COVID-19

ILO Viet Nam’s programme supports SMEs to strengthen resilience against COVID-19

With many enterprises having lost orders and running low on cash, many manufacturing SMEs find it difficult to provide personal protection equipment and hand sanitizers to workers and to adjust workplaces to be able to operate under the new situation and Government regulations.

News | 17 May 2020
HCM CITY (ILO News) – More than 26,000 facemasks and 5,000 hand sanitizer bottles have been distributed to 50 in-need small and medium sized enterprises (SMEs) in the woodwork and supporting industries since mid May 2020.

This is the first activity under a support package of ILO’s Sustaining Competitive and Responsible Enterprises (SCORE) programme to improve Vietnamese SME’s resilience amid the social and economic impacts of the COVID-19 epidemic.

A rapid assessment from Viet Nam Chamber of Commerce and Industry (VCCI) on the impacts of COVID-19, run in 700 enterprises, found that safety was a main concern of enterprises and their workers. A total of 69 per cent of enterprises expected occupational safety and health costs to increase by 10 to 30 per cent. With many enterprises having lost orders and running low on cash, many manufacturing SMEs found it difficult to provide personal protection equipment and hand sanitizers to workers and to adjust workplaces to be able to operate under the new situation and Government regulations.

“As a project working with small and medium-sized manufacturing enterprises, we do what we can to assist businesses to mitigate risks and restart their operations. Whether enterprises can bounce back quickly also depends on how well they protect workers,” said Stephan Ulrich, SCORE regional manager.

In the context of the COVID-19 pandemic, occupational safety and health takes on even greater importance. Besides supporting enterprises with facemasks and hand sanitizers, the SCORE programme is rolling out posters, leaflets and videos on preventing COVID-19 for workers and managers in factories. In addition, trainings on infection prevention, risk assessment and business continuity will be available online for SMEs.

“COVID-19 presents many challenges, but it is also an opportunity for businesses to review their activities, diversify products, supplies and distribution channels, ready for a 'new normal' state,” said Vo Tan Thanh, VCCI Vice President and General Director - VCCI HCM.

These activities will be implemented by the ILO, VCCI Ho Chi Minh City, Handicraft and Wood Industry Association of HCM City (HAWA), Binh Duong Furniture Association (BIFA), Binh Dinh Forestry Product Association (FPA) and the HCM City Centre for Supporting Industries Development (CSID).