It looks like Vietnam’s state-owned enterprises aren’t the only ones feeling the effects of efficiency-focused reforms as Saigon has announced that it plans to lay off 13,927 employees between now and 2021.
The proposal, submitted to the city’s People’s Committee a few weeks ago, would represent a 10% decrease in total employees. This reduction aims to restructure the salary system, while increase effectiveness of workers, reports Thanh Nien.
Of the to-be-culled workers, 1,311 are executives and 12,616 staff. According to Tuoi Tre, not even chairpersons of districts or directors of municipal departments will be exempt from the reshuffle.
Deputy director of the municipal Department of Home Affairs, Le Van Lam, told the newspaper that cuts were based on careful calculations that ensure the decrease in human resources won’t impact city services.
Those deemed redundant and still of working age will be re-trained for future employment or guided to new jobs.
“There will be no barrier to this policy,” said Deputy Director of Internal Affairs Department, emphasizing that the layoffs aim to empower capable personnel.
There are currently over 13,000 workers employed by the city’s executive board and over 126,100 within the city’s administrative units.
