Impact of wage employment in agriculture production on labor satisfaction in the Red River Delta, Vietnam

This paper attempts to identify the impact of wage employment in agricultural production on hired laborerd satisfaction in the Red River Delta of Vietnam. By analysing primary data collected from 150 hired laborers in Bac Ninh, Hai Duong, and Thai Binh provinces, we discover that hired laborers working for farm households are paid both in cash and in kind. During the employed period, hired laborers can receive two forms of wage in cash, daily wage for seasonal workers and monthly wage for long-term workers. Further, hired laborers also receive remuneration in kind such as drink, lunch, bonuses for overtime working, and Lunar New Year gifts. In order to determine factors effecting laborers satisfaction with work, the authors use Exploratory Factor Analysis and the results show that Cronbach's Alfa coefficient of each group is more than 0.6. That indicates the use of 25 observation variations belonging to 5 factors in the study is suitable. Additionally, logistic model reports that wage, remuneration, working condition, workplace training and gender of employees have a statistically significant effect on job satisfaction of laborers. Of these factors, wage and remuneration report the stronger impact on hired laborers satisfaction. However,hired laborers in farm households state that their wage and remuneration are quite low in comparison with wage of workers in off-farm sectors. Therefore, including regulation on minimum wage and remuneration of hired laborers in agricultural production in to the Labor Law is necessary to enhance hired laborers satisfaction with wage employment.