In this paper, we examine the contributions of Vietnam’s SMEs to employment and quality of
employment. We also study the impact of technological upgrading on employment in enterprises in
Vietnam including SMEs. Finally, we examine the role of education in probability in getting a job and
a decent job in Vietnam. Our results confirm that SMEs are net job creators. In addition, the main
channel of Vietnam SMEs’ technological upgrading is found to be investing in equipment, and by doing
so it expands the possibility of employment. The results also show that education plays an important
role in helping labors to get a job and a decent job. Based on these empirical results we propose some
recommendations for Vietnamese government to improve quantity and quality of jobs in the country.