Eligibility Expanded for Intracompany Transferee Status in Ho Chi Minh City

According to last year’s Work Permit rules, intracompany transferees could only qualify for the Intracompany Transfer Work Permit Classification if they were employed specifically by the Overseas Investor Entity (as evidenced on the Vietnam sponsoring entity’s business license) of the sponsoring entity’s corporate group.

What has Changed

• Intracompany transferees can now qualify for the Intracompany Transfer Work Permit Classification if they have been employed by any entity in the same corporate group as the sponsoring entity for at least 12 months prior to the transfer.

• The new guidelines have only been implemented in Ho Chi Minh City thus far.

A Closer Look

To be eligible for this new classification, the employee must be categorized as a “Manager, Executive Director, Expert and Technician” (MEDET) under the Work Permit classification system.

Previously, in such cases, the company would bring the employee into Vietnam as a Local Hire, for which a local labor contract was required. 

Documentary Requirements

• The Overseas Investor Entity must still provide an assignment letter on behalf of the employee;

• The home country employer must still provide a working testimonial (a document that indicates the assignee’s home entity and the duration of experience within the company); and

• Other supporting documents (including the working testimonial) should be consistent with the information contained in the assignment letter.

What This Means for Employers

Employers sending foreign employees to Ho Chi Minh City should work with their immigration professional to draft the assignment letter and working testimonial to ensure consistency with the new rules.

What This Means for Foreign Nationals

More foreign workers will benefit from the Intracompany Transferee Work Permit Classification since the guidelines expand the eligibility provisions.

We worked closely with Resident Vietnam in Vietnam to prepare this alert.  It is for informational purposes only. If you have any questions, please contact the global immigration professional with whom you work at Fragomen or send an email to [email protected].