‘Jobless but happy’: Vietnam’s mass state layoffs stir mix of relief and uncertainty

Nevin Al Sukari - Sana'a - Vietnam is amid a dramatic remaking of its state apparatus, with 100,000 positions slated to be scrapped as Hanoi seeks to streamline bureaucracy and boost the economy. — AFP pic

HANOI, July 7 — Sipping green tea in his garden of roses, ex-communist party official Nguyen Van Cuong says he is “jobless but happy” after Vietnam cut 80,000 state roles this week.

But fretting at home after leaving public employment once considered a job-for-life, Nguyen Thi Thu told AFP she feels “empty” over a future that is no longer certain.

Vietnam is in the midst of a dramatic remaking of its state apparatus, with 100,000 positions slated to be scrapped as Hanoi seeks to streamline bureaucracy and boost the economy.

On Monday, 80,000 roles were slashed as most of the Southeast Asian nation’s provinces and cities were merged.

Feelings are mixed among newly unemployed apparatchiks — communist party officials whose jobs were once guaranteed.

“It’s really a waste for the state to lose one like myself,” said 56-year-old Cuong, who served in Bac Giang province outside Hanoi. Bac Giang was merged into a neighbouring province’s administration.

The government said those caught in the overhaul would either be made redundant or offered early retirement.

Cuong told AFP he could have remained in his post — or even been promoted — but chose to accept a $75,000 (RM316,575) payoff for his remaining six years after a 30-year state career.

“It’s time to rid myself of so much complexity in state politics,” he said.

The mass reorganisation overseen by Vietnam’s top leader To Lam echoes steps taken by US President Donald Trump and Argentine leader Javier Milei to take an axe to government spending towards “efficiency”.

Don’t know what’s next

Former district-level secretary Thu admits she may not have been able to manage the burdens of the job as management prioritised performance.

The 50-year-old felt she had no option but to resign when her office was relocated to the Mekong delta province of An Giang, more than 70 kilometres (44 miles) from her home.

“I resigned, not because I wanted to quit my job,” Thu said. “It’s better to resign rather than waiting for a dismissal order.”

Vietnam — a global manufacturing hub — recorded economic growth of 7.1 percent last year and is aiming for eight percent this year as it vies for “middle-income country” status by 2030.

But the country is facing headwinds from key trade partner the United States.

Trump threatened a 46 percent tariff before settling on a 20 percent rate in a deal announced on Wednesday — a levy five times the rate before he took office the second time.

Vietnam’s deputy finance minister said the new administrative structure would bring “strong scale to connect strong business and economic infrastructure” and create “greater socio-economic development”.

Lam, the Communist Party general secretary, said Monday that “the decision to reshape the nation is a historical landmark with strategic meaning” aiming “to continue our path towards a socialist country... for people’s happiness”.

But for Thu, the way forward is now unclear.

“I don’t know what to do next,” she said.

Scrolling carefree on his phone and chatting with friends online, Cuong said he had few regrets over his voluntary redundancy.

He feels like Vietnam may be the one missing out on what he has to offer.

“I could still contribute more to the state sector,” he said. — AFP