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Analysis of Vietnam's Labor Laws and Social Insurance

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Added on 2021/04/14

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The provided document contains a series of sources related to Vietnam's labor laws and social insurance policies. It includes the Law No. 51/2010/QH12 on Persons with Disabilities, the Constitution of Vietnam, the Law on Social Insurance, and various reports on the country's economic growth and technological advancements. The assignment aims to provide an understanding of these topics and their implications for Vietnam's development.

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ASSIGNMENT 2 FRONT SHEET
Qualification BTEC Level 4 HND Diploma in Business
Unit number and title Unit 3 Human resource management
Submission date 28/10/2020 Date Received 1st submission
Re-submission Date Date Received 2nd submission
Student Name Võ Minh Anh Student ID GBS200287
Class GBS0812 Assessor name
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I certify that the assignment submission is entirely my own work and I fully understand the consequences of plagiarism. I understand
that making a false declaration is a form of malpractice.
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Table of Contents
I. Introduction .......................................................................................................................................................... 4
II. Employee relations and employment legislation ................................................................................................ 5
1. Employee relations ........................................................................................................................................... 5
1.1. What is employee relations ...................................................................................................................... 5
1.2. Employee relations policy ......................................................................................................................... 5
1.3. Main obligation ......................................................................................................................................... 6
1.4. Trade unions ............................................................................................................................................. 6
1.5. Employee voice ......................................................................................................................................... 7
1.6. Employee participation & employee involvement ................................................................................... 7
1.7. Application ................................................................................................................................................ 8
2. Employment legislation .................................................................................................................................. 14
2.1. Discrimination law .................................................................................................................................. 14
2.2. Equal pay law .......................................................................................................................................... 16
2.3. Health and safety law ............................................................................................................................. 16
2.4. Friendly-family law.................................................................................................................................. 17
2.5. National Minimum wage ........................................................................................................................ 17
2.6. Application .............................................................................................................................................. 18
III. Training package and the HRM practices in VNG ........................................................................................... 20
1. The current situation and the demand of Software Engineering ................................................................... 20
2. Job profile ....................................................................................................................................................... 22
3. Workforce planning ........................................................................................................................................ 23
4. Recruitment and selection .............................................................................................................................. 24
4.1. VNG Fresher ............................................................................................................................................ 24
4.2. Direct recruitment .................................................................................................................................. 25
5. Training and development .............................................................................................................................. 26
5.1. Training package ..................................................................................................................................... 28
5.2. Benefits after training ............................................................................................................................. 29
5.3. Evaluate .................................................................................................................................................. 30
6. Performance management ............................................................................................................................. 31
7. Reward system................................................................................................................................................ 32
IV. Conclusion....................................................................................................................................................... 33

V. References .......................................................................................................................................................... 33
I. Introduction
VNG Corp is one of the biggest technology company in Vietnam. VNG Corp founded on
September 9th 2004. Since its establishment , the Company has continuously developed
from the first Vietnamese online gaming company to one of the best technology ,
entertainment, internet service, software production company in Vietnam. The
Organization has provided a wide variety of high quality entertainment items such as Zing
Details and Entertainment Doors, Zing MP3 Online Music Website, ZingTV Entertainment
Website. In recent years, VNG has grown and built a more high-quality mobile platform
product – Zalo, ZingTV, Zing MP3, LaBan Browser, ZaloPay, vCS, vCloudcam, Cloud Server, to
name a few – that is serving more and more demand for entertainment, education and
payment services through mobile applications in Vietnam and around the world. The
number of employees in VNG is about 2700 (Annual report, 2019). Human is a significant
part in organization success, so training and development the employee skills and abilities is
extremely important. As a member in HR department of VNG Corporation, who take charge
of designing a new training package for Software Engineering in one year and this plan will
be present to the leadership team.

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Source: Vng.com.vn,2020
II. Employee relations and employment legislation
1. Employee relations
1.1. What is employee relations
According to Brewster, Houldsworth, Sparrow and Vernon (2016), employee relations are
involved overarching workplace or collective labour policy questions, in particular where
they include large negotiation questions (the conventional subject of industrial relations),
regulation of the working relationship by the social actor and arrangements for the
distillation and representation of the collective voice of workers.
Besides the definitions above, employee relations has been suggested by Armstrong and
Taylor (2014) that are concerned with controlling and sustaining the work relationship,
taking into account the consequences of the psychological contract concept. This includes
communicating with workers either together by their labor unions or individually; managing
workplace policies, terms and conditions of employment and employment issues; and
supplying workers with a forum and contact with employees.
1.2. Employee relations policy
Employee relations strategies express the organization's philosophy as to what type of
arrangement should be pursued between management and workers and, where possible,
their organizations, and how pay-to-work bargaining should be handled. The goal of a social
partnership strategy is to establish and sustain a healthy, efficient, cooperative and
trustworthy working relationship environment. (Armstrong and Taylor, 2014)

1.3. Main obligation
 Employers to employees
When hire employees, the employer have legal and ethical responsibilities to employees
which include pay, benefits and working desicion. The employers general responsibility of
treatment of workers in the workplace is to ensure the health, protection and wellbeing at
work of all workers and those who come to the workplace. Moreover, they must provide
work pay their workers the wages and benefits they have committed on. Besides, the
employers must not treat staff in an arbitrary or vindictive manner . And the final
responsibility for employers is supplying work systems that are designed, coordinated,
carried out, managed and updated as necessary, in such a manner that they are, to the
degree fairly possible, secure and without risk to health.
 Employees to employers
The employers must responsible for their staff, and vice versa, the employees have many
duties to do for the employers. First of all, the staff ensure to corporate with their boss so
that together reach the goals. Moreover, obeying the lawful instructions is another
employee’s duty and acting in a good faith. Besides, the employer has provide and support
for the staff to enhance, so they must excersice to improve their skills and abilities day to
day.
 Employers to employers and vice versa
Belong side the duties between employers and employees, there are also certain
responsibilities between employers which preserve the relationship of mutual trust and
confidence.
 Employers to ex-employees
The employers not only responsible for the current employees but also the ex-employees
which are fidelity.
1.4. Trade unions
Based on to Brewster, Houldsworth, Sparrow and Vernon (2016), unions are preferred as a
heart of employee relations, And governance of the work arrangement by actors beyond
the hierarchy of management. Unions are enduring voluntary associations of employees
with a broad goal of ensuring that the rights of employees are protected and encouraged.
Typically, they are rather independent of administration. The trade union is an association
comprising the employees of a corporation whose employees must be mostly workers. One
of the key goals of the trade union is to protect the gains of its workers in the company as
well. Many of the unions are self-governing to every boss. However, the union is seeking to
promote a close working relationship with the employer.

1.5. Employee voice
Employee voice is often described as allowing individuals the ability to share thoughts,
concerns and viewpoints with honesty and without fear of social or organizational
repercussions. This means that workers have the power to affect decisions at work through
their input. As Boxall and Purcell (2003: 162) said that employee voice is a concept
increasingly used to cover a broad range of processes and mechanisms that allow and often
encourage workers, both directly and indirectly, to make a contribution to decision-making
in a organization. It explains the arrangements for a two-way conversation that would
enable workers to affect work-related activities, including mechanisms of interaction,
involvement, upward resolution of issues and upward contact. It covers the provision of
ways for workers to report their dissatisfaction, communicate complaints or concerns and
to alter the power of management. (Armstrong and Taylor, 2014)
1.6. Employee participation & employee involvement
 Employee participation (EP) refers to business ventures in which workers join one another
in order to fulfill a common purpose. Employee participation (EP) allows employers to put
countervailing and growing pressure on management, which does not mean a union of
intent within managers and employees. (Bratton and Gold, 2007, p. 451)
 Employee involvement (EI), On the contrary, is viewed as a 'softer' mode of engagement,
suggesting a convergence of concern between workers and management, and emphasizing
that engagement should be aimed at the workforce as a whole rather than limited to trade
union / rep. channels.
 Benefits of employee involvement (EI): Increased morale, increased productivity , better
coworker partnerships and strategic innovation are the main advantages of employee
involvement. The EI is correlated with a high degree of worker engagement and superior
efficiency. Employee involvement intends to pursue creativity. Employees who have a
interest in the company's success and development will provide more innovations and
strategies as barriers emerge. Moreover, when workers meet individual obstacles or
develop strategies , processes or goods, they can promote development and more
analytical and creative thinking. Employee involvement in choices and policy shifts that
specifically impact their work, while encouraging workers to be more self-employed,
dramatically increases productivity in general. As workers are viewed as commodities and
their feedback is taken into account, trust improves among each team member and the
organization makes substantial benefits in various aspects, such as productivity and loyalty.
In addition , increased morale will increase the longevity of the employee of the
organization. The more the employee is involved with the business, the more seasoned
they become, making them supervisors to new hires and invaluable to the managerial team.
The last benefit is commitment-performance relation is focused on dubious assumptions;
that allowing employees more control over job priorities, resources and procedures would

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have a positive impact on worker behaviors, behavioral commitment to the objectives of
the enterprise, and that behavioral improvement would improve morale and satisfaction
and result in improved employee and organizational performance. (Bratton and Gold, 2007,
p. 451)
 The downside of EI: Alongside benefits, EI also has many disadvantages that the
organization must deal with. First of all, one possible obstacle to encourage employee
involvement is the possibility that the difference between the level of management and the
level of staff would be blurred. While managers may respect staff engagement, a disciplined
process and consistent accountability lines has long been essential to the stability of
organizations. Allowing workers to share thoughts and make choices without letting them
push the envelope to attempt to take on the duties reserved for management is a real
challenge. Moreover, while turning over responsibilities to staff will increase mobility,
efficiency, and speed, there are fears that novice employees could be a matter of decision-
making for the organization. In addition, this may lead to the amount of failures and could
also place the credibility of the organization at a certain risk. Besides, in which employees
are granted control over items in a corporation, the chances are that these decisions will be
biased. As a consequence, it will lead to conflicts with their fellow subordinates and, in turn,
it can lead to reduced productivity. And if there is a lack of a crew of individuals with skills
commensurate with the mission, activities and job needed, decision-making would be
worse. This would be to the detriment of the company, when weak responses contribute to
decreased efficiency and internal strife. Employee involvement may bring a potential risk
that participative groups can unite against management in order to limit production and
prevent reform which create a chaos and reduce organization performance. On the one
hand, employee do not have concept skill to draw a big picture and award the strength or
weaks of the company to set a favorable goals that lead the targets set by workers may be
too low and may not guarantee the survival of the market.
1.7. Application
VNG is clearly aware that giving employees a voice and making their own decisions will
enhance self-esteem and make employees feel that they are a part of the company. This
increases employee productivity and company performance, not only increases employee
responsibility at work and dedication to the growth of the company. There are 4
approaches in employee relations strategy which include tradition, adversarial, partnership
and power sharing. In VNG, The most outstanding thing is the "empowering" style in the
company's core cultural values which is power sharing in employee relations which staff are
allow to decision in both day-to-day and strategy. According to Ms. Doan Thi Thuy Lan,
Administrative Director of VNG Company; working environment at VNG is built on the
culture of "no office; no fences; no suit, no tie, and no rank” (Topcv.com, nd). With the
working environment at VNG; The most outstanding thing is the "empowering" style in the
company's core cultural values. Although it has been developed for more than 10 years;

VNG still strongly encourages its employees to form small start-up groups; promote a
creative and dynamic working spirit among employees. At work, VNG allows middle
managers and employees to make their own decisions. In life, at the small spots like eating
lunch in the cafeteria or going out to eat; employees are also self-determined (even though
the company has a canteen area with large area). Regarding working time, employees are
not constrained by time; as long as they can afford the job.
In order to encourange and get the best out of power sharing, not only give authorities for
employees, VNG also invest on material facilities so that create a best workplace for
employee to promote ability. VNG offices were built with a youthful space; widely; modern
and dynamic in order to maximize the employee's creativity. Teams in the office will be
divided into small work areas with direct interaction with each other; from the work plan
team to the product development team. Office design at VNG is also diverse; no
stereotypes; allowing each team to build their own working environment; to meet the
specific working needs of each department.
Team Zing work area (Source: GameK.vn)

Team Zing meeting area (Source:GameK.vn)

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Game department work area (Source:GameK.vn)
Currently, VNG has opened new campus in district 7 with the idea is to create an ideal and
efficient working environment, which is transparent and interactive, making it easy for
employees to communicate, collaborate with each other at work, as well as stimulate
research, create employees dynamic.
VNG new campus (Source:Vng.com.vn)

Atrium hall (Source: Vng.com.vn)
Hot desk (Source: Vng.com.vn)

Moreover, VNG applies compensation and promotion policies to motivate and encourage to
each individual. Employees at VNG enjoy a remuneration equivalent to that of a
multinational company in terms of insurance, salaries and benefits. In addition, they also
have access to the gym, swimming pool, tennis court, book library right at the company
headquarters and can register for short and long-term training courses that are regularly
opened. For promotion, VNG focuses on promotion policy for the advancement of
opportunities, the climate for future personnel. A broad variety of advancement strategies
have been enacted that continue as follows: core member policy; alternative management
policy; appointment, dismissal fairly and transparently. Promotion policy: VNG focuses on
promotion policy for the advancement of opportunities, the climate for future personnel. A
broad variety of advancement strategies have been enacted that continue as follows: core
member policy; alternative management policy; appointment, dismissal fairly and
transparently.
In spite of VNG allows staff to have their own decision and promote maximum their abilities
and creativeness, this strategy still bring many disadvangtages. Because there exist many
independent groups; working environment at VNG has "political" color. The leaders of each
group demonstrate the fighting; compete; power each other. Teams lack the cohesion and
cohesion required. At the same time, the policy of salary, bonus, assignment and OT review
among working groups is also not consistent. For example, if an employee working in a
team that is not in the company sector , the salary and remuneration are quite low.
Meanwhile, if the staff in the team is in the field of the most invested , typically ZaloPay and
Zalo, the salary and remuneration are extremely high. This gives rise to a situation where
some employees in VNG company have the same job position; the same rank; but different
working group should have salary and bonus; and the treatment is completely different.
Some employees have negative reviews on compensation; and the team work policies they
are following; such as having a lower salary than the common ground; boss weighed heavily
on deadlines; do too much OT. Even some employees have to do OT without pay;
continuously working until the evening, ... This requires the HR management team of VNG
company to have specific plans to reduce the "politics" in the working environment at VNG;
increase interaction between individual workgroups. at the same time, to clearly define
remuneration and bonus policies for each group

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2. Employment legislation
Employment law is the set of laws and regulations regulating interactions between
employers and workers. Jobs regulations define whether workers should be employed by a
company and when employees can work. The laws shall refer regarding whether the
company would pay the employee for his or her job. It create basic standards for the
working conditions of workers. There are five essential employment which are
discrimination law, equal pay law, health and safety law, family-friendly employment law
and the national minimum wage. And the legal working age in Vietnam is from 15-60 years
old for men and 15-55 years old for women (Vietnam Labour law, 2019)
2.1. Discrimination law
According Article 3 no.9 of to Vietnam Labour Law (2019), "Discrimination at work" means
an act that eliminates or creates rights on job prospects, employment opportunities,
conditions of employment, opportunities for advancement and career growth of employees
or groups of workers in connection with other individual workers or groups of workers. Acts
to preserve and secure jobs of marginalized employees shall not be viewed as
discrimination. Furthermore, based on Article no 16 of Vietnam Constitution (2013), before
the law, all citizens are equal. And no one shall be discriminated against on the grounds of
his or her national, civic, fiscal, cultural or social life.
2.1.1. Sex discrimination
First of all, the equal rights in workplace in Vietnam are guaranteed by the Vietnamese
policies and laws. The Article number 26 of Vietnam Constitution (2013) pointed out that
both male and female residents have equal rights in all areas. The State has a program to
ensure equal rights and jobs for women and men. Also the State, culture and the family
provide the conditions for the advancement of women in general and for the promotion of
their role in society. Discrimination against sex is explicitly banned. These terms are further
clarified in article 13 of gender equality law (2006), both men and women are equal in
terms of qualifications and age in recruitment, are regarded fairly in the workplace with
respect to jobs, salaries, pay and promotions, social security, working standards and other
working conditions. Moreover, man and woman are equivalent in terms of education and
age as they are promoted or assigned to hold titles in the regular occupations. There are
steps to encourage gender equality in the world of labor include accounting for the number
of men and women to be recruited; training and improving the skill female workers and
employers shall establish a safe and hygienic working environment for female workers in

those hazardous and risky careers and occupations or those in close contact with unsafe
substances.
Beside the equal gender laws, the government also establish a policy for harassment in
work which in article no 3 of Vietnam labour law (2019), the "Sexual harassment at the
workplace" includes any sexual activity by any person against others at the workplace that
is not intended or approved by the recipient(s). The place of employment shall be any place
where the employee de facto works in compliance with the arrangement or assignment of
the employer.
2.1.2. Disability discrimination law
Alongside with sex discrimination, the government publish many laws to support the
disable people. In article 33 of Person with Disabilities (2010) said that agencies,
organizations, enterprises and individuals must not refuse to recruit people with disabilities
who are qualified for employment or set recruitment standards in contravention of law in
order to limit employment opportunities. work of the disabled. besides, employers that
employ persons with disabilities, depending on specific conditions, arrange work
arrangements, ensure appropriate working conditions and environment for persons with
disabilities.
In Vietnam labour law, article no 159 (2019) stipulates employers to adequate facilities
with regard to workplace conditions, working equipment and workplace safety and health
policies that are adequate for disabled workers as well as meet the disabled employees
before agreeing on issues relating to the needs and interests of disabled workers. Prohibit
to hire a worker with disabilities to do hard or dangerous work or to work with exposure to
poisonous chemicals, as stipulated in the list published by the Minister of Labour, Invalids
and Social Relations without his / her permission, until the employer has given appropriate
details on his / her work. (Vietnam labour law, article no 160, 2019)
2.1.3. Trade unions:
In addition to the laws outlined above, employees are also protected by the trade unions
laws which is strictly forbidden to discriminate against or act detrimental to the employee
due to the establishment, joining and operation of the union. (Trade unions law, article no
9, 2012).

2.2. Equal pay law
The article no 90 of Vietnam labour law suggested that the remuneration based on job or
position must not be smaller than the minimum wage. Also, employers guarantee equal
remuneration, without prejudice depending on gender, for workers who work on an equal
basis. If the employees work overtime or night work, the wage must be paid based on wage
unit price or on wage for current work such as regular days, at least equal to 150%, the
weekly day off, equal to 200% and public holidays and paid leave days, at least 300%
(Vietnam labour law, article no 98,2019). About the bonuses, employee preferential
benefits are determined at grassroots level between employers and employees'
representative associations on the grounds of collective bargaining, job contracts, collective
bargaining arrangements or other similar employer legislation. (Vietnam labour law, article
no 104,2019).
2.3. Health and safety law
2.3.1. Working hour
Based on chapter VII, section 1 of labour law (2019), standard working hours is not exceed 8
hours a day and shall not exceed 48 hours a week. Working time at night is from 22 p.m. on
the previous day to 6 a.m. on the next day. For the overtime working, the contractor has
the right to order an employee to work overtime when having the consent of the staff.
Ensure that the number of overtime working hours does not exceed 50% of the average
usual working hours per day, the average normal working hours and the number of
overtime working hours of the employee shall not exceed 12 hours per day; and not more
than 200 hours a year. For the workers who under 15, the working hours must not exceed
04 hours per day and 20 hours per week; not working overtime or working at night.
Working hours of persons aged from full 15 to under 18 years must not exceed 8 hours per
day and 40 hours per week.
2.3.2. Rest period
In chapter VII, section 2 of labour law has ruled that An employee work at regular working
hours shall have an rest period of at least 30 minutes ; in the case of night work, the rest
period shall be at least 45 minutes . The employee shall be entitled to a rest of at least 24
consecutive hours per week. Where it is difficult for an employee to take a weekly day off
due to the nature of the job, it is the employer 's duty to guarantee that, on average, the
employee gets at least 04 leave days every month.

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2.4. Friendly-family law
Employees have a series of basic family-friendly protections in the workplace. These include
the right to maternity leave, parental leave and the right to adoption leave. Employers shall
not involve workers in night work, overtime work and long distance travel without the
permission of those workers when the employee reaches her seventh month of pregnancy
or the employee has a child under 12 months of age. The female employee who is pregnant
or rearing the child(s) under 12 months of age shall perform hard work shall be moved by
the employer to perform lighter work without any deduction in terms of salaries, privileges,
privileges and interests for a period of time. The employer shall not fire a female employee
or arbitrarily cancel a contract of employment of a female employee as a result of the
employee 's marriage, labour, childbirth or breastfeeding of an infant under the age of 12
months. Moreover, a female employee who feeds an infant under the age of 12 months
shall be entitled to a 60-minute break on each working day. (Vietnam labour law, Article no
137, 2019). On the one hand, based on article number 139 of the labor law, a female
employee shall be entitled to 06 months of prenatal and postnatal leave. In the case of
multiple births, the duration of leave for each child shall be extended by 01 months,
beginning with the second child. Prenatal leave can be no more than 02 months. During
maternity leave, a female employee is entitled to maternity care as provided for under the
Social Security Act. In this situation, in addition to the working day salary paid by the
employer, the female employee shall continue to earn the maternity benefit in compliance
with the provisions of the Social Security Act. A male employee is allowed to take maternity
leave while his or her partner gives birth and earns a social security allowance in
compliance with the social insurance laws which 5 working days; 7 working days in the
event that their wives undergo surgery or give birth to children before 32 weeks of
pregnancy; 10 working days in the event that their wives give birth to twins; or an extra 3
working days for each baby from the second; and 14 working days, in the event that their
wives give birth to twins or more children and undergo fertility surgery. (Law on Social
Insurance, Article no 34, 2019).
2.5. National Minimum wage
Minimum wages is defined as "the minimum amount of remuneration that an employer is
expected to pay for work done within a given time, which can not be lowered by mutual
arrangement or individual contract". The government has set a policy for the minimum
wage that the minimum wage is the lowest compensation for an individual who does the
easiest job under typical working conditions and set on a monthly and hourly basis and by
area. (Labour law, artile 90, 2019). The regional minimum wage applicable to employees
working in enterprises is demonstrated in the table below. (Protocal no 90/2019/NĐ-CP,
article no 3, 2019)

Source: Vietnam-briefing.com
2.6. Application
In 30 June 2019, Vietnam and EU officially signed EVFTA and IPA. This event is a meaningful
event because it is the first EU agreement with a developing country in the Asia-Pacific
region. And EU union extremely take care for their labour as well as human rights, which
means that in order to sign this agreement, Vietnam must have policies and laws to ensure
the protection of workers according to labor conventions of the International Labor
Organization (ILO) which Vietnam has ratified 22 ILO conventions, comprising core
conventions has mention above (ILO,nd). Through this event, it is easily to recognize that
Vietnam government has established labour law that fairly, equaly, protect interests for
employees. Typically is maternity protection law, in Vietnam, a female employee is entitled
to 06 months of prenatal and postnatal leave. Not only that, the employers are not dismiss
a female employee or unilaterally terminate the employment contract of a female
employee in this period, as well as the employers guaranteed to be reinstated to her
previous work when she returns to work after the maternity leave without having reduced
rights, interests and working conditions in comparison with the time before her maternity
leave (Vietnam Labour Law, article no 140, 2019). Meanwhile, in the United States, a female
employees just have only 12 months which is 3 months and there is no requirement for an
employer to provide pay for parental leave. (Matt Turner, 2017). Besides that, the
government promulgate various laws, protocol that reduce the sex discrimination and
ensure female staff enjoy the same privileges as male staff. This is more clearly shown
through Gender Inequality Index (GII) which is 0.299 in 2012 and the GII is as close to 0 as
possible are good hint. Vietnam's index and ranking of GII have decreased over the years,

proving that Vietnam's gender inequality has improved rapidly, and is rated by international
organizations as the country that eliminates the gender gap in the fastest way in the world
20 years. (Chinhphu.v,nd)
Not only VNG but also every company in Vietnam must obsever the labour law to have
permit to operation. VNG ranks 7 in the top 10 best technology companies in Vietnam
(Vietnam report, 2020) and with the vision of the company is “Build Technologies and
Grow People for a better life”. Besides technology products, VNG also emphasize human
development, for this reason, in addition to complying with state regulations, VNG also
applies employee protection policies and support and remuneration policies that create a
good motivation for employees to dedicate, to stick for a long time for development of the
Company, at the same time attracting talents. VNG constantly improves the working
environment and conditions to improve the material and spiritual life of employees through
building and strengthening corporate culture of the Company.
In VNG, gender is not the factor that decide the salary, compension or promotion but the
talents and abilities of the employees. With the compension policy, this policy was based
on basic of equality, transparency and deserved with the results and quality of work. Since
2013, VNG has implemented a new remuneration policy, ensuring 100% of employees know
about the Company's rewarding regime, their reward level based on work results in order
to motivate and encourage next to each individual. The VNG compensation scheme is split
into 4 categories which are salary, allowances, bonus and social welfare. Talk about salary,
due to a technology company, VNG needs quality employees which is 2414 staff graduate
university, so the salary will quite high which per capita in come 2019 is VND 15,200,000 a
person per month (Annual report,2019).
VNG also care about not only physical health but also mental health for their staff. Besides
social welfare which includes social/ health/ unemployment insurances, health/ accident
insurance for staffs and relative; periodical health care and teambuilding policy, VNG build a
new campus that inspire from world-class modern campuses, which integrates relaxation,
entertainment, fitness, nature, landscape and much more to guarantee create the most
comfortable and modern environment for employees. (VNG.com, 2020).
VNG reflects on the promotion strategy of making opportunities, the climate of future
workers. A broad variety of advancement strategies have been enacted that continue as
follows: key member policy; alternative management policy; appointment, dismissal fairly
and transparently (Annual report, 2019). In addition, VNG establishes strategies to identify,
recruit, prepare, pay for individual talents and grants to those who discovered them. In
addition, VNG establishes strategies to identify, recruit, prepare, pay for individual talents
and grants to those who discovered them. With the training policy, HR of VNG promotes

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and offers the best conditions for workers, which no sexual discrimination, to acquire truly
skilled credentials and soft skills not only at work but also in teaching, self-training,
information sharing.
However, VNG do not have clear overtime or night-work policy due to the strategy "no
office; no fences; no suit, no tie, and no rank”, which means the employees can to go to
work and take leave at any time as long as they complete the task. This can lead to the
problem that the employees work overtime but do not have any record and the salary or
bonus of the workers who work hard or the same with the workers who not work much.
This can lead to the turnover of the employees. Besides the working hours, the salary and
bonus also exist issue. Though the average wage of VNG is high when compare with other
companies, the salary and bonus policy are also not clear. It is accurate that the bonus are
known 100%, but it not equal for every team in VNG. The most invested team received high
bonus, meanwhile groups that are not in the company's top areas of interest received lower
bonus even though they have same intensity of work, abilities and contribution. The HR of
VNG must consider in order to fix these problem.
III. Training package and the HRM practices in VNG
1. The current situation and the demand of Software Engineering
The COVID 1 has dramatically impact negatively on many industries such as travel,
airplane,… However, this pandemic period , for some industries, this is a great development
opportunity, especially the technology industry. In the pandemic, the government
promulgated curfew and encouranged people limit to go out and interacting with everyone
except in very necessary cases. This has changed people's living habits, people have more
and more free time and can not meet and exchange as usual. This makes the number of
people using the technology increasing rapidly with the main purpose of entertainment,
communication, and connection. This makes the number of people using the technology
increasing rapidly with the main purpose of entertainment, communication, and
connection. Currently, VNG concerntrate on 4 areas which are game online (PUBG Mobible)
, platform (Zalo,Zing), finance and payment online (ZaloPay) and cloud services (VNG cloud).
First of all, game online field, VNG has well-known with many online games such as GUNNY,
Call of Duty Mobile and the most famous- PUBG Mobile. In Vietnam, the number of PUBG
players is increasing, according to the announced results of PUBG Mobile Vietnam, in 2019
PUBG Mobile Vietnam has 13 million downloads with more than 15 million accounts
created on the VNG server (Huy Cường,2020). And in the pandemic period, when the
student has stayed at home, the downloads and subscriptions will increase. The next field is

platform which is one of the most uses platform in Vietnam – Zalo. Zalo has more than 100
million users in Vietnam and many countries and territories around the world. Zalo is the
social network with the second largest market share in Vietnam, after Facebook. Finace and
payment online is another field which is one of the most invested of VNG with ZaloPay. In
the pandemic, many consumers choose to buy products online and pay online instead of
going directly to stores and supermarkets. On the other hand, consumers limit cash
payments because of concerns that the nCoV virus spreads through cash and the State Bank
of Vietnam (SBV) encourages people to increase online transactions instead of cash
transactions. According to a survey on perceptions and user behaviors for popular e-wallet
brands in Vietnam by Cimigo, Momo, Moca and ZaloPay are the 3 most commonly used e-
wallets in Vietnam. These two cities, accounting for 90% of the market share.(Minh Chau,
2020).
Source: Techtimes
The last area is Cloud which is quite new in Vietnam market, the main customers of this
servies is business that need a huge data to store the information. After Covid-19,
businesses began to have a massive trend to move to the cloud. When going to the cloud,
business data is collected and stored more efficiently, businesses have the opportunity to

know more about customers and more than 300 businesses use VNG's cloud services. (Duy
Vũ,2020).
It is easily to realize that the demand of using VNG products rapid increase and it need a
quality Software Engineering employees to sustain and develop.
2. Job profile
Software Engineering apply theoretical and mathematical concepts in order to design
computer software and solve problems.
 Responsible
- Working with customers to define their software needs
- Designing, designing and evaluating a device or program according to customer
requirements
- Drawing diagrams and templates to help engineers build the required code for the device or
program.
- Documenting the device or application in depth to support those responsible for potential
maintenance
- Maintaining a device or program with patches and corrections as needed
- Recommend software updates for existing devices or applications
- Collaborating with developers and other engineers to build applications
 Skills
- Programming: a software engineer may need to know certain programming languages,
such as C++ , Java, Python, C#/.Net and Ruby.
- Attention to detail
- Teamwork
- Adaptability
 Qualifications
- computer science
- computer software/computer systems engineering
- electronics
- information systems
- mathematics
- physics
There is also a broad range of certifications available

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- Oracle Certified Associate and Oracle Certified Professional (OCA and OCP)
- Certified Secure Software Lifecycle Professional (CSSLP)
3. Workforce planning
Workforce planning is the first step in the resourcing strategy, would address the question,
"How do we determine what workforce resources we need?”. The HR of VNG must demand
the workers due to the company goals. The need of Software Engineering in VNG has shown
detail in the current situation part and on the career site of VNG are opening many position
for Software Engineering.
Source: Vng.com.vn
 Evaluate
Not only during the season, but the IT industry in general and software engineering in
particular always need personnel with experience in this industry. The first reason is that it
is not easy to meet the requirements of a software engineering and VNG needs people with
good skills to handle important areas. The second is because the industry is always short of
human resources, so rival companies will scramble for talent. VNG not only compete with
domestic company but also international company such as Microsoft, Google. For that
reason, VNG is always needs human resources in this field and they creates conditions and
benefits to attract talent to the company.

4. Recruitment and selection
With the recruitment and selection part, VNG has two main type of recruitment which are
VNG Fresher for junior, senior student and fresh graduate; and Apply for jobs directly which
the positions are regularly updated at the website address of VNG
4.1. VNG Fresher
VNG Fresher, an internship program for students trained by VNG to maximize their
professional knowledge and skills, become young, dynamic, aspiring talents, step by step
becoming a professional. senior members of VNG. and to be admitted to the internship,
candidates must go through three rounds including The Application Round, Professional
Knowledge Test and Interview Round.
 Round 1: The Application Round
In this round, candidates access the VNG Fresher program website to search for suitable
intern recruitment programs, then register and submit their CV. After submitting the CV,
candidates follow the VNG Recruitment fanpage to capture the program's information and
prepare for the next exams.
 Round 2: Professional Knowledge Test
In the knowledge test round, candidates will take 2 exams. Part 1 will test logic, math and
literature and will take 75 minutes. The content of this test includes multiple choice
questions and logic thinking essay, math test, professional knowledge test and requirement
to write an essay. Especially in the essay essay section, candidates participating in the exam
are provided with 10 certain words / phrases, the task of the test participant is to write a
short paragraph, about 100 words containing the above and related words. combine them
into a meaningful essay. In the second part, candidates will be tested for English and the
test within 75 minutes. The content of this test consists of reading comprehensing
questions and writing in English.
 Round 3: Interview Round
After passing the professional knowledge test, the candidates who passed the previous
round will enter the interview round. Candidates take the examination at VNG directly to
the company's headquarters to perform this round. The interview time is approximately
one hour per candidate and will be interviewed from two to three people. This round will
be judged on two criteria: Communication skills; and the candidate's interview skills. In
addition, candidates will also be evaluated based on other equally important factors such as
teamwork ability; problem-solving skills; time management skills,...

 Result
After receiving the interview results, the successful candidates will be officially working at
VNG; have just been directly embarked on a real career; recently joined the VNG Fresher
training program; combination of 3 elements: Learning - Instruction - Application;
Confidently step on your chosen career path.
4.2. Direct recruitment
In order to enter VNG through direct job application, candidates can choose a suitable
position which is regularly updated by businesses at the website address of VNG. With the
direct recruitment process, VNG has a variety of vacancies for inexperienced and highly
experienced candidates. The direct entrance exam process for VNG consists of three
recruitment rounds which are recruitment and competency, interview and recruitment
 Round 1: Recruitment and Competency
In this recruitment round, VNG will receive and screen all candidates for recruitment exams
in need. Candidate's profile includes CV and recommendation letter.
 Round 2: Interview
After passing the first round, the candidates will move on to the live interview round.
Interview time will be from 45 to 90 minutes and candidates will be interviewed by two or
three people. Usually, the interview round will include: expert interview and soft skills
interview. However, for certain managerial and / or important positions, the third round
will be conducted. This Round is reserved for exchange; discuss issues related to human
governance; business strategy, ... Professional interview questions will include specialized
knowledge closely related to the vacancy; soft skills questions related to team work skills;
slove the problems,…
 Round 3: Recruiment
Pass the final interview round; Candidates will receive the VNG recruitment letter within 5
working days.
 Evaluate
The VNG Fresher program bring many benefits for VNG . This program is a long-term
direction to develop young and sustainable human resources for VNG. These new
employees bring new and creative ideas. Newly recruited employees are usually quite

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young between the ages of 18 and 22 and are in the process of exploring and learning.
Some of their questions may offer a new perspective on how the business works, which is
the catalyst for positive change. In addition, they can give suggestions that you never think
of and have the ability to justification of everyday work.
Not only that, they tend to be tech savvy and keep up to date with the latest trends. They
have been exposed to computers and other technologies since birth, so using technology is
natural to them. Therefore, you won't need much time to teach them about technology,
they can even give you the latest information. In an increasingly technology-dependent
business world, having trainees with this kind of knowledge can help your company stay on
top and remain competitive.
On the one hand, the program discover and foster talent for the company. Embracing
employees with relatively young age also facilitates businesses in discovering talent and
recruiting them before your competitors. What's more, they'll instill your company culture.
So make sure they will feel comfortable continuing and developing careers with your
company.
Another method that VNG uses to recruitment is direct recruitment that also bring many
benefit. This method useful for deciding whether the candidate has the requisite
communicative or social skills that might be required for a career. The interviewer may
obtain additional details and test the auditory fluency of candidates. The interviewer can
evaluate the awareness of the job of the applicant. Though this method have few
disadvantage. Decisions may appear to be taken within the first five minutes of the
interview and the rest of the interview used to confirm or explain the initial decision.
Moreover, the interviewers are stereotyping regarding the qualities needed for
performance on the job and negative evidence tends to be given more weight
5. Training and development
With quite good remuneration regimes (equivalent to foreign corporations), plus the
philosophy: "No bad employees, only bad bosses are in the wrong place". VNG does not
want to fire employees but often gives them many opportunities to move from one
department to another to find and promote their potential. This makes some employees in
capacity to meet the development needs but still retained preventing the rapid
development of the company. The over-well-received environment causes many employees
to misunderstand basic welfare with being rewarded for work efficiency, which sometimes
makes them lazy, slow and less creative. This is very dangerous especially for a T-Game
business like VNG.
The question of training solutions is being asked: "How to recruit the right people" and
"how to put them in the right position and impact them to reach their full potential". VNG's

HR department assist the organization in arranging these issues, training personnel, and
developing human resources. There are some activities that L&D usually conducts.
First of all, HR develop VNG library and reading culture. An internal library is used and
contributed by many staff, from leadership to junior staff. Books were purchased, collected,
stored and managed to the caliber of a district library. HR develops an online book loan
system, including a list of books, a system to remind readers to return books, and
"promotions" for book-lovers. Another huge online library comes from… senior managers
(and sometimes staff). In the course of working for many years, learning and collecting rare
documents (videos, e-books ...) from all over and from the best places, they sifted them and
gave them back to HR for reference for company employees.
Another activity is the internal training organization. In addition to individual outings or
teambuilding sessions for teams and companies, clickers also have the option of learning
courses to develop useful skills such as management, presentation, communication and
problem solving, conversation. speaking, planning and organizing the work ... to hard skills
such as digital marketing, communication, game programming, writing articles, product
operation, ... and of course, interesting courses like martial arts Modern art, music, dance,
yoga, photography ...Most trainers come from outside, in the future, the trainer resources
must be balanced with the External and the Inner, the senior managers are talented people
and need to share their knowledge and experience with the staff. staff, outsiders cannot
understand internally by themselves, so in fact their training content (will be improved in
the form of sharing) will bring more benefits to employees, in terms of quality. appropriate
quality and motivating staff to practice application.
Furthermore, HR also conduct orientation program (orientation training) for new
employees. On the Monday morning, HR will bring new employees to work at VNG for a
week to share about the company through an orientation training session. is called
Orientation. After being recruited, on the first day of work, employees are often led by
colleagues or HR staff to tour the whole company, introduce the facilities. Next, at the
Orientation, you will be provided with an overview of VNG, core values, culture, people,
related departments ... with the aim of making you understand the position. How their
work affects VNG and help these employees more clearly access the mission that VNG
pursues.

5.1. Training package
This one year training is for 5 employees who have completed excellently and worked hard
in the previous time. This training include 2 programs which are LEAP program and UBCx's
Software Development course.
5.1.1. LEAP Program - Software Engineering Apprenticeship
LEAP program is a program that is lauched by Microsoft since 2015 with the mission is to
recruit, develop, and train non-traditional talent for employability into the technology
industry worldwide. In Software Engineering Apprenticeship of Microsoft, the employees
will learn software engineering fundamentals and a variety of skills to enable you to work
across the full stack of Microsoft products.
 Program name: LEAP Program - Software Engineering Apprenticeship
 Type of program: Apprenticeship
 Begin: 11 January 2021
 Length: 16 weeks
 Cohort location: Sunnyvale, CA
 Salary for an hour: $42
 Salary for one month: $5,500
 Work days: from Monday to Thursday
 Study days: Friday- Saturday
 VNG support:
- Support cost for first month: $3,700
- Insurance: $65.72
- Round trip airplane fee: $681
- Provide Toyota Corolla Sedan: $19,080
- Total cost: $23,526.72
When join this apprenticeship, the employees do not need to work at VNG in 16 weeks, all
the task will devide equally for other member in the team. However, after this program, the
employee must return to work for VNG at least 2.5 years if the employees have a desire to
jump other organization.

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5.1.2. UBCx's Software Development course- MicroMasters® Program in Software Development
This program was provided online by the University of Brishtish Columbia on Edx. After this
course, the employees will learn how to build systems that are validated and simple to
change. Creating structure the development of broad software systems using abstraction
and decomposition. Quickly write and revise code using programming tools and know how
to do full-stack product development using an agile pair or team approach. Learning
common Java and Typescript languages, and the ability to quickly learn new languages.
 Program name: MicroMasters® Program in Software Development
 Type of program: Online
 Study on: EdX.org
 Begin: 26 April 2021
 Length: 9 months
 Study hours per week: 6-8 hours
 Tuition fee: $925
For this program, the employees will work normal in VNG and may be can learn at night or
freetime. This course is online so the progress complete fast or low rely on the staff speed;
however, the staff must finish in time.
5.2. Benefits after training
Training employee not only bring huge benefits for them but also for an organization.
First is the benefit for the employees who join this training. The employees will gain huge
skills for the positions and solve the problem when working more quickly. The chance to
appranceship at Microsoft help the staff many thing. When staff join a multinational like
Microsoft , the staff will inevitably end up in a multicultural environment. working with
people from different countries with different backgrounds. This culturally diverse work
environment provides the staff with new insights and is good for their language skills.
Employees will be entitled to a salary and bonus 20% higher than the original salary to keep
employees for a long time despite having a rule to work for the company at least 2.5 years
later. The employee's career path will be wider, the ability to be promoted in the near
future is entirely possible, the staff will be the manager of the key teams of the company
like Zalo and may be become a core member of the company.

At the same time, when employees want to switch to other companies, they will be
welcomed and receive high positions as well as salary. Not only that, once they have
learned an apprenticeship from Microsoft, the value of the employee will increase
significantly, almost like a global citizen. In addition, having trained and overcome and
absorbed the knowledge and skills from major technology companies in the world and
courses from the world's leading universities, employees will become trainers and support
for young employees of the company, this not only helps employees always practice their
skills but also improve their skills and create resources sustainable human resources for the
company.
After this training, VNG also gain a significant advantages. First is attract High-quality
workers, VNG can effectively attract high-caliber candidates by setting a benchmark as a
company that values workforce growth and advancement. The second advantage of
educating workers in the private sector is that it improves both their efficiency and their
inspiration. Analysis has shown that teaching has improved the skills and expertise of
workers, which has had a direct positive effect on their job results. It is also an established
way to increase the productivity of the workforce. One of the most significant benefits of
educating workers is that it ensures learning opportunities for business teams.
The different executive training systems benefit from the creation of a system to work on
the talents of workers and to ensure success and earnings. Innovation and technical
progress are the most significant factors for intensified rivalry in society. It pushes people to
embrace the risks and to get out of their comfort zones in order to make changes. Without
experience, workers are afraid to do so.
One of the most significant advantages of teaching workers is that it enhances the image of
the company. Pay attention to improving the talents of your staff, their knowledge and
work satisfaction will spread the message, and more skilled workers will join you. They
would like to work in an organisation where they can learn and use their talents to optimize
the benefits of the business. And reduce employee turnover rate.
5.3. Evaluate
With the title "Top 100 best workplace in Vietnam". VNG's training activities have brought
about very high results. VNG has always been the technology company that graduates want
the most. Besides salary, bonus and infrastructure investment, VNG focuses on human

development. What brings success to the company, HR of VNG has created many activities
as well as trained employees so that the company's employees are always updated with the
earliest technology skills. In addition to hard skills, soft skills must also be continuously
improved, that is why there are communication courses, presentation skills. VNG HR has
created a quality human resource as well as attracting talented people when they know
they will be learned, cultivated and developed while working in the company. The HR of
VNG has found a good answer for question "How to recruit the right people" and "how to
put them in the right position and impact them to reach their full potential".
6. Performance management
VNG uses absolute ranking system and multi-source to manage the company's productivity.
Another thing compared to other technology companies in Vietnam is that VNG not only
divides departments but divides groups by technology products, so each group will have its
own standard. For example, with the payment product group, the group's KPIs are one
month will increase the number of downloads and account registrations by 15%, as well as
a 35% increase in payment usage. For online game group the KPIs will increase by 15%
downloads and registration compared to the previous month. In addition to the ranking
system, the multi-source is also applied by the company, with the motto "No bad
employees, only bosses have not put them in the right position" has clearly shown,
employees can feedback about bosses as well as colleagues. In addition, customers can
directly evaluate the product as well as the quality of the team after each update.
 Evaluate
The absolute approach offers multiple advantages where the main employee defines and
encourages the team member to interact with each other so that they can be in the same
category and better themselves. It also helps HR to provide appropriate training for each
group and ensures that productivity will always be better in the next period. This approach
helps administrators to judge and confront bad results directly. This will allow the workers
to understand their shortcomings and to resolve them. The multi-source helps VNG to
better consider the productivity of workers in order to make a fair appraisal of them. VNG
can focus this approach on making management adjustments that are acceptable for each

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form of employee. However, the special feature in VNG's company structure is easy to lead
to an unhealthy fight between the groups, as well as a negative comment between each
other.
7. Reward system
The reward system and compensation policy was based on the principle of equity,
accountability and merits outcomes and standard of work. After 2013, VNG has adopted a
new incentive strategy, with 100% of workers aware of the company's award strategy, the
level of each worker's bonus to inspire and promote each worker. The VNG compensation
scheme is split into four groups:
Salary: development salary, company salary (12 months); 13th month salary on holidays in
Tet; and the average income for one employee is 15.200.000VND.
Allowances: cars, mobile costs, cellular equipment, practical allowances;
Bonus: depends on the success of the sector, on the successes of the projects / jobs;
incentives on the company's founding day;
Social welfare: social / health / unemployment benefits, health / accident insurance for
employers and relatives; periodic health care and team building scheme ...
 Evaluate
VNG provide good remuneration schemes (equivalent to foreign corporations) in terms of
insurance, salary and welfare policies such as cheap cafeteria and quality of providing
nutrition for employees at any time, Gym, book library, short and long-term training
courses for many subjects, sports field, swimming pool, tennis ...The salary, bonus,
assignment and OT review policy between the working groups is also inconsistent. For
example , if an employee works on a team that is not in the company sector, the salary and
remuneration are quite low. In the meantime, if the workers on the team are among the
most highly invested, typically ZaloPay and Zalo, the salaries and remuneration are
exceptionally high. This results in a scenario where certain workers in VNG have the same

job position; the same rank; but different work classes should have wages and bonuses; and
the treatment is entirely different.
IV. Conclusion
Hence, this report has designed a training package for Software Engineering as well as
demonstrate the benefits for employees and employers after one year and consider key
aspects of jobs law that could have an effect on the training program.
V. References
Bratton, J. and Gold, J. ,2007, Human Resource Management: Theory and Practice, fourth
edition, Palgrave Macmillan, New York.
Brewster, C. Houldsworth, E. Sparrow, P. Vernon, G. ,2016, International Human Resource
Management. 4nd edn. Kogan Page Publishers.
Armstrong, M. and Taylor, S. 2014, Armstrong's handbook of human resource management
practice. 13th ed. United Kingdom: Kogan Page Limited
Vietnam Law no 73/2006/QH11, 2006, The Law On Gender Equality, [Online], Available at:
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ification=05&p_classcount=3262 (Accessed: 27 October, 2020)
Vietnam Labour Code, 2019, [Online], Available at: https://www.amchamvietnam.com/wp-
content/uploads/2019/05/Draft-Labor-Code-ENG.pdf (Accessed: 27 October, 2020)

Vietnam Trade Unions Law (No. 12/2012/QH13), 2012, [Online], Available at:
https://www.ilo.org/dyn/natlex/natlex4.detail?p_lang=en&p_isn=91648 (Accessed: 27
October, 2020)
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(Accessed: 27 October, 2020)
Vietnam Constitution, 2013, [Online], Available at:
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(Accessed: 28 October, 2020)
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TR N T N ANH, 2020, Hi p nh V TA u n m i d p k ni m 30 n m uan h Vi t
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2020)
Matt Turner, 2017, Here's how much paid leave new mothers and fathers get in 11 different
countries, [Online], Available at: https://www.businessinsider.com/maternity-leave-
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Chinhphu.v. n.d, Bình ẳng gi i ua số li u thống kê, [Online], Available at:
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tin-Viet-Nam-9192-1006.html (Accessed: 28 October, 2020)

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Huy Cường,2020, Cách người trẻ Vi t Nam chi tiền cho P BG Mobile, *Online], Available at:
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