VietnamWorks survey reveals many enterprises are unwilling to access appropriate data when determining salary levels for employees.
Most companies in Vietnam do not rely on a standard salary benchmark when they determine salary levels, according to a VietnamWorks’ survey conducted on 204 employers in June.
“Eighty-seven per cent of companies that VietnamWorks surveyed have not made use of professional tools to evaluate salary levels,” said Mr. Gaku Echizenya, CEO of VietnamWorks. “These companies’ salary levels may not be competitive enough to attract quality candidates.”
According to the survey, only 13 per cent of companies surveyed used specifically-designed salary surveys while 9 per cent used traditional general salary surveys.
Fifty-five per cent said that they prefer to base their salary levels on the pre-set salary budgets, while 62 per cent found it wise to determine salaries through direct negotiations with job applicants.
The VietnamWorks’ survey also found that 82 per cent of employers surveyed are flexible when dealing with compensation packages for candidates in high-level positions, such as Director or Manager.
Such flexibility when dealing with part-time candidates and full-time candidates in lower level positions was only adopted by 38 per cent and 55 per cent of companies, respectively. However, flexibility in salary negotiations is not enough to attract the best talent when employers remain unaware of a standard salary benchmark for each position.
VietnamWorks has recently introduced a new tool to assess salary benchmark data. “Evaluate Your Job Post”, developed by VietnamWorks’ career analytics website TechLooper, was created to help employers assess salary benchmark data for each job position and evaluate their own salary levels. This is one of Vietnamwork’s latest initiatives to help employers successfully recruit the best talent in the market.