Human Capital and the Probability of Changing Work Mode: What Can We Learn From the COVID ‐19 Pandemic?

ABSTRACT Remote work is a new form of work and has become more popular since COVID‐19 to adapt to the new normal. However, this form of work is only suitable for certain jobs and depends on employees' access to the Internet and the use of technological tools. This paper illustrates the relationship between human capital and the probability of changing the work mode of waged workers in Vietnam during COVID‐19 based on the 2022 Labor Force Survey data. Employing logistic regression analysis, this study finds that waged workers with higher education, longer working duration, and those using IT at work before COVID‐19 are associated with a higher probability of switching to remote work. Moreover, those with better jobs and occupations are associated with higher odds of changing work mode during COVID‐19. The findings suggest that the ability to switch to remote work during shocks reveals a new dimension of labor market inequality. Policies ensuring social protection and promoting human capital for the labor force therefore contribute to long‐term employment security and work flexibility, especially during unforeseen shocks. It is even more meaningful as the Vietnamese government is promoting the rapid development of the digital economy and citizens' IT level.