EOR Vietnam
Seamless hiring in Vietnam with EOR
An Employer of Record (EOR) is your one-stop solution to employ and manage workers efficiently in Vietnam! Your Employer Of Record (EOR) takes care of:
- HR Administration
- Payroll
- Compliance
Leading enterprises across all industries rely on us
Facts & stats about working in Vietnam
VND ₫
Salary payment currency
English / Vietnamese
Contract language
48
Working hours per week
Differs across regions
Min. hourly salary
23.5%
Employer cost
11
Bank holidays per year
Employ staff in Vietnam hassle-free with EOR
The all-in-one guide to hiring in
Vietnam
Hire and manage your workforce anywhere in APAC
Contracts & Agreements
By law, employers in Vietnam are required to give a written agreement to their employees. This agreement must state the role, salary, benefits and responsibilities clearly along with the rules of termination of contract, if any.
Definite-term Contracts
A definite term contract provides a set duration for the association of the employee with the project or company. This contract can be renewed if both parties mutually agree to the terms.
Indefinite-term Contracts
This contract is issued when both, the employee and employer, define terms for the association of the employee with the project or company. However, the duration of the association and the date for the termination of the contract are not defined.
With An EOR solution, your employees sign a legal contract with the Employer Of Record while they share a normal working relationship with you.
Compensation & Benefits
Minimum Pay
There are two types of minimum wages in Vietnam. The minimum wage for a state-owned organization differs from that of the non-state-owned organizations. It also varies across four regions, often ranging from VND 3.25 million to VND 4.68 million per month.
Payout Cycle
The payroll cycle in Vietnam is monthly. Employees are usually paid on the last working day of the month.
Working Hours
The total number of hours per week is capped at 48, wherein the employee is expected to work for 8 hours a day.
Guaranteed Benefits
- According to Vietnam’s Labor Code, employers are bound to provide certain mandatory benefits such as health insurance, annual paid leaves, protection against discrimination and severance pay in case of termination of contract.
- Other than that, some employers also offer discretionary benefits such as house and travel allowance, school fees and more.
- After an employee completes a year of service, employers also provide a 13-month bonus. This bonus is normally paid before the Lunar New Year Holiday.
Ask us for a Salary Benchmark for your EOR worker.
Your one-stop solution to all your HR tasks: Employer of Record (EOR)
Taxes & Costs
Tax for Employees
This ranges from 5% to 35%, depending on your income bracket:
| Taxable income band (VND) | National income tax rate | |
|---|---|---|
|
Up to 5 million VND |
5% |
|
|
Over 5 to 10 million VND |
10% |
|
|
Over 10 to 18 million VND |
15% |
|
|
Over 18 to 32 million VND |
20% |
|
|
Over 32 to 52 million VND |
25% |
|
|
Over 52 to 80 million VND |
30% |
|
|
Over 80 million VND |
35% |
|
Employer Cost
The employer is required to contribute 17.5% of the local employee's salary to social insurance, 3% to health insurance, and 1% to unemployment funds, which amounts to 21.5% overall. By law, employers are also required to contribute 2% as Trade Union fees.
The maximum monthly salary that is subject to Social Insurance, Health Insurance, and Trade Union Fee is capped at 29,800,000 VND (which represents 20 times the Minimum Basic Wage). Meanwhile, the maximum monthly salary that is subject to Unemployment Insurance is capped at 20 times the Minimum Monthly Wage of the Zone the Employer is in.
Ask us for a Gross to Net simulation or a Total Employment Cost calculation for your EOR worker.
Leaves
Every employee working in Vietnam is provided different types of leaves throughout the year. These include:
Annual Leave
The Labor Code requires employers to give 12 days of paid annual leave to the employees. After five years of service, an additional day of paid annual leave is stipulated.
Sick Leave
Sick leave is covered by the social insurance fund and calculated according to years of contributions.
At a minimum, if there is less than 15 years of contributions made to the Social Insurance Fund, then 30 days of sick leave per year is provided.
Maternity Leave
Maternity leave is covered by the social insurance fund where an employee has contributed for 6 months. Female employees are entitled to a total of 6 months maternity leave (a maximum of 2 months can be taken prenatal whilst the remainder postnatal).
In addition to these leaves, employees are provided 11 days of public holidays. For a full list of leaves and public holidays that your new hire in Vietnam is entitled to,
talk to one of our experts.
Termination & Severance
Termination
By law, the employer and employee are both bound to give a notice. When a termination is initiated by an employer, a notice period of 30 days is required for definite period contracts whilst 45 days is required for indefinite period contracts.
Severance Pay
If the terminated employee has been working for greater than 12 months with the employer, they will receive half a month’s wages for every year of service in the organization. For example, if the employee has been working with the company for a year, they are entitled to receive 15 days of salary.
Ready to expand your business across multiple countries in the APAC region?
Why choose an Employer Of Record (EOR)
in Vietnam?
An Employer Of Record (EOR) solution is relevant for multiple use cases:
- Enter new markets & quickly expand internationally with ease.
- Hire skilled talent in a foreign location.
- Avoid contractor misclassification & convert contractors to employees.
- Mobilize existing talent for secondment or remote opportunity.
- Focus on core business activities while you outsource HR administration.
Why trust BGC as your Employer Of Record (EOR)?
Industry Expertise
Since 2005, BGC has an extensive experience and proven track record of earning the trust of numerous clients.
Technology Leverage
Streamline operations with advanced technology which result in quicker time to onboard and pay.
Cost-effective pricing
Transparent and affordable monthly pricing that allows you to scale your workforce without any hassles.
Talk to us and make hiring in APAC a breeze!
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