Knowledge Note
The best jobs, defined by higher labor productivity and wages and social benefits, are largely in the registered firms. They are also inclusive of women and youth. These are the fastest growing jobs in Vietnam today and, if Vietnam prepares for the opportunities brought through the mega-trends, they have potential to grow, in quantity and quality, even more. Thus, the policy challenge is to foster the creation and growth of enterprises that are conducive to job creation, create high value jobs, and position Vietnam for even more as the mega-trends are realized. Three policy areas are proposed: (i) lower the barriers to growth of domestic small and medium enterprises, (ii) encourage enterprises to move into knowledge-intensive segments of regional and global value chains, and (iii) facilitate the development of Vietnam's agro-food system.