Many companies allow remote work for employees as fuel prices rise

Many technology and manufacturing companies are allowing employees to work from home or providing fuel support as energy prices rise sharply, increasing pressure on operating costs and consumer spending.

Energy price surge drives remote-work moves

At the end of February, the creative advertising firm Project Pluto opened an office in Vuon Lai ward, Ho Chi Minh City, after nearly four years of remote-work. However, after just two weeks in the office, fuel prices surged, prompting the company to revert to its earlier approach. A Project Pluto representative said the firm decided to have staff work from home again to ease commuting costs.

With the Middle East conflict entering its fifth week and the closure of the Hormuz Strait contributing to higher energy prices, costs for goods, services and consumer spending have come under pressure. From 23:30 on April 2, gasoline RON 95-III and diesel increased to 25,150 and 40,820 dong per liter, respectively. The gasoline price is nearly 25% higher than at the end of February, while diesel is more than double.

Government guidance and company responses

In response to unpredictable energy costs, the Prime Minister asked agencies, businesses and people to adopt energy-saving measures. The Ministry of Industry and Trade encouraged companies to allow employees to work from home when possible to reduce commuting.

On March 10, when gasoline rose above 29,000 dong, Thanh Giong Computer Company decided to allow 20% of staff to work from home, reducing commuting from mid-March. The company said roles that can be performed remotely include R&D, sales and support. Le Hoang Duong, R&D Director of Thanh Giong Computers, said the measure was among staff-support steps proposed by the board of directors soon after the Middle East conflict began.

Since mid last week, Sacombank has introduced flexible work for headquarters staff. Depending on job requirements, employees can choose to work from the office or online, but must maintain productivity and comply with information-security regulations.

5S Media, a media and advertising company, approved online work on Wednesdays from April 1. CEO Hang Pham said that if performance is maintained, the company will keep the policy long term rather than treating it as a temporary response to rising fuel prices.

Cost and energy savings beyond commuting

Project Pluto’s representative said that in creative work, performance does not depend on employees being in the same location. In addition to reducing commuting fuel costs, remote work can help lower electricity consumption at the office and optimize operating costs, including electricity, water and facilities.

Remote-work models are also being applied in manufacturing groups for certain positions. Viet Uc Group allows back-office staff to work flexibly. A Viet Uc representative said the company cannot apply a universal work-from-home mechanism, but needs to rethink how work is organized to reduce operating pressure when energy costs rise.

Broader measures: logistics, energy generation and business continuity

Many organizations are also studying delivery routing optimization and increasing the use of fuel-saving vehicles over the long term. Some companies have installed solar panels to save energy, while green transport solutions are being considered to reduce reliance on fossil fuels.

In practice, many organizations have prepared business-continuity plans (BCP) to prevent disruptions. VNG has flexible and remote-work plans ready to activate when needed. Viet Uc said that if energy prices push operating costs beyond forecast, it will activate BCP and other measures to reduce travel and increase the share of employees working online.

Regional outlook and policy recommendations

In a late-March report, the Asian Development Bank (ADB) said developing economies in Southeast Asia, including Vietnam, could see GDP fall by 0.6% to 2.3% while inflation could rise by up to 3% in war scenarios. The ADB recommended controlling energy demand, including through remote work or flexible scheduling and city-wide no-car days to reduce fuel consumption.

The International Energy Agency (IEA) also recommended measures such as carpooling, using public transport and avoiding air travel.