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HiringPedia/Asia/Vietnam
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Global Hiring GuideVerified ยท reviewed August 13, 2026

Hiring in Vietnam.

Build your workforce in Vietnam through the model that fits your goals, not the model a single provider wants to sell. Gracemark helps you compare recruitment, EOR, AOR, contractor, payroll and market-entry options through one accountable workforce partner.

Hanoi ยท capitalVND โ‚ซ ยท Vietnamese ฤ‘แป“ngVietnamese

A real workforce specialist replies within one business day. Initial model and cost path within 48 hours. No obligation.

Before you hire in Vietnam

The Vietnam cost & compliance picture, in full.

Vietnam carries its own employment rules, statutory costs and termination exposure. Get the wrong setup and it means back-pay, penalties and misclassification claims. Here is the complete snapshot, free, so you can plan before you ever talk to us.

Termination complexity
High
Misclassification risk
High
Recommended model
EOR for first hires; entity assessment for manufacturing or scaled delivery
Employer cost
Employer social, health and unemployment insurance contributions total roughly the low 20% range of the salary base under the Social Insurance Law 2024 and Decree 158/2025/ND-CP, subject to caps
Minimum wage
A statutory minimum applies in Vietnam and is reset periodically. We confirm the figure in force on your start date.
13th / mandatory bonus
No statutory 13th-month pay is mandated; the Tet bonus is customary and contractual rather than a legal obligation
Notice period
Notice is generally 45 days for indefinite-term, 30 days for definite-term and 3 days for short-term contracts; severance of half a month's salary per year of service applies to periods before mandatory unemployment insurance coverage
Probation rules
Up to 180 days for managerial roles, 60 days for roles requiring college-level qualifications, 30 days for intermediate roles and 6 days for other jobs
Annual leave
12 working days of paid annual leave per year in normal conditions, with more for hazardous work or minors, increasing by 1 day per 5 years of service
Sick leave
Social-insurance covered
Parental leave
6 months maternity
Working week
Up to 8 hours per day and 48 hours per week, with overtime capped and paid at 150% on weekdays, 200% on rest days and 300% on holidays
Payroll cycle
Monthly, paid at least once a month on a fixed date agreed in the labour contract
Public holidays
~11
Time to hire
2โ€“3 weeks (EOR)
Statutory baseline vs market practice

A young, increasingly skilled and cost-competitive workforce with strong manufacturing, electronics and fast-growing IT outsourcing capacity in Hanoi and Ho Chi Minh City.

Gracemark recommendation: EOR for first hires; entity assessment for manufacturing or scaled delivery

The figures above are statutory baselines drawn from the sources listed below. Typical market practice in Vietnam often sits above the statutory floor, and the right model depends on the role, salary band and engagement type.

What creates exposure in Vietnam
  • Frequent regulatory change across insurance and wage decrees
  • Regional wage tiers complicate multi-site payroll
  • Strict overtime caps and termination rules increase dispute risk
Reviewed and verified. Figures reflect current Vietnam statutory baselines, checked against the public sources listed below with their access dates.
Sources and effective dates
Last reviewed: August 13, 2026Reviewer: Gracemark Workforce OperationsNext review: November 13, 2026Report an update

Educational workforce-planning information, not legal or tax advice. Requirements and service availability depend on the worker, role, location, compensation and engagement model; Gracemark confirms the current position before engagement.

What to look for

The 5 decisions that make or break hiring in Vietnam.

Each of these shifts your cost, timeline and legal exposure. We walk you through all of them, and handle them for you, so nothing turns into a surprise later.

  1. 01Customary 13th-month 'Tet' bonus around Lunar New Year
  2. 02Four-zone regional minimum wage system
  3. 03Six-month maternity leave is notably generous
  4. 04Higher employer social-insurance rate (~21.5%)
  5. 05Booming, low-cost manufacturing and software talent
Don't navigate Vietnam alone. Getting any one of these wrong is expensive to unwind. Gracemark gives you a precise, current cost and compliance plan for Vietnam, and runs the employment, payroll and benefits for you through one accountable partner. It starts with a short consultation.
Don't just read it, hire it

Get My Vietnam Hiring Plan

Gracemark supports employment, payroll, benefits and compliance in Vietnam, and 100+ countries, through one accountable partner, delivered directly or through vetted in-country partners depending on the market. Model-agnostic guidance, one point of accountability.

  • โ†’ A specialist who works Vietnam employment questions every week
  • โ†’ Current cost & severance modelling for your role and salary band
  • โ†’ One accountable partner, no portals, no tickets
100+
Countries supported
1 day
Typical response time
Tier-A
Government-sourced country data

A real workforce specialist replies within one business day. Initial model and cost path within 48 hours. No obligation.

Get your Vietnam answers

Tell us a little about your plans in Vietnam. A real specialist reviews every request and replies personally within one business day, with the exact numbers for your hire.

A specialist replies within one business day. Free, and no obligation. We use your details only to answer this request, never sold or shared.

100+ countries supported Compliance-first, vetted Reply in 1 business day

FAQs

Hiring in Vietnam, common questions.

How do I hire employees in Vietnam?

To hire in Vietnam, most U.S. companies either open a local entity or use an Employer of Record (EOR). EOR for first hires; entity assessment for manufacturing or scaled delivery Gracemark handles Vietnam employment, payroll, benefits and compliance through one accountable partner.

What is the employer cost of hiring in Vietnam?

Employer cost in Vietnam is Employer social, health and unemployment insurance contributions total roughly the low 20% range of the salary base under the Social Insurance Law 2024 and Decree 158/2025/ND-CP, subject to caps. That is on top of gross salary, plus statutory items such as vacation and social contributions. Gracemark provides an exact quote for your role and salary band.

What is the minimum wage in Vietnam?

The current minimum wage in Vietnam is A statutory minimum applies in Vietnam and is reset periodically. We confirm the figure in force on your start date.. Statutory floors change through the year, so Gracemark confirms the exact figure for your hire.

What is the notice period for terminations in Vietnam?

Notice period in Vietnam is Notice is generally 45 days for indefinite-term, 30 days for definite-term and 3 days for short-term contracts; severance of half a month's salary per year of service applies to periods before mandatory unemployment insurance coverage. Termination complexity is rated high. Getting termination and severance wrong is one of the most expensive mistakes in Vietnam, plan it before the first hire.

How much annual leave and parental leave is required in Vietnam?

Statutory annual leave in Vietnam is 12 working days of paid annual leave per year in normal conditions, with more for hazardous work or minors, increasing by 1 day per 5 years of service. Parental leave is 6 months maternity. Sick leave is Social-insurance covered. Public holidays: ~11.

How long does it take to hire in Vietnam?

Time to hire in Vietnam is typically 2โ€“3 weeks (EOR) through an EOR, versus 3โ€“6+ months to open an entity. That is why most first hires in Vietnam go through an EOR.

What is the misclassification risk of using contractors in Vietnam?

Misclassification risk in Vietnam is rated high. Full-time, exclusive, day-to-day contractor arrangements are the most exposed, penalties include back-pay, statutory benefits and fines. Gracemark advises on when a contractor, EOR employee or entity hire is defensible.

Last reviewed: August 13, 2026 ยท Gracemark Global

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