Complete guide to hiring employees in Vietnam. From taxation to salary standards, here's everything you need to know about having employees in Vietnam.
An employee must be terminated following carefully the requirements set by the Employment Law. A failure to do so can expose the company to legal liability and therefore the termination should be handled with care and precision.
The easiest contract to terminate is the probation contract. During the probation contract, the employee can be terminated without any prior notice. However, it’s a common courtesy to give the employee a chance to improve their work before terminating the contract.
If you wish to terminate a fixed-term contract at the expiration of the contract, you can simply notify the employee at least 15 days in advance that their contract will not be renewed. It’s important to not miss that deadline as otherwise the employment contract gets automatically extended.
If you wish to terminate an employment contract prior to the expiration, then you must have at least one of the following reasons:
Regardless of the reason, you must have documented evidence and give the employee at least 30 days’ notice by issuing the termination decision.
Terminating an employee on an infinite contract is similar to a fixed-term contract, except that the notice period must be at least 45 days.
It’s vital that the company has well-written Internal Regulations in place which can be used as a legitimate reason to terminate employees that violate it.
Emerhub's employer of record service allows you to hire anyone in Vietnam with minimum bureaucracy. Your employees will be formally on our payroll while working entirely for your company.
No need to set up a local company in Vietnam. You manage your employee, we take care of taxes, local HR matters, etc.