31st Sea Games - Vietnam 2021 Covid-19 Pandemic
Home / Economy / Trade - Service
Nearly 40% of Vietnamese workers in tourism remain idle
Phi Khanh 09:33, 2021/05/02
Covid-19 has caused a sharp decline in business revenue in the tourism industry.

As of March, 39% of workers in the tourism industry have remained idle due to the impact of the Covid-19 pandemic, according to the latest report from the Vietnam Tourism Advisory Board (TAB).

 A tour guide is working in Ho Chi Minh City. Photo: VNAT

The report on the resilience of tourism businesses in the Covid-19 pandemic found that the number of active workers has occupied around 61% in accommodation establishments, roughly  60% in inbound companies and about 58% in souvenir shops.

Hoang Nhan Chinh, Head of the TAB Secretariat, said that, most of active workers must agree to reductions in working time and salary to keep their jobs. “Many small and micro businesses have to let employees take temporary leave,” he added.

The survey also showed that Covid-19 caused a sharp decline in business revenue. About 56% of respondents said that their revenue in 2020 dropped by 25% compared to 2019. The pandemic raised additional costs of management, financial support for employees who are laid off.

The report noted that up to 88% of businesses want support in the forms of tax deferral and reduction, exemption or postponement of health and social insurance premium payment as well as trade union fees. The number of enterprises wishing to reduce unnecessary inspections  was 86%.

"In particular, up to 91% of companies want their employees to get inoculated with the Covid-19 vaccine as soon as possible," Chinh said.

He also forecast that 2021 will continue to be a difficult year for the tourism industry. “Until the second half of 2022, tourism activities will be normalized,” he said.

Based on the survey, Chinh suggested local tourism companies should give priority to ensure safety at destinations  as well as move marketing, sales consulting and customer care  to online platforms so as to reduce costs to Vietnamese tourists who are facing financial difficulties after the pandemic. 

The survey was jointly conducted by the TAB, the Private Economic Development Research Board and the Swiss Sustainable Tourism Program. It drew the participation of 432 tourism businesses in Hanoi, Ho Chi Minh City and 16 other localities across the country.

In 2020, the Vietnam National Administration of Tourism reported 60% of workers in the tourism industry lost their jobs when 90% of international tourist agencies closed down, and accommodation establishments only run at 10-15% of their capacity.

RELATED NEWS
TAG: laborers tourism
Other news
20:09, 2022/09/30
Vietnam-UK target US$10-billion trade turnover by 2023
UK trade minister Anne-Marie Trevelyan said the country wants to be a part of Vietnam’s development story in the 21st century, and fostering bilateral trade relations is among its priorities.
19:59, 2022/59/30
UK multinationals pledge long-term presence in Vietnam
Vietnam expects to create the utmost favorable environment for foreign companies to be successful in the country.
14:30, 2022/30/30
“Japan Street” to bolster Vietnam-Japan business cooperation: JETRO
More than 100 Japanese companies in the food industry and 30 in cosmetics are looking for partners and expanding business in Vietnam.
07:16, 2022/16/30
Vietnam, UK seek closer relations
Vietnam remains supportive and would serve as the bridge for the UK to expand its partnership with ASEAN, calling for the UK parliament to support ASEAN’s central role in the region, as well as Vietnam’s stance on regional security issues.
16:57, 2022/57/29
Media outlets and businesses form strong bond in difficult times: Experts
At a time of rampant unverified and fake news, official and credible information provided by the press has been guiding the businesses forward.
16:30, 2022/30/28
Vietnam's e-government procurement system set to launch in August
The e-GP would allow effective and transparent management of the public procurement process.