Vietnam · Employment & Visa

Vietnam applies a Work Permit system for foreign labour with limited quotas (management/technical roles often capped on foreign proportion). Chinese firms commonly dispatch management and technical staff, who need a work permit before a temporary residence card. Local hiring is cheaper but may face skill mismatch requiring training.

Key points

Work Permit: issued by the provincial labour authority, normally ≤ 2 years, renewable.
Quota: foreign share in management/technical roles is capped; exceeding it needs proof no local can replace.
Visa: Work Permit enables a Temporary Residence Card (TRC); business visa (DN) suits pre-setup.
Social insurance: foreigners must join compulsory social insurance (phased in since 2022).
Legal representative may be foreign but must reside in Vietnam.

Procedure

Define foreign role and prove irreplaceability.
Apply for foreign-labour demand approval.
Obtain Work Permit (WP).
Enter and convert to TRC, or handle locally.
Local employees sign contracts and pay social insurance.

Hard requirements

Work Permit; local-irreplaceability proof; employer must be a Vietnam entity.

Costs

Work-permit fee; social insurance; agency fee if used.⏱ ⏱ Timeline：Work Permit 1–2 months.

⚠ Common risks

Working without a permit → fine and deportation.
Exceeding quota → approval denied.
Social-insurance compliance and bilateral-treaty disputes.

Handbook

📘 Step-by-Step Handbook (with owner / timeline / cost / penalties)

Applies to：Employment and visa compliance for Chinese-invested entities dispatching foreign management/technical staff and hiring local employees in Vietnam, under Decree 219/2025/ND-CP effective 2025-08-07 (replacing Decree 152).

Prerequisites

Vietnam entity obtained ERC and is a legal employer.
Foreign role defined (manager/executive/expert/technical); local-irreplaceability statement prepared.
Foreign employee education and experience meet Decree 219 thresholds (expert: bachelor's + 2 years relevant experience).
Know short-term engagement (≤ 90 days/year) may be exempt from work permit but needs 3-day prior labour-authority notice.

Step	Action	Owner	Timeline	Cost	Official form / system	Notes & penalties
1	Determine engagement type and exemptions Distinguish local labour contract, intra-company secondment and service contract; judge exemptions (e.g. investment ≥ VND 3 billion, short-term ≤ 90 days/year, intra-company transfer). Short-term exemption needs ≥ 3 days prior notice to the labour authority.	HR + Vietnam law firm	1 week to determine	Internal	Engagement-type analysis	Under Decree 219 only local labour contracts require recruitment announcement; secondment/service contracts exempt Penalty：Failure to notify when required is still a violation
2	Recruitment announcement (if applicable) If a foreigner is employed under a local labour contract, first post a Vietnam-national recruitment announcement for 5 working days (down from 15), on multiple websites.	HR	5 working days	Internal	Recruitment announcement	Must prove no local can replace before hiring foreigner Penalty：Hiring foreigner without announcement may get WP rejected
3	Work Permit application (integrated) Submit WP application (Form 03, integrating labour-demand statement) via the National Public Service Portal; can simultaneously apply for the criminal-record certificate; issued by the Provincial People's Committee (PPC).	Employer + foreign employee	10 working days (criminal record同步)	WP fee	Form 03 WP application & criminal record (simultaneous)	Materials: health certificate (≤ 12 months), criminal record (≤ 6 months), 4×6cm photo, education & experience proof Penalty：False materials → rejection or refusal
4	Temporary Residence Card (TRC) After WP, apply to the immigration authority for a TRC (replacing repeated visas); a business visa (DN) suits the pre-setup phase.	Foreign employee + immigration	1–2 weeks	TRC fee	TRC application	WP valid ≤ 2 years and not beyond passport validity Penalty：Working without legal residence → penalty and deportation
5	Local employees and social insurance Local employees sign labour contracts and join compulsory social insurance; since 2022 foreigners also join (bilateral treaty may exempt parts).	HR + social-insurance agency	Upon onboarding	Social-insurance contribution	Labour contract & social-insurance registration	Working in multiple provinces under same employer needs only 3-day notice, no re-issue Penalty：No contract or no insurance → penalty

✅ Self-check list

Engagement type defined (local/secondment/service). Exemptions identified (capital ≥ 3bn / short-term ≤ 90 days / intra-company transfer). Local labour contract posted 5 working days (if applicable). WP applied and issued via National Portal (Form 03). Criminal record obtained simultaneously (valid ≤ 6 months). TRC applied, passport validity sufficient. Local contracts & social insurance done; foreigner insured. Inter-provincial transfer noticed 3 days ahead.

⚠ Common pitfalls

Working without a permit影响：Individual VND 15–25 million fine + deportation; employer VND 30–45 million per head (1–10 persons).规避：Obtain permit before work; short-term ≤ 90 days/year needs 3-day notice.

WP exceeds passport validity影响：WP cannot exceed remaining passport validity; renew passport first.规避：Confirm passport validity ≥ WP term before applying.

Missing recruitment announcement → rejection影响：Local-contract foreign hire without announcement rejected.规避：Only local contracts need announcement; secondment/service contracts exempt — use the correct path.

Inter-provincial transfer not noticed影响：Deemed illegal employment.规避：Same-employer跨 province needs 3-day prior notice to local labour authority.

Social-insurance compliance dispute影响：Unclear China-Vietnam treaty application → back-payment.规避：Check China-Vietnam social-insurance treaty; clarify exemption scope.

📅 Ongoing post-incorporation obligations

WP renewal (≤ 2 years, multiple allowed).
TRC renewal and address-change notice.
Local social insurance monthly filing.
Foreign-employee insurance compliance and treaty review.
Update labour-demand statement on headcount/role changes.

🔗 Official portals

Ministry of Home Affairs (formerly Labour, Invalids and Social Affairs)National Public Service Portal National Investment Portal (foreign investment)

📎 Source：https://dolab.gov.vn

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