How can Da Nang attract and retain high-tech talent?

Attracting “digital nomads”

Da Nang is promoting the development of high-tech industries such as semiconductors, artificial intelligence (AI) and financial technology (fintech), driving a significant demand for highly skilled workers.

According to Mr. Kevin Bruce Iwanaga, Head of Strategy and General Affairs at the Executive Board of the Vietnam International Financial Center in Da Nang, the city’s coastal lifestyle and open atmosphere can attract young engineers, overseas Vietnamese experts, and international professionals seeking a better work-life balance.

He added that all the conditions appealed to digital nomads those who work remotely and choose their place of residence based on quality of life.

Da Nang’s challenge, therefore, is not necessarily to offer the highest salaries in the market, but to build a sufficiently competitive value proposition.

In addition to income, experts are also interested in opportunities to participate in major projects, autonomy in research, modern working conditions and long-term career development prospects.

Clear career paths needed

Assoc. Prof. Dr. Tran Dinh Thien, former Director of the Vietnam Institute of Economics, said a city that has yet to attract many leading technology companies would find it difficult to offer clear career paths for highly qualified workers.

He noted that engineers, researchers and experts may come to work on a particular project, but are less likely to stay long term if the market lacks companies, laboratories and research groups that allow them to move to new positions, advance their expertise or pursue new areas of development.

For international experts, relocation decisions also depend on factors such as educational opportunities for their children, the quality of healthcare services, their families’ living environment and the ability to integrate into the local community.

If these needs are not adequately addressed, the city’s initial appeal may not translate into long-term talent retention.

Mr. Thien, therefore, stressed the need for the city to not only prepare offices and infrastructure but also develop professional operating systems and appropriate institutions.

Also, the participation of leading experts and securing resources to offer sufficiently competitive compensation are among the city’s challenges.

However, income is not the only motivating factor.

Some experts are willing to enter a new market because they want to take on new challenges. This can give Da Nang an advantage when competing with more established technology hubs.

Dr. Truong Van Phuoc, former Acting Chairman of the National Financial Supervisory Commission, said attracting international investors first required building trust. Such trust comes from institutions, products, operational capacity and compatibility with international practices.

He added Da Nang has yet to compete with major technology hubs on salaries alone, nor can it immediately build a fully developed ecosystem for high-tech industries.

The city can instead create a distinctive value proposition combining a high quality of life, streamlined procedures, professional autonomy, opportunities to participate in projects from their early stages and flexible compensation mechanisms, he emphasized.