The end of easy raises: why job-hopping is failing workers

The IT sector is becoming saturated, and fewer companies are willing to meet salary expectations. Despite his current project misaligning with his career goals, a merely satisfactory work environment and declining benefits, he has decided to stay put. "Switching jobs is no longer a guaranteed ticket to higher pay," he says.

Thu Dung, 32, a business assistant in HCMC, has noticed the same trend. She previously earned VND30 million (US$1,174) a month at a logistics company in neighboring Binh Duong Province. After a year off for family reasons, she found that the job now offers only two-thirds of her former salary.

Between 2020 and 2023 U.S. magazine Forbes’s Vietnamese publication reported that job switchers could expect pay increases of 10-20%, even 30-50% on occasions, depending on the industry.

But by 2024, recruitment platform TopCV reported, job changes no longer guarantee higher earnings. Over 26% of job hoppers accepted the same salary, while the rest got marginal increases or even pay cuts.

The 2025 Navigos and VietnamWorks salary report highlighted similar trends, with more than 13% of employees taking a pay cut when changing jobs, and nearly 4% seeing a 20% reduction.

"The labor market is shifting," Nguyen Huyen Hao, the director of a mid- and senior-level recruitment firm in Hanoi, says. "Employees have lost bargaining power and are now more cautious about job changes. Employers, too, are no longer willing to pay inflated salaries."

She notes that employees in office roles and customer service are among the most affected by shrinking salaries, as these fields are highly vulnerable to economic shifts and AI-driven automation. Even in IT, salaries are declining for workers with less than five years of experience, with entry-level pay dropping from VND15 million last year to VND11 million.

She has seen many IT professionals accept a demotion from their position as team leader to regular staff and a salary cut to two-thirds of their previous pay. "With supply outpacing demand, companies are quietly replacing existing employees with lower-paid hires to cut costs," Hao says.

An IT engineer working remotely. Photo by VnExpress/Minh Quan

The surge in layoffs across technology, finance, banking, and media has intensified job competition. Many firms have frozen hiring due to global economic instability, further limiting salary growth. A TopCV report says the job market has an oversupply, forcing businesses to be more conservative with salary budgets.

Nevertheless, some industries remain strong. Manufacturing continues to expand, fueling demand for laborers, engineers and mid- level to senior managers. The marketing sector is also growing, driven by the shift from offline to online consumer engagement though things remain tough for many job seekers.

Dung recently interviewed for a job that matched her expertise and had a workplace close to home, but the salary was only VND18 million. While her husband supports the idea of a better work-life balance, she remains hesitant. "Now that my child is older, I am ready to fully commit to work again," she explains. "But I understand that experience alone is no longer enough."

In the fast-evolving content creation industry, Quang Minh, 28, struggled for six months to find a job after being laid off last year. "Many of my skills have become outdated," he admits. Unwilling to accept a lower salary, he spent three months upgrading his skills, focusing on AI in content production, video editing and English proficiency. He freelanced to cover expenses and build connections.

By late 2024 he re-entered the job market with more confidence and landed a position with a 20% salary increase. "Unemployment is not the biggest challenge—falling behind industry standards is," he says. "In a competitive market, no one pays a premium for an outdated version of you."

Recruiter Hao agrees. Instead of chasing frequent job changes, she advises employees to focus on building trust and proving their value as promotions and salary growth often come faster for those who stay and excel.

"Job hopping may no longer guarantee a raise, but adaptability and continuous improvement remain the golden keys to unlocking new opportunities."