Work permit in Vietnam - frequently asked questions

A work permit is one of the legal conditions allowing foreign workers to work in Vietnam, issued by a competent state agency. Foreign workers must present their work permit when requested by a competent state agency. Employers who employ foreign workers to work for them without a work permit will be recognized as a violation.

The maximum term of a work permit is 02 years. In case of extension, it can only be extended once for a maximum period of 02 years. The work permit is invalidated at the end of its term, upon termination of the labor contract, because the content of the labor contract is not consistent with the content of the issued work permit, or because the work is not in accordance with the provisions of the work permit, according to the written notice of the foreign party ceasing to send foreign workers to work in Vietnam or when the work permit is revoked.

WHAT IS WORK PERMIT FOR FOREIGN EMPLOYEE?

Work permit or more precisely work permit for foreigners working in Vietnam. This is a document issued by Vietnamese competent authorities to foreign employees when meet certain conditions as stipulated by law.
A foreign employee who is granted work permit is considered to work legally and have their legitimate rights and interests protected in labor relations.

ACCORDING TO THE LOCAL LABOR CODE AND OTHER REGULATIONS, CONDITIONS FOR FOREIGN WORKERS WORKING IN VIETNAM ARE THE FOLLOWINGS:

To be at least 18 years of age and have full civil act capacity.
To have technical, professional, or occupational qualifications and experience, and suitable health as stipulated by the Minister of Health.
Must not be a person who is serving a sentence or has not yet had their criminal record repealed or is subject to criminal prosecution in accordance with foreign or Vietnam laws.
Has a work permit issued by an authorized state management agencies of Vietnam, except for cases stipulated in Article 154 of the Code.

Foreign workers working in Vietnam must comply with the above-mentioned conditions and the Code of Labor of Vietnam and shall be protected by Vietnamese law.

WHO IS SUBJECT TO WORK PERMIT GRANTED IN VIETNAM

The subject to be able to apply for work permit has been defined clearly by laws on the Work permit for foreign employees in Vietnam. They are foreigners who enter Vietnam for the following purposes:

Executing the labor contracts;
Performing intra-company transfer program;
Executing contracts or agreements on business, commerce, finance, banking, insurance, science and technology, culture, sports, education, vocational training, and health;
Providing services under contracts;
Offering services;
Working for foreign non-governmental organizations or international organizations in Vietnam that have been granted operating licenses under the Vietnam laws;
Working as managers, chief executive officers, experts, technicians;
Participating in the execution of bid contracts and projects in Vietnam.
- In addition, the law also stipulates those who are qualified to sponsor a work permit for foreign employees the following:
Enterprises operating under the Enterprise Law, Investment Law, or international treaties to which the Socialist Republic of Vietnam is a party;
Contractors participating in bids and performing contracts;
Representative offices, branches of enterprises, agencies and organizations licensed to be established by competent authorities;
State agencies, political organizations, socio-political organizations, socio-political-professional organizations, social organizations, socio-professional organizations;
A foreign non-governmental organization has been granted license by a competent Vietnamese authority in accordance with the provisions of Vietnamese law;
Non-business organizations and educational institutions established under the provision of Vietnam law;
International organizations, offices of foreign projects in Vietnam; agencies and organizations allowed to be established and operated by the Government, Prime Minister, ministries, and sectors in accordance with Vietnamese law;
The operating office of the foreign investors under a business cooperation contract or of foreign contractors is licensed to operate under the provision of Vietnamese law;
Organizations operate in the area of law in Vietnam under the provision of Vietnam law;
Cooperatives and unions of cooperatives established and operated under the Code of Cooperatives;
Business households and individuals are allowed to do business under the provision of Vietnamese law.

CONDITIONS FOR ISSUANCE OF WORK PERMITS

According to regulations, in order to apply for the work permit, a foreign employee must fully meet the following conditions:

The foreign employee must have his/her full capacity for civil acts as prescribed by law.
The foreign employee must demonstrate his/her health conditions are suitable for the requirement of vacant.
The foreign employee must not be criminals or undergo criminal prosecution in accordance with Vietnamese law and external law.
The foreign employee must be manager, chief of operation, expert or technician and must be able to provide document proving status in accordance with the local laws as follow:

For Foreign Experts:

- Having a bachelor’s degree or higher or equivalent and have at least 3 years of experience working in the trained field relevant to the job position the foreign worker is expected to work for in Vietnam;
- Having at least 5 years of experience and practice certificates relevant to the job the foreign worker is expected to work in Vietnam, with the stamp of consular legalization;

For technical workers:

- An individual that has been training in a technical field or another major for at least one year and has been working for at least three years in their trained field, with the stamp of consular legalization;
- Having at least five years’ experience related to the job for which they will be employed in Vietnam.

For executives, managers:

- Decision for Appointment;
- Having at least five years’ experience related to the job for which they will be employed in Vietnam.

DOCUMENTS REQUIRED FOR A WORK PERMIT APPLICATION INCLUDE

An application form for a work permit of the employer has been specified in form No.11/PL1 Appendix attached with Decree No.152/2020/ND-CP.
Fitness to work certificate issued by a foreign or Vietnamese competent health facility is issued within 12 months before the submission date of the application or the certificate as specified in regulations of the Minister of Health.
The criminal record or certificate confirms that the foreign worker is not a criminal or liable for criminal prosecution issued by the foreign competent agency. This record or certificate shall be issued within 06 months from the date of issuance to the date of application.
It is required to provide one of the following documents in case the foreign employee is a manager, chief executive officer, expert, or technician:
- Documents confirm that the foreign worker is a manager, or executive as stipulated by law and regulations;
- Documents confirm that the foreign worker is an expert, technical worker including diplomas, certificates, or certification of the foreign agency, organization, or enterprise in respect of some years’ experience of the expert or technical worker.
- Documents confirm that the foreign worker is an experienced foreign football player or an international transfer certificate (ITC) issued to the foreign football player or a document of the Vietnam Football Federation which certifies temporary or official registration of a player of a club affiliated to Vietnam Football Federation.
- Documents confirm that the foreign worker has a pilot license issued by a Vietnamese competent authority, or issued by a foreign competent authority and validated by the Vietnamese competent authority, in case of a foreign pilot; or a certificate of eligibility for working on aircraft issued by the Ministry of Transport, in case of a flight attendant.
- Documents confirm that the foreign worker has a certificate of competency in aviation maintenance issued by a Vietnamese competent authority, or issued by a foreign competent authority and validated by the Vietnamese competent authority, in case of a foreign worker who performs maintenance on aircraft.
- Documents confirm that the foreign worker has a certificate of competency or validation of a certificate of competence issued by Vietnamese competent authority to a foreign crew member of a ship/vessel.
- Documents confirm that the foreign worker has a certificate of high achievement in sports which is certified by the Ministry of Culture, Sports and Tourism, in case of a sports coach or at least one of the following certificates: AFC (Asian Football Federation) football coaching level B certificate or AFC goalkeeping coaching level 1 certificate or AFC fitness coaching level 1 certificate or AFC Futsal coaching level 1 certificate or any equivalent foreign certificate accredited by AFC.
- Documents confirm that the foreign worker has a diploma issued by the competent authority following qualifications or standard qualifications in the Law on Education, the Law on Higher Education, the Law on Vocational Education and Regulation on organization and operation of foreign language and computer training centers issued by the Minister of Education and Training.
02 colored photos (4cm×6cm, with white background, frontal side, bareheaded, and no colored glasses). Photos shall be taken within 06 months of the date of application.
An acceptance of demand for foreign workers, unless it is not required.
01 notarized copies of the valid passport.
Documents relevant to the foreign worker:
- For a foreign worker performing an intra-company transfer program, he/she must obtain a document issued by the foreign company to send him/her to work at a commercial presence of that company in Vietnam’s territory and a document justifying that he/she has been recruited by the foreign company at least 12 consecutive months before the transfer date;
- For a foreign worker executing contracts or agreements on business, commerce, finance, banking, insurance, science and technology, culture, sports, education, vocational training, and health, an agreement or arrangement concluded between Vietnamese and foreign partners is required, which specifies the arrangement about sending foreign workers to Vietnam;
- For a foreign worker providing services under contracts, a service contract concluded between Vietnamese and foreign partner is required and a document justifying that he/she has worked for the foreign company that has no commercial presence in Vie Nam for at least 2 years;
- For a foreign worker doing offer services, he/she must obtain a document issued by the service provider to send him/her to Vietnam to negotiate the service provision;
- For a foreign worker working for foreign non-governmental organizations or international organizations in Vietnam that have been granted operating licenses following the Vietnam law, he/she must obtain both a document that sends him/her to work for a foreign non-governmental organization or international organization in Vietnam under the provision of Vietnamese law;
- For a foreign worker working as a manager, chief executive officer, expert, technician, he/she must obtain a document issued by the foreign enterprise, agency, or organization to send him/her to work in Vietnam that is conformable with the expected job position.

AUTHORITIES ISSUED WORK PERMIT

According to Circular 40/ 2016/TT-BLĐTBXH – Article 3, the competent authorities for issuing work permits are:
Ministry of Labor – Invalids and Social Affairs
Provincial/Municipal Department of Labor – Invalids and Social Affairs
The issuance of the work permit is based on the type of enterprise or organization where the foreign employee works.

WORK PERMIT PROCEDURE FOR THE FOREIGN EMPLOYEE IN VIETNAM

Request for acceptance of hiring the foreign employee:

At least 30 days before the commencement of employment, Employers (except bidders) that require hiring a foreign employee must submit a written request to the Ministry of Labor, War Invalids and Social Affairs or Chairman of the People’s Committee at the provincial level in order to report its demand for foreign employee, and employers can also submit the request via the web portal.

The employer signs up for an account at the above-mentioned address and submits the application with the established account, within at least 20 days before the expected date of the commencement of employment;
Within 12 days from the date of reception of the valid application and report explaining the demand for hiring foreign employees, the competent authority shall send the results via email to the employer. If the submitted application is not valid, the competent authority will issue a notice for correction.
After receiving the approval for allowing to hire the foreign employee, the employer directly submits or sends by post the original documents to the competent authority. Within 08 hours of the reception of the original application, the competent authority shall return the original approval result to the employer.
The dossier includes a Form of Explanation for the demand for hiring the foreign employee (according to the form of Circular 40/2016/TT-BLDTBXH).

Submit an application for work permit for foreign employee:

Application for a work permit should be submitted to the Ministry of Labor, Invalids and Social Affairs or the Department of Labor, War Invalids and Social Affairs in the province where the foreign employee is expected to work at least 15 days before the commencement of employment.
If the application is complete and valid, the applicant will pay the work permit fee and get an appointment for the date of returning the results. If not, the applicant will be notified for supplement details of his/her application.
The processing time for a work permit takes usually 5 working days from the date of the reception of a complete and valid application.

Get the result:

Within 5 working days, the Ministry of Labor, Invalids, and Social Affairs or the Department of Labor, Invalids and Social Affairs shall issue work permits to the applicant in accordance with the form 12/PLI issued as an index of Decree 152/2020 /ND-CP.
In case of refusal, the Ministry or Department of Labor, War Invalids and Social Affairs shall inform in writing to state the reason for refusal.

WORK PERMIT FEES

Depending on where proceeding the procedures for granting a work permit to an employee, the fee will be regulated differently (according to Circular 250/2016/TT-BTC).
For example, in Hanoi, the fee for applying for new issuance of work permit is VND 400,000 in Ho Chi Minh City is VND 600,000 for the same category. The current highest fee is VND 1,000,000. This fee may change from time to time depending on local regulations.
Foreigners will not have to pay the fee for applying for a work permit, the employer should cover the expense.

Beside the fee for state agencies, there will be more expenses regarding to required papers and related procedures that the applicant shall prepare in advance.

WORK PERMIT DURATION

Article 10 of Decree 152/2020/NĐ-CP clearly stipulates that the duration of a work permit shall be granted according to the period of one of the following cases, but shall not exceed 02 years:

The duration of the labor contract expected to be signed;
The duration of the foreign party sending the foreign employee to work in Vietnam;
The duration of the contract or agreement signed between the Vietnamese side and its foreign partners;
The duration of the contract or service provision agreement signed between the Vietnamese and foreign partners;
The limitation of serving time stated in the document of the service provider sending foreign employees into Vietnam to negotiate service provision;
The limitation of serving time has been specified in the certificate of the foreign non-governmental organization or international organization allowed to operate in accordance with the provisions of Vietnamese law;
The limitation of serving time in the document of the service supplier sending the foreign employee to Vietnam to establish the commercial presence of the service provider;
The limitation of serving time in the document proving that the foreign employee is allowed to participate in the operation of a foreign enterprise that has established a commercial presence in Vietnam;
Limitation of serving time in the written approval to use the foreign employee.

Hereinabove is information related to work permits for foreign employees in Vietnam. This information shall be updated regularly in case of changes.

WHAT HAPPENS IF YOU DON’T HAVE THE WORK PERMIT?

For enterprise:

Employers who employ foreign workers in Vietnam without work permits or written confirmations of their exemption from work permit requirements, or employ foreign workers holding expired work permits or written confirmations of exemption from work permit requirements shall be implied:

A fine from VND 30,000,000 to VND 45,000,000 if the violation involves 01 – 10 workers;
A fine from VND 45,000,000 to VND 60,000,000 if the violation involves 11 – 20 workers;
A fine from VND 60,000,000 to VND 75,000,000 if the violation involves 21 or more workers.

For employee:

A fine of between 15 and 25 million dong shall be imposed on the foreign employee who commits one of the following acts:

Working without a work permit or without written certification showing that he/she is not subject to apply for the work permit;
Using an expired work permit or an invalid written certification of not being subject to apply for the work permit.

In addition to fines, foreign workers are also expelled from Vietnam without a work permit or a written certification of not being subject to apply for the work permit.

The local laws and regulations may be changed at any time of applying for the work permit, please contact with your consultant for actual practice and right solutions.

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