HCM City: 85.7 percent of firms hit by COVID-19

Wholesale and retail is the sector hit the hardest by COVID-19 in the third quarter of 2021, according to a survey by the HCM City Centre of Forecasting Manpower Needs and Labor Market Information. (Photo: VNA)

Over 85.7 percent of surveyed enterprises in Ho Chi Minh City have been affected by COVID-19 in the third quarter of 2021, according to the municipal Centre of Forecasting Manpower Needs and Labor Market Information (FALMI).

A survey by the FALMI of 11,502 local companies shows that wholesale-retail and vehicle repair were the sectors hit the hardest by the pandemic, accounting for 36.74 percent of the affected; followed by manufacturing and processing, 16.42 percent.

Meanwhile, information and telecommunications was the sector least impacted by the pandemic, making up just 3.69 percent, the FALMI reported.

Some 42.7 percent of the respondents said they were struggling in seeking customers and distributing their products; 27.15 percent found it challenging to access funding; 18.23 percent believed the provision of support policies were not timely enough; and 11.92 percent said they faced shortage of input materials.

The FALMI also reported that among more than 251,000 workers surveyed, 51.62 percent have been hurt by the pandemic. Of the affected, 48.18 percent said they had their working hours reduced; 32.21 percent lost jobs; 8.2 percent had their contract suspended; 7.45 percent took partly paid leave; and 3.96 percent took unpaid leave.

Over 39 percent of asked enterprises said they plan to cut their head count during the final months of this year.

The worst-ever COVID-19 resurgence forced HCM City to impose social distancing restrictions under Directive 16 in early July, causing local firms to suspend operation or scale down production, according to FALMI Deputy Director Phan Ky Quan Triet./.