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Vietnam Employment Guide

Your quick guide on talent and labor compliance norms in Vietnam




Vietnamese Dong (VND)


Vietnamese (official), Chinese (mainly in North Vietnam)

Payroll Frequency

Monthly or Bi-Monthly

GDP per Capita


Employer Tax


Talent Overview

Vietnam is known for scenic beaches, spectacular landscapes, rice terraces, and beguiling cities. The country’s major economic contributor is the services sector, occupying 41.63% of their GDP. Vietnam holds the position of18th among 39 countries in the Asia–Pacific region for its economic development.

Major economic hubs:

Hanoi, Ho Chi Minh City, Hoi An, Ha Long

Skills in demand:

Data Analysts and Scientists, Software Engineers, Finance and Banking


Local Universities

The top local universities in Vietnam are as follows:

Uni1 7

Vietnam National University, Hanoi


Local: 1

World : 939

Uni2 6

Hanoi National University of Science and Technology


Local: 2

World : 1722

Uni3 6

Ho Chi Minh City University of Technology


Local: 3

World : 2176

Uni4 5

University of Da Nang


Local: 4

World : 2340

Uni5 3

National Economics University


Local: 5

World : 2614

Salary Data

The average salary in Vietnam is mentioned below

Job Title Average Monthly Salary (VND) Average Monthly Salary (USD)
Project Manager 19,200,000 VND 812 USD
Accountant 11,700,000 VND 495 USD
Accounting Manager 25,600,000 VND 1,083 USD
Business Development Manager 27,700,000 VND 1,172 USD
Developer / Programmer 17,500,000 VND 740 USD
Information Technology Manager 29,700,000 VND 1,256 USD


Talentsource 3

Talent Sourcing Tips

Top Local Job Boards:

Indeed, Vietnamworks, CareerBuilder

Number of LinkedIn users:


Top Recruitment Agencies:

Adecco, 9cv9, Vietsourcing HR

Employing in Vietnam

While onboarding an individual from Vietnam, the employer must know about the labor laws, deductions, benefits, and allowances. This section provides all the information to help employers.

Employee Contract:

Employee Contracts in Vietnam must be written in purely Vietnamese or dual language (Vietnamese and preferably English). The contract must contain all the employer’s details along with terms and conditions, benefits, leaves, and allowances.

Probation Period

Probation Period as provided at Article 25 of Labor Code 2019 are:

  • Not exceeding 180 days for the person holding managing positions;
  • Not exceeding 60 days for the positions requiring college level or above; or
  • Not exceeding 30 days for the positions requiring intermediate level.

Only manger level positions are eligible for 6 months of probation.

Public and Provincial Holidays

Date Name Type
1 Jan International New Year’s Day National holiday
9 Feb Vietnamese New Year’s Eve National holiday
10 Feb Vietnamese New Year National holiday
11 Feb Tet holiday National holiday
12 Feb Tet holiday National holiday
13 Feb Tet holiday National holiday
14 Feb Tet holiday National holiday
18 Apr Hung Kings Festival National holiday
30 Apr Liberation Day/Reunification Day National holiday
1 May International Labor Day National holiday
2 Sep Independence Day National holiday

Employee Leaves

Type of Leave Time Period Mandatory
Annual/Earned Leave 12 days Yes
Sick Leave 30 days Yes
Maternity Leave 24 weeks Yes

Health Examination Clause

According to Vietnam Labour law, Article 21, the employers must organize the following;

  • Employees performing hazardous occupations should have a health checkup at least once a year. 
  • For disabled, elderly, or minor employees, health checks are performed twice a year, or once every six months. 
  • Female workers must be provided with obstetric care and occupational disease testing. 
  • Health check-up, assignment or transfer to heavier, riskier, or more toxic occupations, and testing once they return. Unless the Medical Assessment Council has determined that their ability to work has decreased. Unless, there are conclusions of the Medical Assessment Council on their ability to work has decreased

Failure to provide the above, the employer shall be fined from VND 1,000,000 to VND 3,000,000 per each employee, but not exceeding VND 75,000,000.


Payroll 1

Payroll Cycle

The payroll cycle in Vietnam is generally Monthly.

Payroll 2

Minimum Wage

The minimum wage varies per region. It ranges from 3,250,000 VND to 4,680,000 VND per month.

Payroll 3

Overtime Pay

The overtime pay in Vietnam is as follows:


13th Month Pay:

A 13th-month pay is not mandatory in Vietnam. But it is customary to pay a TET bonus or Lunar Year bonus given before the New year holiday.

Employee Benefits:

Below are some of the benefits offered to Vietnamese employees:

  • Health insurance
  • Retirement benefit
  • Maternity benefits


Employer Payroll Tax

Category Contributions
Social Insurance 17.5%
Health Insurance* 3%
Unemployment Insurance 1%
Trade Union 2%

Employee Payroll Tax

Category Contributions
Social Insurance 8%
Health Insurance 1.5%
Unemployment Insurance 1%

Employee Income Tax

Annual Taxable Income (in million VND) Tax Rate (%)
From 0 to 60 5
From 60 to 120 10
From 120 to 216 15
From 216 to 384 20
From 384 to 624 25
From 624 to 960 30
More than 960 35


The standard VAT in Vietnam is 10%.

Offboarding & Termination

The termination process would include a reasonable notice period to be given by either of the terminating party. Some instances, such as enterprise operation cessation, do not need a filing. Below are some other requirements base on the reason for dismissal

Reason for Termination On the last day of employment
Expiry of the labour contract No notice needed
Lawful unilateral termination by the employee 30 days for (definite contract) or 45 days (indefinite contract)


Vietnamese employees that are under their probationary period are to observe a notice period of up to 30 days when terminating their contract. For employees after their probationary period, the notice period will be up to 45 days.

The severance allowance of 1/2 month worth of salary for each year of employment.

Visa and Immigration

There are two types of Vietnam work visas that foreign employees must comply with in order to work in the country: LD1 and LD2 visas. For the LD2 visa, the employer must also apply for a work permit. LD1 visa is an exemption for foreign workers in Vietnam from securing a work permit.

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Minimum Wage

Overtime Pay

The overtime pay in Vietnam is as follows:

Period of Overtime Additional Hourly Rates
Normal weekdays 150%
Weekend 200%
Public holidays 300%
Weekdays, during night-time 30% on top of the above-mentioned rates

Visa & Immigration