The Legal Foundation of Every Hire In Vietnam, employment contracts are not mere formalities—they are legally binding documents that clearly define the rights, responsibilities, and protections of both employers and employees. For businesses, especially foreign investors and SMEs, selecting the appropriate contract type is essential to ensure compliance with Vietnamese labor laws and to minimize…
The HR Dilemma Facing Vietnamese SMEs Small and medium-sized enterprises (SMEs) in Vietnam are growing rapidly—but many face a common challenge: managing human resources effectively with limited time, budget, and expertise. In 2025, more SMEs are choosing HR outsourcing services to handle their HR tasks, reduce compliance risks, and focus on scaling their business. But…
When calculating social insurance contributions, not all allowances that employees receive are included in the salary base for SHUI (Social, Health and Unemployment Insurance). Knowing which allowances are subject to contributions and which are exempt helps both employers and employees avoid mistakes and ensures the best protection of their rights. Allowances subject to SHUI contributions usually include:…
Understanding which allowances, benefits, and types of income are exempt from Personal Income Tax (PIT) is essential for both employees and employers. This knowledge not only safeguards legal rights but also helps businesses manage costs more effectively. Below is a comprehensive overview of income categories exempt from PIT under current regulations, organized into clear groups…
Nowadays, transparency and accuracy in salary management are indispensable factors to maintain trust between businesses and employees. One of the important tools to help this is payslip. But not everyone clearly understands the importance and how to make a standard payslip. What is a Payslip and what information is needed? Let’s find out with NetViet…
Vietnam Officially Extends 2% VAT Reduction Until the End of 2026 On June 17, 2025, Vietnam’s National Assembly (15th Legislature) officially approved a resolution to extend the 2% reduction in value-added tax (VAT) with overwhelming support from the majority of delegates. This resolution takes effect from July 1, 2025, and will last until December 31,…
FAQs: Termination of Labor Contracts in Vietnam (According to Labor Code 45/2019/QH14) 1. What are the main legal grounds for terminating a labor contract in Vietnam? Termination can happen in several lawful situations: Contract expiration: The labor contract ends when its fixed term concludes. In some cases, such as for employee representatives, the term may…
As Vietnam faces new opportunities and challenges, the government is accelerating digital transformation, responding to climate change, and integrating deeper into global value chains. The issuance of Resolution 198 is a strategic move. It brings the spirit of Resolution No. 10-NQ/TW (2017) to life and turns the goal of developing the private sector into real…
How to Hire Employees in Vietnam: Full Legal Guide (2025) Vietnam’s dynamic economy and young, skilled workforce make it an attractive destination for businesses looking to expand or establish operations in Southeast Asia. However, hiring employees in Vietnam requires understanding local labor laws, employment contracts, and compliance requirements. This guide will walk you through the…
A job offer letter is an early but important step in the hiring process. It shows the employer’s intent to hire. Many candidates often mistake it for a probation contract, which can lead to legal and personal risks. This article explains its legal value, employer obligations, and how candidates can protect their rights. What is…
Overview From July 1, 2025, Vietnam will implement a significant change in its tax identification system: the personal identification number (PIN), a 12-digit number issued by the Ministry of Public Security, will officially replace the traditional tax code (tax identification number, TIN) for Vietnamese individuals, including employees, dependents, and business household representatives. This change affects all…
Expanding your business into Vietnam? If you’re a foreign company or contractor engaging in transactions with Vietnamese entities, understanding Vietnam’s Foreign Withholding Tax (WHT) is essential. This tax can impact your contracts, pricing, and compliance obligations. In this guide, we’ll break down what WHT is, when it applies, how to declare it, and what tax…
