Author: GIMO TEAM
Gen Z Workforce: How to Jump on The Band Wagon?
A 14-year-old entrepreneur providing vocational training for people in poverty; an 18-year-old teen named among the Times “Top 100 most influential people in 2013” are just a few headlines featuring Gen Zers in the past few years [1].
Every other generation has had its chance, and now it is Gen Z’s time to shine and make its mark in the business world. Businesses should seize this opportunity and take in fresh Gen Z talents to further their growth.
Gen Z, Who?
Born between 1997 and 2009, Gen Z are hailed the digital natives who are taking the world by storm. They barely know about the lined telephone, boxed TV, cassette tapes, or life without Google [2].
The ability to learn fast and adapt well is also a well-known trait for this generation as they grew up with the Internet, the eternal source of free and easily accessed information.
Gen Z at Work
When it comes to work, Gen Z has a few specific requirements.
Flexibility. Having grown up amidst rapid changes in technology and business models, Gen Z has long been recognized for their flexibility and ability to pivot in the workplace. So they expect businesses to provide them with the same [3].
Wellbeing. According to a 2020 Gallup Poll, Gen Z prefers employers who care about their mental and physical wellbeing [4]. No one wants to be the work hustle, constantly burning themselves out at the office, but only Gen Z was brave enough to voice their opinion and demands to be satisfied.
Balance. Survey says, 42% of Gen Z prioritize work-life balance over other job perks [5]. Having gone through the Great Recession from 2007 to 2009 and disruptive phases like COVID-19, Gen Z has seen many unhappy workers. So, they set their goal not to overwork themselves since other aspects of life are just as important.
Gen Z Demands. Businesses Answer
Taking up almost 30% of the world’s population, Gen Zers will eventually dominate over any other age cohort [6]. The most senior Gen Zers are reaching age 22, either soon or have already entered the labor force. That means it’s in employers’ best interest to take notes of how to woo this new demographic of employees – fast [7].
Open up. The pandemic has made people realize flexibility is what they want and need. Remote work and flexible working hours are just the starts. Flexible pay or on-demand pay is also on the rise as the newest benefit for employees to have more control over their own earned wages. By giving employees proactive access to their earned wages, financial emergencies can be solved instantly. Personal financial management can also be done with ease.
Promote employees’ well-being. Creating more personalized or health-oriented benefits can win employees of all ages. The pandemic-sized hit has made everyone realize the importance of health and wellbeing. Businesses should provide them with the assurance of being well taken care of no matter the circumstances. As discovered by HBR, 98% of surveyed leaders plan to newly offer or expand their employee benefits, prioritizing what one’s workers deem essential, like child and senior care benefits or expanded mental health support [8].
Create a balanced work life. Employers should support a more well-balanced lifestyle with respect for personal time and space or leisure-supported benefits. It may not be the intense, fast-track instant growth businesses want. However, this can prevent burnout and work resentment, issues seen in many environments people deem toxic. In the long run, such a balance can support more sustainable growth for businesses.
Gen Z is redefining the workplace norm for everyone. As bold and brave as they are, businesses should get ready to adapt themselves to today’s workforce.
Source
[1] https://www.theatlantic.com/sponsored/allstate/getting-gen-z-primed-to-save-the-world/747/
[2] https://www.pewresearch.org/fact-tank/2019/01/17/where-millennials-end-and-generation-z-begins/
[3] https://deloitte.wsj.com/articles/millennials-gen-zs-prioritize-flexibility-01628013560
[4] https://www.businessinsider.com/millennials-versus-gen-z-workplace-trends-flexibility-work-life-balance-2021-11
[5] https://finance.yahoo.com/news/42-gen-z-prioritize-life-161927571.html
[6] https://www.weforum.org/agenda/2021/03/gen-z-unemployment-chart-global-comparisons/
[7] https://www.forbes.com/sites/forbesbusinessdevelopmentcouncil/2019/11/20/what-your-business-should-know-about-generation-z/?sh=190be834410a
[8] https://hbr.org/2021/04/the-pandemic-is-changing-employee-benefits
Gifts of encouragement for workers from GIMO and Vietnam General Confederation of Labor
On May 13th, 2022, Mr. Ngo Duy Hieu – Vice President of Vietnam General Confederation of Labor, President of Vietnam Public Sector Union, and representatives from GIMO visited and handed out gifts to 50 workers in Chuong My and Thanh Oai District, Hanoi.
Mr. Ngo stressed that Labor Month is the time of the year when all of us show our appreciation towards the labor community and lend a helping hand to those in need.
He also thanked GIMO for its companionship and added that on-demand pay is instrumental in preventing high-interest payday loans that are preying upon vulnerable workers.
During the events, GIMO joined the Vietnam General Confederation of Labor in handing out 50 gifts of encouragement to less fortunate employees in Chuong My and Thanh Oai Districts.
During this year’s Labor Month, GIMO has actively engaged in a plethora of social activities hosted by the Vietnam General Confederation of Labor and other provincial confederations
The hook for blue-collar workers
As the economic reopening collides with a tightened labor market, businesses are squirming to attract and retain blue-collar workers.
Shortage of blue-collar labor still haunts businesses
Despite the talks of automation displacing everyone, in Vietnam, blue-collar occupations are and will still be in high demand, especially amidst the economic rebound, the supply chain diversification and most recently, the flood of workers not returning to work.
According to the General Statistics Office, until 15 December 2021, approximately 2.2 million people returned home from key economic regions when coronavirus caseloads were spiking [1]. As COVID-19 curbs were lifted, 58% of the labor force intended to return to Ho Chi Minh City for work, while 42% decided to stay put [2]. This led to a severe lack of workers.
During the 1st quarter of 2022, some regions witnessed a labor shortage of around 120,000 workers, indicating a 2-3% increase compared to previous years. The top categories seeing the highest demands are manufacturing, processing, etc. [3]
A recent survey also revealed that the 2022 labor needs are estimated at 700,000. The shortage could peak during the second quarter of the year in the advent of business’ gradual recovery from COVID-19.
Workers are grappling
“The main reason lies in the lack of a well-rounded compensation package and other benefits to ensure workers’ wellbeing,” said Mr. Dung Dao – The Minister of Labour, Invalids, and Social Affairs. Indeed, many businesses demand skilled workers but still lack desirable employee benefits [5].
The higher cost of living post-pandemic also represents a major concern. The CPI (Consumer Price Index) of the 1st quarter in 2022 has increased by 1.92% compared to 2021 [6], while the regional minimum wage stands still for the past two years.
“Workers, even ones with seniority, had to return to their hometown partly due to insufficient savings,” said Ms. Lan Pham – Vice-head of the Institute for Workers and Trade Union.
The hook: better welfare
In the hope of untwisting the blue-collar labor market, the Vietnamese government has issued several policies, one of which was subsidizing rental fees for workers working at industrial parks and major economic regions (Decision No. 08/2022/QD-TTG dated 28 March 2022). The government also proposed a 6% increase in the regional minimum wage by July 2022.
On their part, businesses are handing out pay raises and bonuses to attract and retain workers. The 2022 survey by the Worker Newspaper reported $VND 250,000 – 350,000 monthly pay rise.
Not only paychecks, employers are also offering additional benefits to better care for their blue-collar workers. Many businesses are investing in their workers’ future by funding training courses in foreign languages and computer skills [9].
Another increasingly attractive benefit is on-demand pay or earned wage access – that is, allowing workers to instantly access their earned yet unpaid wages. The solution has been widely embraced by multinational corporations like Walmart, McDonald’s, etc., and helped them ease their workers’ financial burden and reduce turnover rate [10]. The appetite for “pay on the day” is also growing in Vietnam, with the adoption of major corporations such as Austdoor.
A falling number of COVID-19 infections, a pickup in economic activity and the supply chain shift to Vietnam have led to higher demand for blue-collar manpower and created an enormous headache for businesses. To navigate such talent shortage, businesses simply need to rethink their employee benefits and perks.
References:
[1] More than 2.2 million workers to return to their hometown, 2021 – VnExpress Newspaper
[2] Blue-collar labor market report during and after the COVID-19 lockdown, 2021, Vieclamtot.com website
[3] Solutions to overcome labor shortage, 2022 – Vietnamplus Newspaper
[4] The key points to attract and retain employees after Tet, 2022 – Voice of Vietnam Newspaper
[5] The increasing labor recruitment demand in 2022, 2022 – Worker Newspaper
[6] Socio-economic Statistics in the first quarter of 2022, 2022 – General Statistics Office
[7] Which keys to attract and retain workers?, 2022 – Vietnam Economic News
[8] For a collective voice, 2022 – Worker Magazine
[9] CHALLENGES IN RECRUIT SKILLED LABOR: Vocational training associated with business needs, 2022 – Worker Newspaper
[10] Even, 2022
GIMO joins in with the festivities of Binh Duong’s Labor Month 2022
From 5-8th May 2022, GIMO engages in a series of Labor Month events hosted by Binh Duong’s Federation of Labor and People’s Committee.
Joining the opening ceremony, GIMO hopes our contribution could encourage exceptional workers and somehow brighten up the lives of unfortunate ones.
Ms. Loan Nguyen – Madam President of Binh Duong’s Federation of Labor emphasized that Labor Month aims to spread more positivity among provincial workers. The companionship of businesses like GIMO at a wide range of impactful events drives a healthier and more motivated workforce, she also added.
The four-day workers’ welfare fair is another highlight of the event. As an exhibitor, GIMO has the opportunity to showcase how on-demand pay can contribute to the financial well-being of workers.
Binh Duong is home to 1.2 million workers and remains one of the country’s most critical industrial hubs. For the past two years, said millions of lives have been majorly disturbed by COVID 19.
And so, with the active participation of local authorities and businesses, this year’s Labor Month will remain a practical move that empowers workers to contribute even further to Vietnam’s economic recovery and growth.
GIMO accompanied 142 workers in celebration of Bac Ninh’s 2022 Labor Month
On April 26th, 2022, in Bac Ninh, GIMO joined the Opening Ceremony of the 2022 Labor Month organized by Bac Ninh’s Confederation of Labour and handed out presents for 142 local workers.
The opening ceremony officially kicks off Bac Ninh’s 2022 Labor Month, which aims at paying tribute to local workers and raising awareness about workplace safety and hygiene.
Joining the annual event as a sponsor, GIMO is hoping the support could bring some cheers to the lives of underprivileged workers and motivate those with outstanding performance.
“Today’s gifts are such great encouragement for me and fellow workers, motivating us to work harder”, Ms. Trang Duong, shared her thoughts.
Ms. Nguyen Thi Van Ha – the Chairwoman of Bac Ninh’s Federation of Labour, noted: “We always place worker benefits at the core of our work. In celebration of the 2022 Labor Month, we are and will be undertaking more practical initiatives to improve workforce wellbeing. We sincerely thank GIMO for accompanying us and local workers in today’s ceremony.”
Bac Ninh’s Federation of Labour and GIMO handed out gifts for local workers
The activity signifies GIMO’s strong determination to better the lives of workers by delivering quality and responsible financial services to them. This March, GIMO had formed partnership with Bac Ninh’s Confederation of Labour where the company pledges to support and actively engage in local social activities.
GIMO lands partnership with Bac Ninh’s Federation of Labour to improve worker well-being
On March 28th, 2022, GIMO strengthened its commitment to serving workers by signing a partnership agreement with Bac Ninh’s Federation of Labour.
The signing ceremony was participated by Ms. Nguyen Thi Van Ha – the Chairwoman of Bac Ninh’s Federation of Labour, and Mr. Nguyen Anh Quan – CEO and Co-Founder of GIMO.
In practical terms, the agreement will allow GIMO to further engage with the Federation in improving the well-being of local workers. The Federation currently manages and represents approximately 330,000 union members workers in Bac Ninh.
“Serving workers has always been one of our top priorities,” said Mr. Nguyen Anh Quan. “Now we have an agreement in place to work closely with the Federation and enrich the lives of local workers.”
Earlier this February, GIMO partnered with the Federation to hand out 200 care packages to workers celebrating Tet away from their hometowns.
Alongside social activities, GIMO is also committed to delivering quality and reliable financial services for workers.
Ms. Nguyen Thi Van Ha commented: “According to a provincial survey, workers in industrial zones usually send two-thirds of their income home. Access to their earned wages, when they need them, would help them address their financial needs.”
The agreement took place a few weeks before Workers’ Month – an annual event initiated by The Vietnam General Confederation of Labour and held in May.
A Tet ride home with GIMO
HANOI, Vietnam – January 29th, 2022
Earlier this morning (29/01), GIMO sponsored 800 snack packs for workers and their families in Bac Giang province as they travel home for Lunar New Year (Tet in Vietnamese).
The activity is part of the “Accompanying workers on their way home 2022” event initiated by Bac Giang Labor Union of Industrial Parks. Particularly, the Union arranged 17 free buses taking workers from Bac Giang to Ha Giang, Ha Tinh, Nghe An, Thanh Hoa, etc. safe and sound.
As a sponsor, GIMO carefully selected and handed out nourishing snacks for each passenger, hoping they could all have a restful journey.
“We appreciate the opportunity to bring a bit of cheer to the workers on their way home. In 2022 and beyond, GIMO will roll out more social projects to contribute to a healthier community,” said Mr. Nguyen Anh Quan – CEO and Co-Founder of GIMO.
As the Lunar New Year comes close, everyone wishes to be home with their loved ones after a hard-working year. Unfortunately, given the prolonged pandemic, public transportation is far from optimal.
On the other hand, free buses with strict COVID-19 prevention measures and healthy light meals represent an affordable and safe option for the workers and their families.
Ms. Nguyen Thi Tram shared her story: “I feel delighted to have received immense support from the Union and GIMO this time of year, especially when the pandemic still carries on. Thank you so much!”
“This year marks the first collaboration between the Union and GIMO. We look forward to working more closely with GIMO in the future to take better care of Bac Giang’s workers”, Mr. Ngo Duc Thang, the president of Bac Giang’s Union of Industrial Park also added.
The activity is part of GIMO’s broader initiative to spread some festive cheers this Tet. Earlier this week, GIMO also handed out 200 care packages to Bac Ninh’s workers celebrating Tet away from home.
GIMO is a leading on-demand pay solution provider in Vietnam that allows employees to gain instant and safe access to their earned wages. Via the solution, the company aspires to help workers with no or limited access to mainstream financial services, alleviate financial stress, and foster financial well-being.
A Tet in Bac Ninh – Far from home yet close to the heart
HANOI, Vietnam – January 25th, 2022
Accompanied by GIMO, Bac Ninh’s Federation of Labour handed out 200 care packages to workers celebrating Tet away from their hometowns.
After a hectic year, Tet is the time for family reunion and celebration. However, hundreds of workers in Bac Ninh have chosen to stay put and welcome the year of the Tiger far from home. Amidst the prolonged pandemic, many workers worry that strict preventive measures at home may hinder their journey home and back to work after the holiday.
To ensure workers have the holiday they deserve, GIMO has partnered with Bac Ninh’s Federation of Labour to prepare 200 care packages, including handpicked Tet necessities.
Ms. Nguyen Thi Van Ha – The Chairwoman of Bac Ninh’s Federation of Labor, shared her thoughts: “We are currently taking care of nearly 400,000 workers in Bac Ninh, many of which can hardly make ends meet. Tet is quickly approaching, so the Federation and GIMO have prepared some essential gifts, for workers like you to welcome the new year with prosperity”.
“I am thrilled to have received such care and attention from both the Federation and GIMO. Though I cannot return home this year, the gifts along with loving regards really warm my heart” – Ms. H.V.A was wearing the biggest smile with the care package in hand.
On the way to becoming every worker’s companion, GIMO wishes to strengthen their financial wellbeing and take care of their daily lives.
“No matter where the workers are, they deserve a warm and fulfilled Tet. Hopefully, these gifts will add more flavor to their holiday feast. In the years to come, GIMO is committed to many other social activities, helping more workers everywhere,” said Mr. Nguyen Anh Quan – CEO and Co-Founder of GIMO.
GIMO is a leading on-demand pay solution provider in Vietnam that allows employees to gain instant and safe access to their earned wage. Via the solution, the company aspires to help workers with no or limited access to mainstream financial services, alleviate financial stress, and foster financial well-being.
GIMO backed by Silicon Valley’s Y Combinator
GIMO has been recently made the cut into Y Combinator (YC) – the high-profile Silicon Valley-based startup accelerator with an acceptance rate of only 1.5-2%.
With an acceptance rate of less than 3%, YC is one of the most renowned launchpads in the world and has backed over 3,000 companies since its inception in 2015. Top YC companies, including Stripe, Airbnb, Dropbox, Coinbase, and Reddit, among others, have a combined valuation of $400 billion as of July 2021. GIMO joins Y Combinator’s Winter 2022 batch and is one of a few Vietnamese companies to make it into the program. The incubator offers the selected startups a US$125,000 financial shot in the arm and an intensive three-month training. The program would give our co-founders – CEO Nguyen Anh Quan and CPO Nguyen Van Ngoc access to perks such as workshops, mentoring programs, and ends with Demo Day, where members present their businesses to specifically selected investors.
With the growing concern over COVID-19, the batch will be held remotely.
“The Y Combinator tag is a major validation for GIMO and takes us one step closer to solving some of the most challenging problems facing millions of underbanked workers in Vietnam and SEA. More than funding, it gives us exposure to the best practices for scaling a business in scaling our business and a large network of YC alumni and top-notch investors,” said Nguyen Anh Quan, GIMO’s Co-Founder and CEO.
Partnering with employers, GIMO provides employees with instant, safe and affordable access to their earned wage any day of the month via a mobile app. The solution thus helps businesses nurture a positive workforce while acting as their supplementary resource for reduced payroll risks.
The fintech startup currently serves 35,000 workers and is on track to cross a milestone of 180,000 users by the end of 2022.
The financing event comes only a few weeks after the company closed its oversubscribed Seed+ round at US$1.9 million with Integra Partners, Resolution Ventures, Blauwpark Partners, and TNB Aura VN Scout.
