HCMC – Many employees are dealing with reduced work hours or layoffs due to difficulties plaguing the manufacturing sector caused by a lack of new orders.

Statistics from the Vietnam General Confederation of Labor (VGCL) showed that in recent months, the work hours of around 562,400 workers had been cut, over 31,000 were forced to take unpaid leave and some 31,370 were laid off.

The HCMC-based Footgearmex Footwear Company Limited announced it would fire nearly 1,200 workers on December 1 due to weaker new order growth, forcing the company to downsize.

The Vietnam Samho Company Limited in Cu Chi District also said it would dismiss over 1,400 employees, equivalent to some 16% of its total staff, for the same reason.

Massive layoffs have occurred in 25 localities until now, including 100 domestic enterprises and 331 foreign-invested companies, most of which operate in the manufacturing sector, said Tran Thi Thanh Ha, head of the Labor Relations Department of VGCL.