Vietnam’s booming economy and growing integration into global trade have made it an increasingly attractive destination for international businesses. As a result, the demand for hiring foreign workers in Vietnam has surged across key sectors like education, manufacturing, information technology, hospitality, and finance. However, navigating Vietnam’s labor laws, work permit regulations, and immigration procedures can be complex. This 2025 guide provides a complete overview of how to legally hire foreign employees in Vietnam, including work visa types, legal requirements, compliance steps, and how Green NRJ can support your business in every phase of the hiring process.

1. Legal Framework for Hiring Foreign Workers in Vietnam

Hiring foreign employees in Vietnam is strictly regulated under the Vietnam Labor Code and related immigration laws. The legal framework is designed to ensure that foreign workers are only employed in positions where qualified Vietnamese candidates are not available, while still enabling businesses to access specialized international expertise.

Key Legal Requirements for Hiring Foreign Employees in Vietnam

1. Justification for Hiring Foreign Workers

Employers must provide a clear explanation and justification for why the job position requires a foreign national instead of a local Vietnamese worker.
Acceptable reasons typically include:

• Specialized language skills (e.g., native speakers for teaching roles or translation).
• International qualifications or certifications not widely available in Vietnam.
• Niche industry experience or technical expertise that cannot be sourced locally.

This justification must be submitted as part of the foreign labor demand report (explained below) and is subject to approval by the authorities.

2. Foreign Labor Demand Report – Government Pre-Approval

Before recruiting any foreign employee, the employer is legally required to submit a foreign labor demand report to the Department of Labor, Invalids and Social Affairs (DoLISA).

Note: In Ho Chi Minh City, following a recent administrative restructuring, this function is now handled by the Department of Home Affairs due to the merger of DoLISA into it.

The report must be submitted at least 15 working days prior to the intended hiring date.
It must include details about the job position, justification for hiring a foreign worker, and expected duration of employment.

• DoLISA reviews and issues an official approval if the position is deemed suitable for a foreign hire.

3. Mandatory Work Permit

Foreigners working in Vietnam for more than 3 months must obtain a valid Vietnam work permit, unless they qualify for an exemption.
Key conditions include:

• The employee must have at least 3 years of relevant professional experience.
• Educational qualifications must match the job role.
• Work permits are typically valid for up to 2 years and may be renewed under specific conditions.

Employers are responsible for applying for the permit on behalf of the foreign employee and ensuring it remains valid during employment.

4. Labor Law Compliance

Companies employing foreign workers must comply with all relevant Vietnamese labor laws, including:

• Signing legal employment contracts with foreign workers.
• Ensuring compliance with minimum wage regulations.
• Registering for and contributing to social insurance schemes (if required).
• Maintaining accurate records of employment and reporting changes to DoLISA.

2. Work Permit Process in Vietnam

Obtaining a Vietnam work permit is a mandatory step for most foreign nationals working in the country for over 3 months. The process involves two main stages: securing government approval to hire a foreign worker and submitting a formal work permit application. Understanding and complying with these steps is essential to avoid legal issues or delays.

Step 1: Register job vacancy and seek approval to employ a foreign worker

Before submitting an application for a work permit, the employer must first post a job vacancy on the National Employment Service Portal (http://vieclamvietnam.gov.vn) or the Employment Service Center under the local DoLISA for at least 15 consecutive days.

If no qualified Vietnamese worker is recruited during this period, the employer may then submit a foreign labor demand report to the Department of Labor, Invalids and Social Affairs (DoLISA) for approval to employ a foreign worker.

 This procedure is regulated under Decree No. 152/2020/ND-CP, as amended by Decree No. 70/2023/ND-CP, regarding foreign workers working in Vietnam and the recruitment and management of Vietnamese workers working for foreign organizations and individuals in Vietnam.

Note: In Ho Chi Minh City, due to the recent merger of departments, this step is currently handled by the Department of Home Affairs (DoHA), which has taken over this function from DoLISA.

Step 2: Approval to Hire Foreign Workers

After the job posting period, if no suitable Vietnamese candidates are recruited, the employer must submit a foreign labor demand report to the Department of Labor, Invalids and Social Affairs (DoLISA) (or the Department of Home Affairs in HCMC) to seek official approval to hire foreign workers. 

This is also regulated under Decree No.152/2020/ND-CP, amended by Decree No. 70/2023/ND-CP.

The report must include:

• Proof of recruitment efforts (e.g., job postings, interview records).
• Justification for hiring a foreign worker (e.g., lack of qualified Vietnamese candidates)
• The proposed job title, responsibilities, and qualifications required.

This approval must be secured at least 15 working days before the intended employment start date.

Step 3: Vietnam Work Permit Application

Once the company receives approval to hire a foreign worker, the next step is to submit a work permit application to DoLISA. The required documents include:

• Application form (Form 11/PLI issued by the Ministry of Labor)
• A valid medical certificate issued within the past 12 months
• A police clearance certificate issued by the foreign worker’s home country, or from Vietnam if the worker has been residing in Vietnam for six months or longer.
• University degree or higher (relevant to the job position)
  Certificate of work experience (at least 3 years in a relevant role)
• Certified copy of passport
• Notarized Vietnamese translations of all foreign documents
  Consular legalization of documents issued abroad (except where exempted under bilateral agreements)

Important: All foreign documents must be legalized by the consulate and translated into Vietnamese by a certified translator to be accepted by authorities.

Work Permit Validity and Extensions

• Initial validity: Work permits in Vietnam are typically valid for up to 2 years.
• Renewals: Employers can apply for an extension before the permit expires, subject to eligibility and continued compliance.

3. Work Visa Types for Foreign Employees

Foreign workers in Vietnam must obtain the appropriate work visa to legally work and reside in the country. The most common work visa types include the DN, LD, and other specialized visas, each designed for specific purposes. Below is an overview of the main visa types, their requirements, and durations.

Common Work Visa Types for Foreign Nationals in Vietnam

Visa Type	Purpose	Requirements	Duration
DN1	Business visa for those working with Vietnamese entities	Passport, sponsor letter, proof of financial status	Up to 12 months
DN2	Business visa for service providers under international treaties	Same as DN1	Up to 12 months
LD1	Long-term visa for foreign workers exempt from work permits	Work permit exemption certificate	Up to 2 years
LD2	Long-term visa for foreign workers with valid work permits	Valid work permit	Up to 2 years

Temporary Residence Card (TRC) for Foreign Workers

Once a foreign worker secures a valid work visa, they can apply for a Temporary Residence Card (TRC). The TRC offers several benefits, including:

• Multiple entries without the need for a visa renewal.
• Residence in Vietnam for up to 2 years, depending on the visa type.

A Temporary Residence Card is particularly useful for foreign employees working in Vietnam for extended periods, as it streamlines entry and exit processes.

4. Delegation (NN) Visas for Managers and Executives

Foreign executives and managers overseeing representative offices, branches, or trade promotion organizations in Vietnam may qualify for a Delegation (NN) Visa. These specialized visas are designed for high-level foreign professionals involved in leadership roles within various organizations in Vietnam.

Common Types of Delegation (NN) Visas

Visa Type	Eligibility	Validity
NN1	Chief Representatives of foreign NGOs or offices	Up to 1 year
NN2	Heads of branches, foreign trade offices, and other organizations	Up to 1 year
NN3	Employees of NN1 and NN2 organizations	Up to 1 year

Requirements for Delegation (NN) Visas

To obtain an NN Visa, applicants must provide supporting documents that demonstrate:

• Investment proof: Showing the foreign entity’s investment in Vietnam.
• Appointment letters: Confirming the individual’s role in the company or organization.
  Business operation documents: Validating the active business operations in Vietnam.

These documents are essential to meet the eligibility criteria for the visa and to ensure the applicant’s role aligns with the requirements for a Delegation Visa.

5. Payroll, Tax, and Labor Compliance for Foreign Workers

Foreign workers in Vietnam are entitled to the same employment rights and obligations as local Vietnamese employees. Employers must adhere to local labor laws to ensure compliance with payroll, tax, and social insurance requirements. Below are the key requirements foreign workers and their employers must follow:

1. Labor Contracts for Foreign Employees

Foreign workers in Vietnam must have a written labor contract in place before they begin working. The contract should outline:

• Job title, duties, and salary.
  Working conditions, including hours of work and benefits.
  Duration of employment, and whether it is temporary or permanent.

This labor contract must comply with Vietnam’s Labor Code and must be signed by both the employee and employer.

2. Personal Income Tax (PIT) for Foreign Workers

Foreign employees are required to pay Personal Income Tax (PIT) on all income earned within Vietnam. The tax system is progressive, meaning that the rate increases as income rises. The tax rates range from 5% to 35%, depending on the level of income.

• Taxable income includes salary, bonuses, allowances, and other benefits provided by the employer.
• Foreign employees may also be subject to tax treaties between Vietnam and their home country, which could affect the tax rate or offer exemptions.

Employers must assist in the PIT registration process and ensure timely tax payments to the Vietnam General Department of Taxation.

3. Social Insurance Contributions

Foreign workers who have a valid work permit and are employed under a labor contract with a term of one year or more are required to participate in Vietnam’s compulsory social insurance system, in accordance with local regulations. These contributions include:

• Health insurance.
• Social insurance (retirement and disability benefits).
• Unemployment insurance.

Employers must deduct these contributions from the worker’s salary and submit payments to the appropriate authorities.

4. Annual Leave and Benefits

Foreign employees in Vietnam are entitled to the same leave benefits as Vietnamese workers, including:

• Annual leave: Foreign workers must receive at least 12 days of paid leave per year.
• Overtime pay: Overtime compensation must comply with Vietnam’s Labor Code.
• Workplace safety: Employers are responsible for maintaining a safe work environment for all employees.

Employers must ensure that foreign employees have access to equal treatment in terms of benefits, workplace safety, and rights related to annual leave.

5. Non-Compliance Consequences

Failure to comply with Vietnam’s payroll, tax, and labor laws can lead to serious consequences, including:

• Fines for the employer or worker.
• Deportation of foreign workers for violations of immigration or labor laws.
• Suspension of the company’s business license or temporary shutdown.

It is essential for businesses to ensure full compliance to avoid penalties and ensure smooth operations in Vietnam.

6. How Green NRJ Can Support Your Company

Green NRJ is your trusted partner in Vietnam for hiring and managing foreign employees legally and efficiently. Our services cover:

 Full-Service Work Permit & Visa Processing

• Preparation and submission of all documentation
• Legalization and certified translation of foreign documents
• Direct liaison with government agencies to avoid delays

Justification & Labor Use Reporting

• Drafting and submitting foreign labor demand reports
• Position justification strategies for approval

Payroll & Tax Compliance

• Accurate payroll calculation including PIT and social insurance
• Monthly/quarterly tax filings
• Compliance audits and advisory services

TRC and Long-Term Residency Support

• End-to-end application handling for Temporary Residence Cards

Advisory on Exemptions and Business Visas

• Determine optimal visa strategy (LD, DN, NN, or exemption)
• Business visa arrangements for short-term experts

Get Started with Green NRJ
Schedule your free consultation today to ensure your hiring process is fast, compliant, and hassle-free.

7. Frequently Asked Questions (FAQ)

• Can a foreigner work in Vietnam without a work permit?

          No, except for those under exemption categories (intra-company transferees, short-term experts, international agreements).

• How long does it take to obtain a work permit?

           Typically 3 to 5 weeks, depending on document readiness and local approvals.

• What is the maximum validity of a work permit?

          24 months, with the possibility of renewal.

• Do work permits apply to freelance or remote foreign workers?

           If the individual resides and works physically in Vietnam, a permit is still required regardless of remote status.

• Can Green NRJ help renew a work permit?

          Yes, we offer full renewal and extension services, including documentation updates and TRC reissuance.

Need Expert Help to Hire Foreign Workers in Vietnam?
Let Green NRJ be your partner in ensuring full legal compliance, smooth operations, and successful onboarding of international talent.

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