tourism, services, exports,etc But besides these successes That, we also have a lot of issues that need to be takencare of and actions taken to minimize such as social evils, unemployment,transportation, etc There are too many problems in today's society that need to besolved decisive decision, but maybe the problem of reuse and top concern today isunemployment

Unemployment - one of the chronic problems of the economy Any country, no matterhow developed, still has failures, it's just a matter of low or high failure Vietnam'seconomy in recent years has encountered many difficulties and is influenced by theglobal economy, with the unemployment rate in our country increasing Unemploymentleads to many problems for society such as: increasing social evils, discriminationbetween rich and poor, reducing the economy, etc Although Vietnam has madesignificant changes in the economy, the problem is solved and creating jobs for workers

is still a dilemma of today's society

With the topic "Analysis of unemployment in Vietnam in the last 5 years and measuresthat the government uses to reduce failure", group 3 hopes to learn more aboutunemployment issues Measures to reduce unemployment of our country to have themost accurate knowledge and understanding for these issues

Research on object and scope: Unemployment in Vietnam in the last 5 years (2011 2015)

-Research method: data collection, synthesis, analysis and evaluation

The group of 3 of us would like to sincerely thank Ms Ngo Hai Thanh – Lecturer ofMacroeconomics I for dedicatedly guiding us throughout the process of learning,learning, discussing and building topics We hope that we can receive your commentsand evaluations after presenting the topic of discussion so that our topic is morecomplete

The discussion consists of 4 main topics:

 Part I: The basis of reasoning

 Part II: Unemployment in Vietnam in the last 5 years (2011 - 2015)

 Part III: Measures the Government of Vietnam Uses to Reduce Unemployment

PART I: THE BASIS OF REASONING Concepts and classifications of unemployment

What is unemployment and unemployment rate

- The social labor force is a part of the population consisting of people of

working age who are able to work, have labor needs (and those who are out

of age but in fact engaged in labor)

- Unemployed are people in the social workforce who are out of work and are

actively looking for work

- The unemployment rate is the percentage of the unemployed compared to

the total number of people in the labor force

- Unemployment divided by gender (male - female)

- Unemployment divided by age (age - occupation)

- Unemployment divided by territory (urban, rural, )

- Unemployment divided by ethnicity, race

1.2 Divided by reasons of unemployment

- Quit their jobs: Those who voluntarily asked to quit their jobs for different

reasons such as low wages, not suitable for the profession,

- Job loss: People who are dismissed by production and business units for

- Enter new: People who are first-time additions to the workforce, but have

not yet found a job, are actively looking for work

- Re-entry: People who have left the workforce now want to return to workbut have not yet found a job

1 Feces by origin of unemployment

- Temporary unemployment occurs when some workers are in the process of

finding work or looking for other work better, tailored to their own needs

- - Structural unemployment: Occurs due to the mismatch between the

structure of supply and demand of labor in terms of skills, occupations,locations,

These two types of unemployment occur only in one part of the labormarket

- - Cyclical unemployment (unemployment due to lack of demand): Occurs

when the overall demand for labor decreases The main reason is the decline

in total demand in the economy and associated with the recession period ofthe economic cycle This unemployment occurs across the entire labormarket

- - Unemployment due to out-of-market factors: Occurs when wages are fixed

higher than the actual balanced wages of the labor market This type ofunemployment is influenced by socio-political factors

1.3 According to modern analysis of unemployment

- Voluntary unemployment: Only those who "voluntarily" do not want to work

due to employment and salary is not in line with the desired salary

- Involuntary unemployment: Only those who want to work at the current

salary but are not hired

- Natural unemployment is the level of unemployment when the labor market

is in equilibrium There, wages and prices are reasonable, the markets areachieve long-term balance

 Describe the types of unemployment

 Workers need time to find the job that works best for them.

- Due to the change in labor demand between businesses

- Due to the change in the working needs of employees

- There are always new people entering or re-entering the workforce

 The excess of supply versus labor demand

- Due to the Minimum Wage Law, the impact of trade unions.

- Due to the changing economic structure.

- Due to the cyclicality of the economy.

2 Impact of unemployment

• Economic perspective:

- The economy is underperforming.

- The social labor force is not mobilized into production and business activities

increases; is the waste of social labor - the basic factor for socio-economicdevelopment

- The economy is in recession due to the lower-than-potential total real national

income; deterioration due to lack of investment capital (because the budgetcapital is reduced due to tax losses, due to having to support workers who losetheir jobs )

- The cause of the economy comes (the brink) of inflation.

 Social perspective:

- It is easy to create many social evils.

- The government has to pay a lot of unemployment benefits.

 Political angle:

- Workers have reduced confidence in government policy.

3 Measures to reduce the unemployment rate

 For natural unemployment:

- Increase the operation of job placement services.

- Enhance training and retraining of resources.

- Cut unemployment benefits.

- Facilitate labor migration.

 For voluntary unemployment:

- Create better jobs and wages at all levels of wages that attract more

workers

- Organize vocational training programs and organize well the labor

markets

 For cyclical unemployment:

- Apply fiscal and monetary policies to increase total demand to stimulate

enterprises to expand production scale, attract more worke

PART II: UNEMPLOYMENT IN VIETNAM IN THE

LAST 5 YEARS (2017 – 2021))

Unemployment is one of the four most important factors of a country (highgrowth, low inflation, low unemployment, and balance of payments with balances).Reducing unemployment, maintaining stability and developing the economy is alsoone of the economic goals set by our government In the last five years, Vietnam'seconomic growth rate has always remained quite high and stable: Gross domesticproduct (GDP) in the first 6 months of 2015 is estimated to increase by 6.28%(compared to the same period in 2014 is 5.22% and in 2013 is 4.90%) This hasstrengthened Vietnam's position as one of the fastest growing economies in theAsia-Pacific region However, besides the recovery and economic development,Vietnam also faces many difficulties, especially the issue of unemployment andemployment settlement According to Minister of Education and Training Pham VuLuan: "Although in the period of 2010-2014, the number of workers withuniversity degrees and employees with jobs increased, but the unemployed alsoincreased higher than the number of graduates and the number of jobs Whileemployed people increased by only 38%, the unemployed doubled in this group ofworkers." Indeed, although the unemployment rate of our country over the yearshas been volatile, but it has decreased only slightly and is now trending up again(The unemployment rate in 2012 was 1.8%, down 0.5% compared to 2011 In

2013, 2014 and 2015, the unemployment rate was 2.77%, 2.08%, 2.31%,respectively – all increased a lot compared to 2012 Through analysis from manyaspects, it has been shown that the reason for the high unemployment rate is mainly

due to the lack of quality labor and local labor supply and demand imbalances thatstill occur regularly, causing the unemployment rate to increase, putting pressure

on the problem of solving jobs.

 Before Covid 19 exploded

I Unemployment in Vietnam in 2017

The unemployment rate in 2017 fell by 0.06% from 2.30% in 2016

- The labor force aged 15 and over of the country is estimated at 54.52 million people,

an increase of 162.2 thousand people compared to 2016

Workers 15 years and older working in economic sectors in 2017 were estimated at 53.7million, an increase of 416.1 thousand compared to 2016

- The unemployment rate in urban areas is 3.18%; The rural area is 1.78% Lowest inthe last four years The youth unemployment rate (Aged 15-24) is 7.51%, of whichthe urban area is 11.75%; The rural area is 5.87%

- The underemployment rate of workers of working age in 2017 was 1.63%, lowerthan the 1.66% in 2016, of which the urban area was 0.85% (0.73 in 2016); rural areaswere 2.07% (2.12% in 2016)

 In general, Vietnam's unemployment rate in 2017 tends to decrease but notmuch

II Unemployment in Vietnam in 2018

- Although the global unemployment rate has stabilized, shortages of quality workremain widespread, as the world economy still does not create enough jobs

- The whole country has more than 1.1 million unemployed people; in which the urbanarea accounted for 48.3% and the number of women accounted for 51.1% of the totalunemployed

- The unemployment rate in working age (men aged 15-59 years old and women aged15-54 years old) of Vietnam in 2018 was 2.19%, of which it was 3.10% in urban areas,and in urban areas rural area is 73%

-The number of unemployed 15-24 year olds accounted for 44.17% of the totalunemployed

-The youth unemployment rate is 5.42 times higher than the unemployment rate forthose aged 25 and over At the national level, the unemployment rate of young women

is higher than that of young men It is now 7.9% vs 6.05%

III UNEMPLOYMENT IN VIETNAM IN 2019

Before the Covid 19 pandemic, in 2019 Vietnam had the number of unemployedpeople and unemployment cabinets remained low and decreased slightlycompared to 2018

- According to the General Statistics Office, the country's overall unemploymentrate was 1.98% (the first quarter was 2.00%; the second quarter was 1.98%; thethird quarter was 1.99%; the fourth quarter was 1.98%) The overallunemployment rate of urban areas is 2.93%, and rural areas are 1.51%

- The underemployment rate of workers in the age group in 2019 is estimated at

1.26% (the first quarter of 2019 was 1.21%; the second and third quarters were1.38%; the fourth quarter was estimated at 1.07%), of which the urban area was0.67%; rural areas are 1.57%

- The country has more than 1.1 million workers aged 15 and over who are

unemployed Of these, 47.3% of workers were unemployed in urban areas(equivalent to 529.9 thousand people) In terms of gender, male unemployedworkers make up the larger number

-VI UNEMPLOYMENT IN VIETNAM IN 2020

When the Covid 19 pandemic broke out: The Covit-19 pandemic that appeared in

Vietnam directly affected the labor and employment situation in all industries and

in every region of the country from rural to urban areas In particular, the mostpronounced impact is in the second quarter of 2020 when the situation iscomplicated, many dangerous infections in the community and especially theapplication of regulations on social distancing increase the unemployment rate.The economy is stagnant, many businesses have to stop, relax or quit their jobs.This has caused the labor-age unemployment rate to rise to a record high in the last

five years, along with the fact that many workers are leaving the labor market.

Figure 1 The unemployment rate in the working age in the quarter of

2019-2021 in urban and rural areas Source: The Bank Times.

2020:

1 First quarter of 2020:

The Covid-19 epidemic that appeared in Vietnam at the end of January 2020 has so far directly affected the labor market participation of workers Unemployment has risen, and the underemployment rate for underemployed workers of the age group is at its highest level in five years.

The number of unemployed people of working age in the first quarter of 2020 was

nearly 1.1 million, an increase of 26.1 thousand people compared to the previousquarter and an increase of 26.8 thousand people compared to the same period last

year The unemployment rate of working age in the first quarter of 2020 was

2.22%, up 0.07 percentage points from the previous quarter and up 0.05 percentagepoints compared to the same period last year The age unemployment rate of urbanareas was 3.18%, up 0.08 percentage points from the previous quarter and the sameperiod last year; this rate of rural areas was 1.73%, up 0.06 percentage points q-o-qand up 0.03 percentage points year-on-year

The number of unemployed young people (aged 15 to 24) it is estimated at

492.9 thousand people That's 44.1% of the total unemployed The youthunemployment rate in the first quarter of 2020 is estimated at 7.0%, up 0.5percentage points from the previous quarter and up 0.56 percentage pointscompared to the same period last year The youth unemployment rate is 5.4times higher than the unemployment rate of the adult population (those aged

25 and over)

2 Quý II năm 2020:

Workers' employment was most pronounced in the second quarter of 2020 when the covid-19 situation was complicated, many infections in the community appeared and especially the application of regulations on social distancing The unemployment rate is the highest in 10 years Number of unemployed in the second quarter working age was nearly 1.3 million

people, an increase of 192.8 thousand people compared to the previous quarter and

an increase of 221 thousand people compared to the same period last year

Unemployment rate in the working age in the second quarter of 2020 was 2.73%,

an increase of 0.51 percent q-o-q and an increase of 0.57 percentage points over thesame period last year The ageless unemployment rate of urban areas was 4.46%,

up 1.28 percentage points q-o-q and up 1.36 percentage points year-on-year; This

is the quarter with the highest unemployment rate in urban areas in the past 10years

The number of unemployed young people (aged 15 to 24) in the second quarter of

2020 about 410.3 thousand people, accounting for 30.7% of the total unemployed.The youth unemployment rate in the second quarter of 2020 was 6.98%, equivalent

to the previous quarter and increased by 0.3 percentage points compared to thesame period last year Youth unemployment in the second quarter increased due tothe overall impact of the Covid-19 epidemic

The unemployment rate of working age of the group of workers with technicalqualifications from intermediate level or higher in the second quarter of 2020decreased compared to the previous quarter and increased compared to the sameperiod last year Meanwhile, the unemployment rate in the second quarter of 2020

of the group of workers with low technical qualifications (primary) or no technicalqualifications increased compared to the previous quarter and compared to thesame period last year This shows that when the economy is in shock, low-skilled

or unqualified workers have more difficulty in terms of job opportunities thanworkers with intermediate and higher technical qualifications

Figure 2: The unemployment rate of working age in the second quarter of the 2011-2020 period is divided by urban and rural areas Source: Vietnambiz.

2020071023171888.htm

https://vietnambiz.vn/ti-le-that-nghiep-tai-viet-nam-cao-nhat-trong-10-nam-qua-1.Third quarter of 2020:

Sau khi n5n After the global economy as well as Vietnam almost bottomed out in the second quarter, by the third quarter of 2020 there were a little more positive signs The number of unemployed as well as the unemployment rate decreased slightly compared to the previous quarter but remained at the highest level compared to the same period

in previous years.

The number of unemployed people of working age in the third quarter of 2020

was more than 1.2 million, down 63.0 thousand people compared to the previousquarter and up 148.2 thousand people compared to the same period last year Theunemployment rate of working age in the third quarter of 2020 was 2.50%, down0.23 percentage points from the previous quarter and up 0.33 percentage pointscompared to the same period last year The rate in urban areas was 4.0%, down0.46 percentage points q-o-q and up 0.89 percentage points year-on-year

The number of unemployed young people (aged 15 to 24) In the third quarter of

2020 about 410.3 thousand people, accounting for 30.7% of the totalunemployed The youth unemployment rate in the third quarter of 2020 was