Hiring guide · APAC
How to hire in Vietnam
To hire in Vietnam you need a licensed local entity contributing to social, health and unemployment insurance, or an Employer of Record that holds one. Employer contributions are around 21.5% of salary up to statutory caps, and labour contracts must follow prescribed statutory types.
- Currency
- VND
- Payroll cycle
- Monthly
- Employer cost
- ~21.5%
- Notice
- 30–45 days
The talent market in Vietnam
Vietnam has become the fastest-growing offshore engineering base in Southeast Asia, with large developer populations in Ho Chi Minh City, Hanoi and Da Nang and costs well below India's tier-one cities for comparable mid-level talent.
The Labour Code prescribes contract types — definite-term up to 36 months, or indefinite — and limits definite-term renewal to one, after which the relationship becomes indefinite. Getting the contract type right at the outset avoids an unintended permanent commitment.
Salary benchmarks in Vietnam
Indicative annual gross base salary in VND for common roles. Treat these as planning ranges — actual offers move with city, seniority, sector and equity mix, and we model a live benchmark before you go to offer.
| Role | Annual gross base |
|---|---|
| Software engineer (mid) | VND 450,000,000 – 750,000,000 |
| Senior software engineer | VND 750,000,000 – 1,300,000,000 |
| Account executive (SaaS) | VND 500,000,000 – 900,000,000 incl. variable |
| Customer support specialist | VND 180,000,000 – 300,000,000 |
Employment rules and payroll in Vietnam
The statutory framework any offer has to sit inside — hours, leave, notice and the contributions that turn salary into fully loaded cost.
Working week
48 hours maximum; 40 hours is standard for office roles
Probation
Up to 60 days for most roles, at not less than 85% of pay
Notice period
30 days for definite-term, 45 days for indefinite contracts
Paid leave
12 days after twelve months, plus one extra day per five years of service
Public holidays
11 days, with Tet spanning several
Payroll cycle
Monthly, with a 13th month bonus convention
Employer contributions
~21.5%: social insurance 17.5%, health insurance 3%, unemployment insurance 1%, subject to caps
Contractor, EOR employee or your own entity?
Three ways to engage someone in Vietnam. The right one depends on how permanent the role is, how much direction you give, and how much local risk you want to carry.
Contractor
Fastest to start and simplest to end. Suitable for genuinely independent, project-scoped work where the person controls how and when they deliver, invoices you, and works for other clients. No statutory benefits, no notice period, no severance.
Employee via EOR
The right structure for a full-time role with fixed hours, managerial direction and exclusivity. A licensed in-country partner is the legal employer, so the person gets a compliant contract, statutory benefits and local payroll — without you opening an entity.
Your own entity
Worth it once headcount, permanence and local revenue justify the incorporation, tax registration, statutory filings and local directorship. Most companies reach that point somewhere between 15 and 30 employees in a single country.
Misclassification risk in Vietnam
Vietnamese law requires a labour contract wherever paid work is performed under management and supervision. Using a service contract for a full-time role exposes the client to retroactive insurance contributions with penalties, and the arrangement will not survive a labour inspection.
Work permits and right to work
Foreign nationals need a work permit sponsored by a locally licensed entity, requiring a degree plus three years' relevant experience, legalised documents and a health check, followed by a temporary residence card. Allow two to three months from offer to start.
Hire in Vietnam without an entity
TalentStores orchestrates Employer of Record employment in Vietnam through licensed in-country partners, with cost modelled before you extend an offer.
Explore Employer of Record- Fully loaded cost modelled before offer
- Licensed partner matched, not assumed
- One contract, one consolidated bill
Hiring in Vietnam: frequently asked questions
Can we hire in Vietnam without a local entity?
Yes. A Vietnamese Employer of Record employs the person under its own licence, registers them for social, health and unemployment insurance, issues a compliant Vietnamese-language labour contract, and can sponsor a work permit for eligible foreign hires.
What does a Vietnamese employee cost above salary?
Around 21.5% in employer contributions — social insurance at 17.5%, health at 3% and unemployment at 1% — calculated on contractual salary up to statutory caps set as multiples of the base and regional minimum wages.
How do Vietnamese labour contract types work?
Contracts are either indefinite or definite-term up to 36 months. A definite-term contract may be renewed only once; if the person keeps working beyond that, the relationship converts to indefinite by law, with the longer notice that implies.
Related
Hiring guides by country
Compare salaries, employer cost and employment rules across every market we cover.
ExploreGlobal payroll
One consolidated payroll view across every country, partner and currency.
ExploreContractor payments
Onboard, classify and pay independent contractors without the misclassification exposure.
Explore
Get the Vietnam Hiring Cost Guide
A country brief covering fully loaded employment cost in VND, salary benchmarks by role, statutory contributions, leave and notice rules, and a sample offer breakdown for Vietnam.