The Covid-19 pandemic and the resulting economic downturn has had a significant impact across the Asia Pacific, however optimism in Vietnam and Indonesia is starting to emerge, according to research from Michael Page.

In Vietnam, 50% of companies are looking to increase their headcount and 30% are looking to maintain the status quo in 2021. At the same time, 41% of companies in Indonesia are looking to increase their headcount and 34% maintaining status quo in 2021.

Mark Donnelly, Director of Michael Page Vietnam says, “By all accounts, Vietnam has weathered the Covid-19 pandemic better than many of its neighbours in the region. Its tight and swift control of the situation not only kept the number of cases low by comparison, Vietnam's economy, too, remained in a relatively good shape over 2020. While multinational companies based there were cautious on the recruitment front, domestic companies took the opportunity to ramp up their hiring activities and secure the best available talent."

This recruitment activity was evident, particularly among Vietnam's burgeoning technology sector. Startups and e-commerce, for instance, operated unabated throughout the year, and hiring demands within those sectors were healthy, according to Michael Page.

In Vietnam, the sectors earmarked for highest hiring activity are fast moving consumer goods (FMCG), industrial/manufacturing, retail/e-commerce, healthcare/pharmaceuticals as well as technology.

Donnelly said, "Looking ahead, Vietnam is well-positioned to bounce back from the ramifications of Covid-19. Once business and leisure travel resume, the economy should rebound quite quickly in due time. This should also put a lot of positive pressure on talent, especially for manufacturing, financial services, startups, and even, real estate."

According to the report, 58% of employed professionals in Vietnam anticipate looking for new opportunities in 2021 while another 34% is passively open to new role. Nearly half, or 45% of respondents also say they do extensive research before applying for a job. This suggests increased employment activity in Vietnam within a savvy candidate pool who are becoming increasingly empowered with a wealth of information.

Meanwhile, in Indonesia, 57% of technology companies in Indonesia expect a 14% increase in headcount on average in 2021. Over half, or 63%, of employed technology professionals anticipate looking for new opportunities in 2021 while another 30% is passively open to new ones, suggesting increased employment activity.

Olly Riches, Managing Director of Michael Page Indonesia & Philippines said, "Indonesia had a strong business pipeline well before the pandemic hit. Its e-commerce sector has also seen continued strong growth over the last three to four years, particularly as unicorns dominate the talent landscape in Indonesia. This provides momentum for digital and technology businesses."

The pandemic created a high demand in the technology space, many of the roles are for e-commerce platforms, start-ups or divisions about to become digital, either traditional sectors looking to ramp up their technology or businesses transitioning further into digital areas, Michael Page finds.

As a viable option to bridge skill gaps arising from their move to business recovery in 2021, 52% of companies in Indonesia cited their continued investment in employees by providing training to upskill the workforce while 41% turned to the use of automation for basic processes.