Like other industrial sectors, technology must gradually replace some manual tasks
The sector must acquire technology to process fish if it wants to comply with its growth plans
Wednesday, July 17, 2019, 17:00 (GMT + 9)
Is it time to automate production lines to replace hundreds of people?
For many years Vietnam grew very rapidly in the sector of high value-added products of fish and seafood based on highly skilled labor and low income.
Panga fillet processing plant. Vietnamese workers have very good performance and quality but companies must increase their salaries if they want to preserve their employees.
Gradually labor costs have been adjusted as well as electric and fuel tariffs.
On July 10, VASEP sent an official order No. 68/2019 / CV-VASEP to the Chamber of Commerce and Industry of Vietnam (VCCI) requesting that VCCI have official comments with the National Assembly. and the National Salary Council considers approving the VASEP proposal not to increase the minimum wage in 2020 and extend the minimum wage increase (LTT) of 1 year / time to 2-3 years / time because each LTT increase, in addition to increasing costs, companies still have to make a great effort to calculate and adjust rates and deductions for employees, which costs labor, time and cost for companies.
YouTube video: Pangasius traditional full manual processing line
In accordance with the Social Security Act of 2014 that was applied as of January 2016, as of 2016, companies must participate in social insurance for employees under LTT and other allowances. By 2018, it is required to pay insurance premiums over total income. This makes it difficult for companies to have thousands of employees and even social security agencies when they declare the D02-TS form, since the employees' income enjoys the products and fluctuates every month.
Therefore, the increase in the LTT is to increase the cost burden for the companies while it does not increase, sometimes even reducing the income of the workers (because the prices of the products can not increase in the global economic context still difficult, in decline). Especially since the start of the My Trung trade war, the total salary of many companies can not increase.
This will affect the comparative advantage of Vietnam with other countries in the region since seafood companies often have a large number of workers, so by increasing the LTT even by a small percentage, the cost of the companies also increased. significantly.
Surely there is a great business opportunity for leading manufacturers of machinery to process whitefish, prawns and automated sorting and packaging processes.