In the first half of 2025, Vietnam Airlines’ most notable achievement was its consolidated pre-tax profit of VND 6,716 billion, a 20% increase compared to the same period last year.
Along with positive business results, the compensation policy for senior executives has also been adjusted. The total salary and remuneration for the Board of Directors, Board of Management, and Supervisory Board in the first six months amounted to VND 7.09 billion, a roughly 25% increase from the previous year’s figure of VND 5.68 billion.
Specifically, the income of Chairman of the Board, Dang Ngoc Hoa, increased from VND 572 million to VND 793 million, while that of CEO Le Hong Ha rose from VND 507 million to VND 701 million.
The increase in income is not exclusive to the leadership team. The airline has also announced a new compensation policy for all employees, effective July 2025.
Vietnam Airlines implemented a 6% increase in positional allowances and added half a month’s salary, along with enhancing other benefits such as health insurance and meal allowances. This is a significant move to retain talent after a prolonged period of financial constraints.
However, Vietnam Airlines still faces challenges. Deloitte’s reviewed report highlighted concerns about the company’s ability to continue operating with negative equity of VND 3,099 billion. Short-term debt currently exceeds short-term assets by VND 34,290 billion (nearly USD 1.4 billion)
Compared to regional competitors, Vietnam Airlines’ personnel cost indices are lower than those of Thai Airways and Singapore Airlines.
| Index & Data (estimated) | Vietnam Airlines (6M 2025) | Thai Airways (6M 2025) | Singapore Airlines (Q1 FY 2025/26¹) |
| Total number of employees | 23,173 | 16,000 | 23,894 |
| Revenue (VND billion) | 58,550 | 67,323 | 90,538 |
| Profit (VND billion) | 6,716 | 17,163 | 7,645 |
| Personnel cost/Revenue | 8.7% | 10.4%² | 19.3%² |
| Personnel cost/Operating cost | 10.0% | 14.0%² | 21.1%² |
| Leader’s income/Profit | 0.106% | 0.111%² | 0.627%² |
¹ Singapore Airlines’ data is for the most recent quarter (30/3/2026 – 30/06/2025), which differs in financial year from Vietnam and Thailand)
² The ratios for Thai Airways and Singapore Airlines are estimated based on cost structure from the latest annual report as detailed 6-month report is not yet public.
Thai Airways, a similar case that underwent restructuring, has a leader’s income-to-profit ratio (0.111%) almost identical to Vietnam Airlines’ (0.106%), indicating both airlines’ cautious compensation policies during their recovery phase.
However, the story differs when comparing it to Singapore Airlines. After a record profit of SGD 2.78 billion in the financial year 2024-2025, the CEO of Singapore Airlines received remuneration of up to SGD 8.1 million (approximately USD 6 million), which is 20 times higher than the annual converted income of the Chairman of Vietnam Airlines.
Notably, Singapore Airlines rewarded its employees with nearly eight months’ worth of salary. Their total personnel cost equaled 158% of their pre-tax profit.
While the profit turnaround is a positive sign, it is just the beginning. Vietnam Airlines’ core challenge lies in re-establishing a solid financial foundation, a path that Thai Airways has already embarked upon.
The future of the national carrier now rests on the success of its plan to raise an additional VND 9,000 billion in capital and restructure its debts by 2027.
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