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  • Compaq Retains Digital Staff in Vietnam After Acquisition
  • July 21, 1998 (HO CHI MINH CITY, Vietnam) -- Compaq Computer Corp. will not implement job reductions at Digital Equipment Vietnam after its acquisition, according to Tan Koh Hin, managing director of Compaq Computer Asia Pty.
    Tan said staff from Digital at Compaq's Hanoi and Ho Chi Minh City representative offices will receive further training to improve their customer service capabilities.

    "We have a small staff, and the company has no plans to fire anyone," Tan said. "Workers from Digital will be retrained to fit the standards of Compaq." Oudone Chandara, resident representative of Digital Equipment Corp. said he expects more business in Hanoi than in Ho Chi Minh City.

    The average monthly salary for a PC technician in Vietnam is not more than US$100. In June, due to the regional currency crisis, some foreign technology companies in the country announced job reductions. Oracle Corp. cut more than 60 percent of its Vietnam staff, while IBM Corp. and Microsoft Corp. each cut about 30 percent.

    Tan said that Compaq guarantees full responsibility for Digital Equipment Corp.'s clients in Vietnam and noted that it will handle all services related to Digital's business. Compaq is continuing its PC-related services for local users after the acquisitions of Digital Equipment and Tandem Computers.

    "We have pledged to bring new products to Vietnam as soon as they are available," Tan added.

    According to PC World Magazine Vietnam, Compaq has been the top seller among PC brands in Vietnam for the last two years.

    Compaq has not set up a branch in Vietnam, but it will do so by the end of 1998, Tan said. Both of Digital's representative offices in Vietnam will be kept under the name of Digital until Compaq opens its office.

    "We have nine retail outlets, eight service providers, and two screen repairers in Vietnam, and those numbers will increase when we open our branch in the country," Tan added.

    (David Tran, Asia BizTech Correspondent)

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    Updated: Mon Jul 20 17:59:23 1998