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:

No more than US $300/employee/month

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

1st Jan - 31st Dec

Tax cycle

5%-35%

Employee tax

Employ staff in Vietnam hassle-free with EOR

Costs no more than US $300/employee/month

The all-in-one guide to hiring in
Vietnam

Contracts & Agreements

Compensation & Benefits

Taxes & Costs

Termination & Severance

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.

Visa

There are different kinds of work visas issued by the relevant Vietnamese authorities. These include, but are not limited to:

Business Visa (DN)

This visa allows individuals to enter Vietnam for business purposes, including short-term work assignments. However, it doesn't permit extended stays for employment. A single-entry DN visa is valid for 30 days, while a multiple-entry DN visa allows you to enter and exit multiple times in a specified period ranging from 3 months to a year.

Long-term Work Permits

Long-term work permits can be obtained as per the duration of your contract or may last up to 3 years. Post this period, you’ll be required to re-apply to continue working in Vietnam.
Please get in touch with one of our experts to learn which visa your employee needs to get before beginning work in Vietnam.

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

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:

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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Jarrod Reidy

Director - HR Outsourcing (APAC)