Build Compensation & Benefits Policies to Win and Retain Semiconductor Talent in Da Nang
August 25, 2025
The hunt for talent in the semiconductor industry has become an all-out global battle. Vietnam currently faces a severe shortage of high-quality professionals, and its R&D ecosystem isn’t yet competitive with the world's major tech hubs. This often leads talented people with a passion for research or big career goals to work abroad or for multinational corporations. But things are changing—fast. The Vietnamese government, led by the city of Da Nang, is launching first-of-their-kind support policies worth up to 873 billion VND (approx. 34.92 million USD). So, how can your business use this unique chance to design an exceptional compensation strategy and win the race for semiconductor talent?
Key takeaways
- Da Nang’s new talent policies offer unprecedented support, giving businesses a powerful lever to build globally competitive compensation packages for the semiconductor industry.
- A total compensation package—including top-tier income, relocation support, and a creative work environment—will determine who wins the race for talent.
- Companies must act now to take advantage of this golden opportunity before the competition for semiconductor talent heats up even more.
Vietnam’s semiconductor strategy is showing strong signs of progress, with attractive starting salaries from 10-20 million VND (approx. 400-800 USD) for new graduates to as high as 150 million VND (approx. 6,000 USD) for experienced experts. However, to truly compete with global tech centers, companies need a total rewards strategy that goes well beyond the base salary.
1. A groundbreaking income and bonus package, sponsored by public policy
The Vietnamese government has created a unique opportunity for businesses by offering direct financial support. These aren’t just simple subsidies; they’re a foundation for building a globally competitive compensation strategy without bearing the full cost.
1.1 Globally Competitive Starting Income
Companies can now construct a competitive income package with one-time support of up to 100 million VND for each expert hired. This support is directly funded by Da Nang’s talent attraction policy for semiconductor specialists and scientists working in the private sector.
The eligibility criteria for these experts include:
- An income of 1 billion VND/year in Vietnam or 5 billion VND/year abroad.
- A Ph.D. from a top-400 world university.
- A minimum of 3 years of experience in a key position at a company with revenues of 2,500 billion VND or more.
This ensures that the recruited semiconductor talent meets international standards while establishing a starting income level competitive with both the average salary in Vietnam and developed markets.
1.2 Bonus Policy for Innovation
One of the breakthroughs of the new policy is the direct reward for inventions and patents:
- 25 million VND for a domestic patent.
- 50 million VND for an international patent.
This policy creates a powerful incentive for employees to focus on R&D and helps companies build a reputation for innovation without a significant initial investment. Designing an effective method for allocating bonuses will help businesses optimize the impact of this support.
1.3 A Base Salary That Surpasses the Market
The most significant advantage is the policy supporting 30% of the hiring costs for high-level personnel, with a total support cap of 1 billion VND/year/company for the first 5 years. This allows businesses to substantially increase their salary funds, creating competitive income levels to attract and retain talent.
The experience of Marvell Vietnam—expanding from 300 to nearly 400 engineers in one year with a planned 20% annual growth—demonstrates the potential for developing human resources in the semiconductor industry in the near future. The semiconductor sector is currently among the top industries for investment in Vietnam, especially with strong support from public policy. This personnel cost support will make similar growth plans more feasible for other companies.
2. A Comprehensive Relocation and Life Stabilization Package
Lessons from global technology hubs show that quality of life is a decisive factor in attracting and retaining talent. The case of San Francisco, which saw a wave of talent depart not because of low salaries but due to a declining quality of life, is a valuable lesson.
Financial and logistical support includes:
- Accommodation costs up to 20 million VND/month during the first year.
- 100% payment of one-time round-trip airfare.
- An income of 50 million VND/month for those working in public agencies (up to 1 year).
With these expenses paid directly by the city, companies can offer a professional and thoughtful welcome package without impacting their operating budget. This is particularly valuable when businesses need to support expats working in Vietnam’s high-tech sector.
Working and living in Da Nang offers a distinct advantage in terms of quality of life. The city is rated as one of the most livable places in Vietnam, with a clean environment, modern infrastructure, and excellent security.
Companies should actively promote this advantage as an integral part of their compensation package. This represents an “upgrade” in living standards that not every technology hub can offer, especially as many major cities worldwide grapple with pollution and security issues.
3. Building a Creative Work Environment and Ecosystem
One of the greatest challenges in attracting semiconductor talent is creating an environment where they can truly develop their careers, not just “work”. This requires investment in world-class research and development infrastructure.
3.1 Investing in R&D and Empowering Talent
The government has committed to allocating at least 10,000 billion VND/year to build world-class laboratories. Businesses need to proactively connect with these investment programs to create modern workspaces where talent can access the most advanced technologies.
Another critical factor is allowing experts to own or co-own their research results, inventions, and patents. This policy not only provides a financial incentive but also demonstrates respect and recognition for the intellectual contributions of employees.
3.2 Creating a Professional and Open Work Culture
The experience from Marvell shows that instead of focusing solely on salary and bonuses, companies should strive to provide an ideal working environment with a clear development path. Helping engineers access the latest, most advanced technologies will foster a sense of security and long-term commitment.
An open work culture that encourages creativity and accepts research-related risks is also a key element. This requires a shift in management mindset from tight control to empowering and trusting the team of experts.
4. Building an Internal Talent Pipeline and Clear Career Paths
A long-term semiconductor industry development strategy cannot stop at attracting external talent; it must also build a sustainable internal workforce. This demands close coordination with the education and training system.
4.1 Collaborating Closely with Universities
The current training landscape in Da Nang:
- 4 universities are now offering microchip engineering programs.
- 320 students have been enrolled since August 2024.
- The goal is to produce
5,000 semiconductor microchip engineers by 2030.
Companies need to proactively collaborate to place talent orders, participate in curriculum development, and provide practical internship opportunities. By leveraging the city’s policy that supports 50% of training costs, businesses can organize specialized courses to enhance the skills of both students and their current teams without shouldering the entire expense.
4.2 Implementing Tuition Loan Programs for Potential Students
The policy allowing students to borrow up to 180 million VND for tuition—with 100% of the principal and interest waived if they work for at least 3 years in the industry—is a golden opportunity. Companies can act as intermediaries, guaranteeing talented students and committing to hiring them after graduation.
This model not only helps build a loyal workforce from the ground up but also fosters a long-term bond between employees and the company. To maximize effectiveness, businesses should attract the new generation of workers through clear career paths and respectful management.
4.3 Creating an Attractive Career Path
One of the primary reasons top talent leaves is a lack of career development opportunities. Businesses must develop and clearly communicate the progression pathways within the organization, from entry-level engineer to technical leadership roles.
Having a clear vision of their professional future will give employees the confidence to stay and grow with the company instead of seeking opportunities elsewhere. Notably, the semiconductor industry is among the top jobs for rapid salary growth, creating a strong incentive for employees to commit long-term to an organization.
The government has rolled out the red carpet with unprecedented support policies. Now is the time for business leaders to become masterful architects, transforming these policies into a comprehensive and irresistible compensation package for recruiting in the semiconductor industry. This is no longer just a task for the HR department; it is a strategic challenge that will determine a company’s position in the global race.
To succeed in implementing this strategy, businesses must systematically build and evaluate their benefits policies, ensuring they optimize costs while remaining competitive enough to attract and retain talent.
Download the comprehensive PDF on the policies and current state of the semiconductor and AI ecosystem development in Da Nang to gain a complete overview and build a suitable talent attraction strategy for your business.
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