In its latest summary report titled " Artificial Intelligence Creates and Works in Vietnam: The Impact on the Labour Market and Policy Recommendations," the ILO notes that, while GenAI will bring about significant changes, the dominant scenario is not mass human replacement but rather a transformation of the structure and nature of work.
Accordingly, only about 1 million workers, equivalent to less than 2% of the workforce, are engaged in highly standardized jobs that are at risk of complete automation. This rate is lower than in some countries in the region such as Indonesia, the Philippines, and Thailand.
The impact of GenAI is observed to be uneven across industries. Administrative and clerical workers face the highest risk, with nearly two-thirds of positions in this sector potentially experiencing partial automation.
The finance and insurance, wholesale and retail, and information and communication sectors are also among those most affected. Geographically, jobs in major cities such as Hanoi, Ho Chi Minh City, and Da Nang account for more than one-third of the jobs potentially affected nationwide.
Notably, the report highlights gender differences. The proportion of female workers impacted by GenAI is significantly higher than that of men, at 24.1% and 17.8%, respectively. This is primarily due to women being more concentrated in office, administrative, and service jobs – fields that are repetitive and more readily applicable to AI technology.
The ILO report indicates that the impact of GenAI is dual. In sales sectors – where women constitute a large proportion of the workforce – this technology can contribute to increased productivity and improved work quality.
However, for repetitive office positions, the risk of partial job displacement is becoming increasingly apparent, potentially impacting the stability of jobs that create many formal employment opportunities for women.
However, during the period 2022–2024, the report did not find clear evidence of GenAI diminishing job opportunities for young, highly skilled workers. On the contrary, employment in the service sector continued to grow, reflecting stable labor demand as AI is still in its early stages of application.
Given the rapid changes in technology, the ILO recommends close coordination among the government, businesses, workers, and stakeholders to ensure a fair and sustainable transition.
Key priorities include: perfecting the AI governance framework aligned with labor standards and gender equality; enhancing institutional capacity; strengthening the labor market information system; promoting social dialogue in the workplace; supporting small and medium-sized enterprises in the responsible application of AI; and enhancing training and skills development for workers, especially vulnerable groups.
According to Ms. Sinwon Park, ILO Country Director in Vietnam, Vietnam has a great opportunity to leverage GenAI to promote productivity and decent work. However, to ensure that benefits are distributed equitably, appropriate policies need to be implemented soon, focusing on skills enhancement, strengthening workers' voices, and protecting vulnerable groups.
In the context of Vietnam's accelerated digital transformation, building proactive, comprehensive, and inclusive policies will play a key Vai in ensuring that no one is left behind in the development process.
