Important Updates
Important Updates
October 29, 2025 | Republic of Korea (South Korea)South Korea: K-Star Visa for Science and Tech Talent Implemented
October 29, 2025 | United Kingdom, United StatesGames Industry: US H-1B Visas: Alternatives to a $100,000 Fee
October 29, 2025 | United Kingdom, BelgiumPeople Management: How Will EU Travel Rule Changes Impact Employers?
October 29, 2025 | Saudi ArabiaSaudi Arabia: Increased Saudization Requirements for Certain Private-Sector Healthcare Roles
October 29, 2025Saudi Arabia: Mandatory Health Insurance Prior to Temporary Work Visa Issuance
October 29, 2025 | Republic of Korea (South Korea)South Korea: K-Star Visa for Science and Tech Talent Implemented
October 29, 2025 | United Kingdom, United StatesGames Industry: US H-1B Visas: Alternatives to a $100,000 Fee
October 29, 2025 | United Kingdom, BelgiumPeople Management: How Will EU Travel Rule Changes Impact Employers?
October 29, 2025 | Saudi ArabiaSaudi Arabia: Increased Saudization Requirements for Certain Private-Sector Healthcare Roles
October 29, 2025Saudi Arabia: Mandatory Health Insurance Prior to Temporary Work Visa Issuance
October 29, 2025 | Republic of Korea (South Korea)South Korea: K-Star Visa for Science and Tech Talent Implemented
Subscribe
Fragomen.com home
Select Language
  • English
  • French
  • French - Canadian
  • German

Select Language

  • English
  • French
  • French - Canadian
  • German
ContactCareersMediaClient Portal
Search Fragomen.com
  • Our Services
    For EmployersFor IndividualsBy IndustryCase Studies
  • Our Tech & Innovation
  • Our People
  • Our Insights
    Worldwide Immigration Trends ReportsMagellan SeriesImmigration AlertsEventsMedia MentionsFragomen NewsBlogsPodcasts & Videos
  • Spotlights
    Navigating Immigration Under the Second Trump AdministrationFragomen Consulting EuropeImmigration Matters: Your U.S. Compliance RoadmapCenter for Strategy and Applied InsightsVietnamese ImmigrationView More
  • About Us
    About FragomenOfficesResponsible Business PracticesFirm GovernanceRecognition

Our Services

  • For Employers
  • For Individuals
  • By Industry
  • Case Studies

Our Tech & Innovation

  • Our Approach

Our People

  • Overview / Directory

Our Insights

  • Worldwide Immigration Trends Reports
  • Magellan Series
  • Immigration Alerts
  • Events
  • Media Mentions
  • Fragomen News
  • Blogs
  • Podcasts & Videos

Spotlights

  • Navigating Immigration Under the Second Trump Administration
  • Fragomen Consulting Europe
  • Immigration Matters: Your U.S. Compliance Roadmap
  • Center for Strategy and Applied Insights
  • Vietnamese Immigration
  • View More

About Us

  • About Fragomen
  • Offices
  • Responsible Business Practices
  • Firm Governance
  • Recognition
Select Language
  • English
  • French
  • French - Canadian
  • German

Select Language

  • English
  • French
  • French - Canadian
  • German
ContactCareersMediaClient Portal
  • Insights

The Evolution of Vietnam’s Regulations on Foreign Workforce

January 31, 2015

Marco Deutsch

Country / Territory

  • VietnamVietnam

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

By: Thanh Ton and Nicolas Bitar

At the end of 2014, the number of registered foreign employees in Vietnam had increased to over 100,000 from around 55,000 in 2012. In November 2013, the Vietnamese government implemented a new regulation (Decree 102) on the management and recruitment of foreign talent.
 
The regulation implements the new provisions of the Labour Code (effective May 2013). The purpose of the regulation was threefold: to better regulate and protect the local labour market; to tighten the requirements of the work permit regime; and to align the Vietnamese Labour Code with the government’s commitments under the World Trade Organization (WTO) Service Agreement.
 
What are the changes?
 
The key changes brought about by the new regulation are most notably:
 
  1. Reduction of the maximum duration of a work permit from 3 to 2 years. 
  2. Introduction of an additional level of governmental approval before a work permit application can be lodged. 
  3. Removal of extensions to work permits. Under the new regulation, foreign employees must apply for re-issuance instead. In addition, the requirements for re-issuance have increased, including a new medical check-up and local police clearance.
 
The changes were not well received by the foreign business community in Vietnam, which perceived the new regulation as not only tightening control of foreign workers but also adding red tape to the already lengthy and inefficient process.
 
Despite this perception, in practice, the implementation of the new regulation, particularly with the re-issuance of work permits and work permit exemption applications, varies amongst the different provinces and local competent authorities, leaving much to their administrative discretion.
 
In a twist contradictory to the tightening measures, the new regulation actually expanded the work permit exemption categories to include the eleven sectors in the WTO Service Agreement. At the time of implementation, however, there were no clear guidelines or clarification on the requirements of the exempted categories and companies were told to wait for the implementing Circular.
 
The Implementing Circular on Work Permit Exemption Categories
 
After a year of waiting, on 5 November 2014, the Ministry of Industry and Trade finally issued Circular 41 announcing the work permit exemptions for intra-company transferees within the eleven service industries listed under Vietnam’s WTO commitments. The industries include financial services, education, transportation and business services, to name a few.
 
While this Circular took effect on 22 December 2014, its implementation criteria have yet to be clarified by the local authorities. There are still uncertainties with respect to its interpretation and applications on the eligibility requirements.
 
At the time of writing, companies were advised by Departments of Labour across the country that their concerns will be clarified in the upcoming months after internal discussions and guidance from the Ministry of Industry and Trade.
 
It should be noted that this circular was adopted under very short deadlines, compared to previous regulations in the field, and comes into effect a few weeks before the implementation of a new law on immigration (which has come into effect to align with the full reformation of foreign labor laws in Vietnam). As it is currently implemented, the new immigration law effectively removes the possibility to enter Vietnam with a visa on arrival for business related trips. As such, it indirectly strengthens the importance of embassies and consulates and greatly restricts the possibility of the employee to be in-country before his work permit is issued.
 
What can we expect?
 
With the new reforms of the labor regulations recently announced and due in early 2015, it is still difficult to determine which direction the work permit regulations will take in the course of the year. However, as an example, with the new Work Permit Exemption regulation announced, one can hope that the authorities are taking feedback from the business community seriously and attempting to provide further clarity to streamline the processes.
 
Under the above backdrop, we anticipate the new work permit exemption regulations will have a positive impact on the management of foreign talent in certain industries. It seems that the work permit exemption process may well be shifting from an employee- and activities-based adjudication to an employer- and industry-based assessment. That being said, the full extent of the exemption regulation will only be seen once further clarification is received from the implementing authorities. The silver lining to this lack of clarity of course is local flexibility. This means that the local authorities may allow room for administrative discretion and practical, more business-friendly solutions.

Country / Territory

  • VietnamVietnam

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Explore more at Fragomen

Media mentions

Games Industry: US H-1B Visas: Alternatives to a $100,000 Fee

Senior Manager William Diaz outlines the US visa options available to the games industry for bringing international talent to the United States, including O-1, L-1 and E-2.

Learn more

Media mentions

People Management: How Will EU Travel Rule Changes Impact Employers?

Partner Jo Antoons and Manager Andreia Ghimis explain how businesses can navigate Europe’s new ETIAS pre-travel authorisation and avoid disruptions.

Learn more

Media mentions

Arts Professional: How Easy Is It for Overseas Creatives to Work in the UK?

Partner Louise Haycock and Associate Jennifer Gray analyse the barriers and opportunities for overseas creatives navigating the UK’s immigration system.

Learn more

Blog post

Claiming British Citizenship Through Ancestral Lineage: Who Is Eligible?

Associate Chloe Evans outlines eligibility criteria for individuals seeking British citizenship based on ancestral ties.

Learn more

Fragomen news

Fragomen Semiconductors Presents: "Voice of the Industry" October 2025 Q&A with Shari Liss

Fragomen’s Semiconductor Industry Group publishes the next installment of its “Voice of the Industry” Q&A series, featuring Shari Liss, Vice President of Global Workforce Development and Initiatives at SEMI.

Learn more

Media mentions

Gazeta Prawna: Legalny napływ cudzoziemców do pracy powstrzymany

Partner Karolina Schiffter highlights how Poland’s tightened visa system affects foreign hiring and the challenges companies face in navigating it.

Learn more

Media mentions

Bloomberg Law: US Chamber Turns Trump Foe in Rare Split Over $100,000 H-1B Fee

Partner Carl Hampe provides insight on the impact of the $100,000 H-1B fee and the US Chamber of Commerce’s related lawsuit.

Learn more

Awards

Fragomen Wins 2025 FEM EMEA “Best Partnership” EMMA for Collaboration with TBB

Fragomen was honoured with the “Best Partnership Between a Corporate Organization and a Service Provider” EMMA at FEM's 2025 EMEA Summit.

Learn more

Media mentions

Global Mobility Lawyer: DOL Flags Immigration Crackdown as Risk to Food Supply

Partner Rachel Beardsley highlights how H-2A visa strategies can help sustain a skilled US agricultural workforce.

Learn more

Blog post

Intra-African Mobility: Unlocking the Continent’s Promise Through Free Movement

Director Willys Mac’Olale discusses how intra-African mobility can unlock the continent’s economic and social potential by promoting free movement, fostering integration and development.

Learn more

Blog post

Costa Rica Family Relocation: Understanding Residency for Dependents

Immigration Director Adriana Martínez Garro explains the residency process in Costa Rica for families relocating with dependents, outlining key legal considerations and steps for securing status.

Learn more

Media mentions

Financial Times: Scientists Charged Too Much to Come to Work in UK, Says Royal Society

Fragomen contributed data showing how UK visa and health surcharge costs compare with other leading research nations.

Learn more

Media mentions

Games Industry: US H-1B Visas: Alternatives to a $100,000 Fee

Senior Manager William Diaz outlines the US visa options available to the games industry for bringing international talent to the United States, including O-1, L-1 and E-2.

Learn more

Media mentions

People Management: How Will EU Travel Rule Changes Impact Employers?

Partner Jo Antoons and Manager Andreia Ghimis explain how businesses can navigate Europe’s new ETIAS pre-travel authorisation and avoid disruptions.

Learn more

Media mentions

Arts Professional: How Easy Is It for Overseas Creatives to Work in the UK?

Partner Louise Haycock and Associate Jennifer Gray analyse the barriers and opportunities for overseas creatives navigating the UK’s immigration system.

Learn more

Blog post

Claiming British Citizenship Through Ancestral Lineage: Who Is Eligible?

Associate Chloe Evans outlines eligibility criteria for individuals seeking British citizenship based on ancestral ties.

Learn more

Fragomen news

Fragomen Semiconductors Presents: "Voice of the Industry" October 2025 Q&A with Shari Liss

Fragomen’s Semiconductor Industry Group publishes the next installment of its “Voice of the Industry” Q&A series, featuring Shari Liss, Vice President of Global Workforce Development and Initiatives at SEMI.

Learn more

Media mentions

Gazeta Prawna: Legalny napływ cudzoziemców do pracy powstrzymany

Partner Karolina Schiffter highlights how Poland’s tightened visa system affects foreign hiring and the challenges companies face in navigating it.

Learn more

Media mentions

Bloomberg Law: US Chamber Turns Trump Foe in Rare Split Over $100,000 H-1B Fee

Partner Carl Hampe provides insight on the impact of the $100,000 H-1B fee and the US Chamber of Commerce’s related lawsuit.

Learn more

Awards

Fragomen Wins 2025 FEM EMEA “Best Partnership” EMMA for Collaboration with TBB

Fragomen was honoured with the “Best Partnership Between a Corporate Organization and a Service Provider” EMMA at FEM's 2025 EMEA Summit.

Learn more

Media mentions

Global Mobility Lawyer: DOL Flags Immigration Crackdown as Risk to Food Supply

Partner Rachel Beardsley highlights how H-2A visa strategies can help sustain a skilled US agricultural workforce.

Learn more

Blog post

Intra-African Mobility: Unlocking the Continent’s Promise Through Free Movement

Director Willys Mac’Olale discusses how intra-African mobility can unlock the continent’s economic and social potential by promoting free movement, fostering integration and development.

Learn more

Blog post

Costa Rica Family Relocation: Understanding Residency for Dependents

Immigration Director Adriana Martínez Garro explains the residency process in Costa Rica for families relocating with dependents, outlining key legal considerations and steps for securing status.

Learn more

Media mentions

Financial Times: Scientists Charged Too Much to Come to Work in UK, Says Royal Society

Fragomen contributed data showing how UK visa and health surcharge costs compare with other leading research nations.

Learn more

Stay in touch

Subscribe to receive our latest immigration alerts

Subscribe

Our firm

  • About
  • Careers
  • Firm Governance
  • Media Inquiries
  • Recognition

Information

  • Attorney Advertising
  • Legal Notices
  • Privacy Policies
  • UK Regulatory Requirements

Our firm

  • About
  • Careers
  • Firm Governance
  • Media Inquiries
  • Recognition

Information

  • Attorney Advertising
  • Legal Notices
  • Privacy Policies
  • UK Regulatory Requirements

Have a question?

Contact Us
  • LinkedIn
  • Youtube
  • Instagram
  • Facebook
  • Twitter

© 2025 Fragomen, Del Rey, Bernsen & Loewy, LLP, Fragomen Global LLP and affiliates. All Rights Reserved.

Please note that the content made available on this site is not intended for visitors / customers located in the province of Quebec, and the information provided is not applicable to the Quebec market. To access relevant information that applies to the Quebec market, please click here.