The Digital Skills Gap: Why 73% of Vietnam Employers Say Digital Fluency Is Now a Baseline Requirement

By Valerie Ong, Regional Marketing Manager, Reeracoen Group

Ask employers across Vietnam what they most need candidates to bring to the table in 2026, and the answer is clear: digital and AI-related skills. 73% of respondents in the Vietnam Employer Hiring Study 2026 identify digital competency as the most urgent upskilling priority for Vietnam's workforce - significantly ahead of leadership development (51%), technical certifications (41%) and English communication (37%).

This finding is not confined to the technology sector. Employers across manufacturing, services, trading and construction are sending the same signal: digital fluency is no longer a differentiator. It is a baseline expectation.

What the Data Reveals

The Vietnam Employer Hiring Study 2026, conducted by Reeracoen Vietnam in March 2026, reveals the full upskilling priority ranking:

• Digital and AI-related skills - 73% of employers

• Leadership development - 51%

• Lean manufacturing or technical certifications - 41%

• Project management - 37%

• English communication - 37%

• Japanese language (JLPT) - 12%

The gap between digital skills (73%) and the second-ranked priority (51%) is striking. It reflects not just a skills shortage but a market-wide recognition that digital transformation has outrun the pace of workforce development.

Why the Gap Is Widening

Vietnam's digital transformation is accelerating across every major sector. In manufacturing, AI-driven quality control and production planning tools are becoming standard. In logistics and supply chain, digital platforms are replacing manual tracking. In services and trading, data analytics and digital marketing have moved from advanced capability to operational necessity.

This transformation is creating demand for digital skills across the entire labour market - not just in IT companies. Yet Vietnam's workforce development systems have not kept pace. Technical education curricula are evolving, but enterprise technology adoption is outrunning the rate at which graduates and existing professionals are acquiring relevant capabilities.

The Dual Challenge: Hiring and Retention

In hiring

Candidates with strong digital and AI skills are in short supply and high demand. A manufacturing company looking for a digital operations specialist is now competing with IT firms, financial services companies and e-commerce businesses for the same profiles. This competition drives up salary expectations for digitally capable candidates and compounds the salary pressure that 86% of employers are already experiencing.

In retention

Employees with strong digital skills have more options than ever. Without clear digital career pathways and continued skills investment from their current employer, they are more likely to move to organisations that offer more sophisticated technology environments and better development opportunities.

This makes digital upskilling a retention tool as much as a capability investment.

What Employers Can Do

1. Make digital competency explicit in hiring criteria

Add specific digital competency questions and assessments to your hiring process. For non-technical roles, evaluate proficiency with data tools, CRM platforms or project management software. For technical roles, assess familiarity with AI-assisted tools and automation systems relevant to your industry.

Briefing your recruitment partners with specific digital skill requirements - rather than general technical experience - will significantly improve shortlist quality for roles where digital capability is critical.

2. Invest in upskilling existing employees

Building digital capability internally is faster, cheaper and more culturally effective than sourcing it externally in a competitive market. Structured digital upskilling programmes deliver measurable returns in productivity, engagement and retention.

Based on Reeracoen's experience working with employers across Vietnam, the most effective upskilling investments are role-specific and immediately applicable - not generic digital literacy training, but targeted capability development relevant to each employee's responsibilities.

3. Position digital development as a career benefit

In a market where 20% of employers cite career progression expectations as a top retention risk, digital development programmes are a powerful retention lever. Communicate your digital development investment as part of your employer value proposition. It is a differentiator in talent attraction and a meaningful signal of long-term commitment.

4. Partner with organisations driving digital readiness

No single employer can solve the Digital Skills Gap alone. Collaboration with training providers, industry associations and government-linked skills programmes can supplement internal investment and give employees access to more comprehensive digital development pathways.

The Competitive Advantage of Digital Readiness

In 2026, the Digital Skills Gap is both a challenge and an opportunity. Companies that close the gap - through smarter hiring, internal development, or strategic partnerships - will build organisations that are more productive, more adaptable, and more competitive.

Vietnam's digital economy is expanding rapidly. The employers who build genuinely digitally capable workforces now will be best positioned to grow with it.

Looking for Digitally Skilled Talent in Vietnam?

Talk to a Recruitment Specialist →

Download the Full Vietnam Employer Hiring Study 2026 →

Frequently Asked Questions

What is the Digital Skills Gap in Vietnam?

The growing difference between the digital and AI-related capabilities that employers need and what the current workforce can provide. 73% of employers in the Vietnam Employer Hiring Study 2026 identified digital and AI-related skills as the most urgent upskilling priority - the highest-ranked priority by a significant margin.

Which industries are most affected by the Digital Skills Gap in Vietnam?

All major industries, not just technology. Manufacturing, services, logistics, trading and construction are all experiencing growing demand for digital capabilities as AI tools, automation systems and digital platforms become embedded in core operations.

Why is digital fluency now a baseline requirement for employers in Vietnam?

Digital transformation has advanced to the point where most business functions now require some level of digital tool proficiency. Employers who previously treated digital skills as a differentiator are finding that candidates without foundational digital capability cannot perform core role requirements effectively.

Is upskilling existing employees more effective than hiring for digital skills?

In Vietnam's current talent market, upskilling existing employees is often more effective and cost-efficient than external hiring. It is faster, preserves institutional knowledge, builds loyalty, and avoids competing for a limited pool of externally available digital talent. The most effective programmes are targeted, role-specific, and immediately applicable.

Related Articles

You may also find these useful:

• Vietnam Employers Are Hiring More in 2026 - But Struggling to Compete for the Talent They Need

• Vietnam Hiring Outlook 2026: Skills, Sectors & Salary Signals Employers Must Know

• Why Retention Will Define Vietnam's 2026 HR Agenda

About the Author

Valerie Ong Regional Marketing Manager, Reeracoen Group Valerie leads content and market insights for Reeracoen across Southeast Asia. She works closely with Reeracoen's specialist recruitment consultants to translate hiring data, salary benchmarks and labour market trends into practical guidance for employers and professionals. Her work draws on Reeracoen's proprietary research including the annual Salary Guide, Hiring Pulse, and Hiring Manager Survey. Language note: This article is published in English. Reeracoen  also publishes selected content in Vietnamese, Japanese for our bilingual and Japanese-speaking professional community.

References

1. Reeracoen Vietnam. (2026). Vietnam Employer Hiring Study 2026

2. Reeracoen Vietnam. (2026). Vietnam Employers Are Hiring More in 2026 - But Struggling to Compete for the Talent They Need

3. Reeracoen Vietnam. (2025). Vietnam Hiring Outlook 2026: Skills, Sectors & Salary Signals Employers Must Know

4. Reeracoen Vietnam. (2025). Why Retention Will Define Vietnam's 2026 HR Agenda

Disclaimer: The information provided in our blog articles is intended for general informational purposes only. It is not a substitute for professional advice and should not be relied upon as such. While we strive to provide accurate and up-to-date information, the ever-evolving nature of certain topics may result in content becoming outdated or inaccurate over time. Therefore, we recommend consulting with qualified professionals or experts in the respective fields for specific advice or guidance. Any actions taken based on the information contained in our blog articles are solely at the reader's discretion and risk. We do not assume any responsibility or liability for any loss, damage, or adverse consequences incurred as a result of such actions. We may occasionally provide links to external websites or resources for further information or reference. These links are provided for convenience and do not imply endorsement or responsibility for the content or accuracy of these external sources. Our blog articles may also include personal opinions, views, or interpretations of the authors, which do not necessarily reflect the views of our organisation as a whole. We encourage readers to verify the accuracy and relevance of information presented in our blog articles and to seek professional advice when needed. Your use of this website and its content constitutes acceptance of this disclaimer.