Employer of Record (EOR)
Hire in Vietnam Without a Local Entity
Expanding into Vietnam but not ready to incorporate? Our EOR service lets you hire employees legally without setting up a company. We act as the legal employer — handling labor contracts, payroll, social insurance, and compliance — while you maintain full operational control of your team.
Licensed Experts
Certified by the Ministry of Finance (MOF) with Certificate No. 157/KDKET.
Bilingual Contracts
All labor contracts, payslips, and reports prepared in English and Vietnamese.
PDPL Compliant
Employee data stored on certified Vietnamese hosting under Law 91/2025/QH15.
Transparent Pricing
Fixed monthly fee per employee — no hidden charges or setup costs.
5–7 Days Onboarding
From signed agreement to fully onboarded, payroll-ready employee.
When Does EOR Make Sense?
Under Vietnam's Labor Code 2019, foreign companies without a legal entity cannot directly hire staff. Incorporating an entity takes 6-8 weeks and requires significant capital. Employer of Record (EOR) solves this. We act as the legal employer, onboarding your staff in just 5-7 days.
We handle the mandatory 21.5% Social Insurance (SHUI) contributions and PIT withholding under Law 109/2025/QH15. We also ensure full compliance with the new Personal Data Protection Law 91/2025/QH15. Your team reports to you operationally.
Our licensed experts guarantee 100% legal compliance. This protects your business from labor disputes and tax penalties, letting you focus on scaling.
What We Handle
- Legal employment contracts under Vietnam Labor Code 2019
- Full payroll processing — gross-to-net, SHUI, PIT
- Social Insurance registration and monthly contributions
- Employee onboarding within 5-7 business days
- Employee offboarding and severance compliance
- Benefits administration (health insurance, allowances)
- Employment law compliance and advisory
- No local entity or Investment Registration Certificate required
- Scalable from 1 employee to full teams
EOR vs. Own Entity — Which Is Right for You?
Both approaches are fully legal in Vietnam. The right choice depends on your timeline, headcount, and long-term plans.
Employer of Record (EOR)
- Setup Time
- 5–7 business days
- Upfront Cost
- $0 upfront — pay monthly per employee
- Minimum Capital
- None required
- Legal Employer
- ICLV (on your behalf)
- Optimal Team Size
- 1–50 employees
- Best For
- Market testing, project teams, RO staffing
- Key Advantage
- Speed — employees on the ground this week
Own Entity (LLC/FDI)
- Setup Time
- 4–8 weeks (IRC + ERC)
- Upfront Cost
- $3,000–10,000+ (registration, office, licenses)
- Minimum Capital
- Sector-dependent (negotiated with Department of Finance (formerly DPI))
- Legal Employer
- Your registered company
- Optimal Team Size
- Unlimited
- Best For
- Permanent presence, scaling operations
- Key Advantage
- Full control — your brand, your entity
Many clients start with EOR for speed, then transition to their own entity when they're ready to scale. We manage the full transition — contracts, Social Insurance, and leave balances transfer with zero disruption.
How We Handle Your Registration
Scope & Agreement
We discuss your hiring needs, employee role(s), compensation structure, and start date. You review and sign the EOR service agreement with ICLV.
Employee Onboarding
We draft compliant labor contracts (bilingual EN/VI), register the employee with Social Insurance, and set up payroll. Onboarding is typically completed within 5-7 business days.
Monthly Operations
Each month, we process payroll, file SHUI contributions, withhold PIT, and deliver payslips to your employee. You receive a monthly summary report for your records.
Ongoing HR Support
We handle contract renewals, salary adjustments, leave management, and any employment law questions that arise. When you're ready to incorporate, we manage the complete transition of employees to your own entity.
Employment Rules Your EOR Team Must Follow
As the legal employer, ICLV ensures full compliance — but understanding these rules helps you manage your team effectively.
Working Hours & Overtime
Standard: 8 hours/day, 48 hours/week (40 hours encouraged by the State). Overtime capped at 40 hours/month and 200 hours/year. Overtime rates: 150% (weekdays), 200% (weekends), 300% (holidays). Night shift premium: +30%.
Probation Period Rules
Maximum 60 days for positions requiring a college degree or higher. Maximum 30 days for vocational/technical positions. Maximum 6 days for other positions. During probation, salary must be at least 85% of the official salary.
Annual Leave Entitlements
Minimum 12 paid days per year for standard working conditions. +1 additional day for every 5 years of service. Unused leave can be carried over or paid out upon termination. Employees also receive paid leave for personal events (marriage, bereavement).
Public Holidays & Tet
11 paid public holidays per year, including 5 days for Tet (Lunar New Year). Foreign employees get 1 additional day each for their country's national day and a traditional holiday. The 13th month salary (Tet bonus) is not legally required but is a very strong market expectation.
Contract Types & Duration
Definite-term contracts: maximum 36 months, renewable once. After the second definite-term contract, the next must be indefinite-term. This impacts EOR engagement planning — we advise on optimal contract structuring from day one.
Termination & Severance
Employer-initiated termination requires 30 days notice (definite-term) or 45 days (indefinite-term). Severance: half a month's salary per year of service (excluding years covered by UI contributions). Wrongful termination can result in back-pay obligations and reinstatement orders.
Personal Data Protection (Law 91/2025/QH15)
As the legal employer, ICLV processes sensitive personal data — salaries, tax codes, bank accounts, national IDs — on behalf of your employees. Under Vietnam's Personal Data Protection Law (Luật số 91/2025/QH15 — Luật Bảo vệ Dữ liệu Cá nhân), this data must be stored on reputable domestic hosting, processed with employee consent, and protected against unauthorized access. ICLV maintains certified Vietnamese hosting infrastructure and strict data handling protocols in full PDPL compliance.
ICLV handles all compliance — from contract drafting to data protection — so your team operates within Vietnam's legal framework.
What You'll Receive
Legal Employment
- Labor contract drafting (EN & VI)
- Employment registration with authorities
- Social Insurance registration
- Tax code registration
- Internal Labor Regulations compliance
- Work rules and policies advisory
Payroll & Benefits
- Monthly gross-to-net salary processing
- SHUI contribution calculation and filing
- PIT withholding and annual finalization
- Bilingual payslips
- Bank payment file preparation
- Benefits administration
Lifecycle Management
- Employee onboarding (5-7 days)
- Contract renewal management
- Salary adjustment processing
- Termination and severance handling
- Social Insurance book closure
- Transition to client entity (when ready)
"EOR is the fastest path into Vietnam's talent market. You can have employees on the ground, legally employed and fully compliant, within a week — without the cost and complexity of incorporating a company. When you're ready to scale, we transition them directly to your own entity."
David Nguyen
Partner & Director
CPA License #3868 — Ministry of Finance, Vietnam · 14+ years in audit, tax, and FDI consulting. Experienced in structuring EOR arrangements for market entry across manufacturing, technology, and professional services sectors.
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Yes. EOR arrangements are structured as compliant employment relationships under Vietnam's Labor Code 2019. ICLV acts as the legal employer, signing labor contracts and handling all statutory obligations. This model is widely used by multinational companies for market entry and project-based staffing.
Typically 5-7 business days from signed agreement to a fully onboarded, payroll-ready employee. This includes labor contract execution, Social Insurance registration, tax code setup, and bank account coordination.
You do. The EOR model separates legal employment (handled by ICLV) from operational management (handled by you). Your employees report to you for all work-related matters. We handle the legal, payroll, and compliance layer.
We manage the full transition: transferring labor contracts, Social Insurance books, and accumulated leave entitlements from ICLV to your newly incorporated company. This ensures continuous employment with no gap in benefits or compliance.
Yes, though expatriate employees require a valid Work Permit and may need a Temporary Residence Card. We coordinate with our immigration team to handle the full work permit process alongside the EOR arrangement.
Our EOR service is scalable from a single employee to full teams. We currently manage EOR arrangements ranging from 1-person market research setups to 50+ person operational teams across manufacturing, technology, and services sectors.
An Employer of Record (EOR) becomes the full legal employer — signing contracts, paying salaries, and bearing employment liability. A Professional Employer Organization (PEO) co-employs your staff alongside your own entity. In Vietnam, when you don't have a local entity, you need a full EOR arrangement. ICLV provides full EOR services, assuming complete legal employer responsibility.
EOR typically costs $500–800 per employee per month (covering payroll processing, SHUI management, and compliance). Setting up your own LLC/FDI entity costs $3,000–10,000+ upfront plus $1,500–3,000/month in ongoing compliance costs (accounting, tax filing, office lease). EOR breaks even at around 15–20 employees — below that threshold, EOR is significantly more cost-effective.
Yes, and this is one of the most common EOR use cases. Representative Offices (ROs) in Vietnam cannot legally hire employees directly or generate revenue. EOR allows you to legally employ staff who work from your RO — they're employed by ICLV but report to you operationally. This is the standard approach used by multinational companies with ROs in Vietnam.
We handle the full termination process in compliance with Vietnam's Labor Code 2019: proper notice periods (30 or 45 days depending on contract type), severance pay calculation, Social Insurance book closure, final salary and unused leave payout, and all required documentation. We ensure the process is legally compliant to avoid wrongful termination claims.
Not sure where to begin?
Start Hiring in Vietnam — This Week
No entity needed. No long setup. Our EOR service gets your team legally employed and fully compliant within days.