Vietnam Hiring Guide 2026

Vietnam gives international employers access to one of Southeast Asia's fastest-growing tech and engineering talent pools, with over 53 million people in the labour force and wages that remain well below regional peers in Singapore or Thailand for equivalent skill levels.

An EOR can get a new hire onboarded in as little as 3 to 5 days, handling the Labor Code 2019 contract requirements, SHUI registration, and regional minimum wage compliance from day one. The total statutory employer burden runs to 23.5% above gross salary, covering social, health, and unemployment insurance, all of which the EOR absorbs into a predictable monthly cost.

Capital
Hanoi
Language
Vietnamese
English improving in tech
Currency
VND
Vietnamese Dong
EOR cost
$199–$599
Per employee/month
Onboarding
3–7 days
Working hours
48 hrs/wk max
Public holidays
11 days
Annual leave
12–16 days

Vietnam Employer Cost Calculator

Enter a gross monthly salary to see the full SHUI breakdown — social insurance at 17.5%, health insurance at 3%, and unemployment insurance at 1%, all capped at VND 46.8 million and applied differently for foreign nationals on contracts under 12 months. Add an EOR fee to see the true monthly cost to company in VND.

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Rates effective 2026. Sources: OECD Taxing Wages 2026, national social security authorities, ILO. For estimation purposes only - not legal or financial advice. Rates may vary based on industry, employee classification, and salary level.

What It Costs To Hire In Vietnam

On top of gross salary, employers pay a statutory add-on of 23.5% covering social, health, and unemployment insurance under the 2024 Social Insurance Law. Budget this figure against the employee's total gross, not just the base, to avoid cost surprises at payroll.

Employer costs
Minimum wage (Region I) VND 5,310,000/mo
Social insurance (SI) 17.5%
Health insurance (HI) 3.0%
Unemployment insurance (UI) 1.0%
Trade union fund (if applicable) 2.0%
Total statutory employer add-on 23.5%
Employment conditions
Probation period 6 days – 180 days
Notice period (indefinite contract) 45 days
Maternity leave 6 months (SI-funded)
Paternity leave 5–14 days (SI-funded)
Annual leave (standard) 12 days
Corporate tax rate 20% (standard)

Vietnam At A Glance

Vietnam's economy grew 8% in 2025, the fastest rate in over a decade, driven by electronics manufacturing exports and $27.6 billion in disbursed FDI.

For international employers, that pace means salary benchmarks are rising 8–10% annually, which makes locking in hires sooner rather than later a material cost decision.

$485B
GDP 2025
8.0%
GDP growth 2025
52.3M
Employed persons
2.22%
Unemployment rate
68.5%
Labour participation
$199–$599
EOR cost/month

Vietnam Employment Rules: What Employers Get Wrong

Most first-time hirers in Vietnam underestimate how strictly the Labor Code 2019 governs contract renewals and termination procedure. The Social Insurance Law 2024, effective July 2025, has also expanded mandatory coverage in ways that catch employers who assumed their existing setup was still compliant.

Definite-term contracts can only be renewed once before converting to indefinite.

A fixed-term contract runs up to 36 months and can be renewed once. After that, continued employment automatically becomes indefinite-term, whether you sign another contract or not.

Most employers miss this on their second renewal cycle. Your EOR should be tracking expiry dates and flagging conversions before they happen.

Employer SHUI contributions total 21.5% of gross salary, capped at VND 46.8M/month.

The split: 17.5% social insurance, 3% health insurance, 1% unemployment insurance, all under the 2024 Social Insurance Law effective July 2025.

Foreign employees on contracts of 12 months or longer are subject to compulsory SHUI unless a bilateral treaty exemption applies. That exemption covers very few countries.

Termination for cause requires a formal hearing, skipping it voids the dismissal.

You must convene a documented disciplinary hearing, notify the trade union if one exists, and complete the process within statutory timeframes. Miss any step and a labour court can order reinstatement with full back-pay.

Employees who are pregnant, on maternity leave, or nursing a child under 12 months cannot be terminated under any circumstances short of full business closure.

The 2026 minimum wage for Region I (Hanoi, HCMC) is VND 5,310,000/month (~$210).

Vietnam's four-zone system was updated by Decree 293/2025/ND-CP, effective January 1, 2026, at an average 7.2% increase. The rate applies to where the employee works, not where your head office sits.

Employees with certified vocational training must be paid at least 7% above the applicable regional minimum, a requirement labour inspectors actively check.

Probation caps vary by role: 6 days for basic positions, up to 180 days for executive hires.

The four tiers: 6 working days for unskilled roles, 30 days for intermediate technical positions, 60 days for college-qualified roles, and up to 180 days for enterprise management.

During probation, salary cannot fall below 85% of the agreed contract rate. Either party can terminate without notice or severance, but only one probation period is permitted per employment relationship, and it cannot be included in contracts shorter than one month.

Top-Rated EOR Providers For Vietnam

Vietnam's evolving SHUI legislation and regional wage structure separate providers that handle compliance proactively from those that leave it to the client. Pricing ranges from $199 to $699 per employee per month depending on platform depth and support model.

Multiplier
Multiplier
5.0 / 5.0
Singapore-headquartered with genuine APAC entity depth; strong for Vietnam SHUI registration and same-timezone support.
Review →
Oyster HR
Oyster HR
4.5 / 5.0
B Corp-certified with 48-hour onboarding and a dedicated CSM from day one; well suited for compliance-first teams entering Vietnam for the first time.
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Deel
Deel
4.3 / 5.0
250 owned entities globally including Vietnam; automatic contract updates when labor regulations change, with the broadest integration library in the category.
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Pebl
Pebl
4.2 / 5.0
ISO 27001 and SOC 2 certified; suited to mid-market teams that need formal compliance infrastructure and immigration support in Vietnam.
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Remofirst
Remofirst
4.1 / 5.0
Flat $199/month in Vietnam with no country surcharges; named account manager from day one regardless of headcount, making it the clearest cost option for budget-conscious teams.
Review →

Hiring In Vietnam: What You Need To Know

Vietnam's labour market is simultaneously candidate-rich and talent-scarce: over 70% of the workforce is open to switching roles, but finding candidates with the specific technical skills international employers need remains the central challenge. Wages in technology, finance, and energy are rising 8–10% annually, and competition for senior talent from FDI companies has intensified sharply since 2024.

Vietnam's IT sector has over 530,000 engineers, with 50,000 new graduates entering annually. Demand far outpaces supply in specialised areas: AI, blockchain, embedded systems, and full-stack development all have persistent shortages. Ho Chi Minh City, Hanoi, and Da Nang account for roughly 96% of the country's tech workforce. A projected shortfall of 150,000 to 200,000 IT personnel per year makes proactive sourcing essential, particularly for senior or specialist roles.
English proficiency is improving but uneven: strongest among under-35 tech professionals in major cities. Vietnam ranked 13th in Asia on the EF English Proficiency Index, with urban IT professionals and customer service staff generally comfortable working in English. Outside these groups, communication in Vietnamese is the norm, and Vietnamese labour law requires all employment contracts to have a Vietnamese-language version that prevails in any dispute.
Permanent employment is the default expectation, but fixed-term contracts are common for project-based roles. Vietnam's Labour Code allows a fixed-term contract of up to 36 months, renewable once. After two fixed-term contracts, the relationship must convert to indefinite-term. Misuse of repeated short-term contracts is a compliance risk that labour inspectors specifically target, particularly in manufacturing and tech outsourcing operations with high headcount.
Ho Chi Minh City and Hanoi are the primary hiring markets; Da Nang is growing fast for tech roles. HCMC dominates in business services, fintech, and e-commerce hiring, while Hanoi is stronger in government-linked sectors and manufacturing supply chains. Da Nang has attracted a wave of tech company satellite offices since 2023, offering lower salary benchmarks than the two main cities. Urban workers in HCMC earned an average of VND 10.1 million (~$404) per month in Q1 2025, compared to VND 7.2 million (~$288) in rural areas.
The Tet bonus (13th-month salary) is not legally mandatory but is universally expected by employees. Failing to pay a year-end bonus equivalent to approximately one month's salary will damage retention significantly, particularly given that 42% of Vietnamese candidates are actively seeking new roles at any given time. Hybrid work is also increasingly expected: 62% of employees in a 2025 survey said they prefer hybrid arrangements, and companies offering only full-time office attendance face a measurable disadvantage in attracting experienced candidates.

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