EOR and Labour Leasing in Vietnam: What the Law Allows in 2026
Insights · By Chen ChunJie · Updated 13 November 2026
An employer of record can support hiring in Vietnam only through a lawful operating model. When a Vietnamese enterprise employs someone and your business directs their work, the arrangement is labour leasing. It must meet provider conditions, fit one of 20 permitted work categories and an allowed purpose, and stay within the 12-month limit. A genuine managed service is different: the provider controls its staff and delivers agreed work. This guide helps you assess the right structure before making an offer.
Reviewed 13 November 2026 against Labour Code Articles 52–58, Decree 145/2020/ND-CP and Resolution 66.18/2026/NQ-CP. The temporary notification regime is scheduled through 28 February 2027, unless superseded earlier. General information, not legal advice.
When an employer of record becomes labour leasing
Article 52 of the Labour Code defines labour leasing by the employment and supervision relationship: the leasing enterprise keeps the employment contract while the worker works under another employer’s direction. An EOR label does not create a separate exemption from those rules.
The name of the contract does not change the analysis. If the agreement says “consulting” or “outsourcing” but your team sets hours, assigns tasks and supervises the person, the arrangement is treated as leasing, and the rules below apply.
Who may provide labour leasing
Labour leasing remains a conditional business. Under Resolution 66.18/2026/NQ-CP, effective from 1 July 2026, the temporary regime replaces licence procedures with activity notification to the relevant provincial Department of Home Affairs. Enterprises whose existing leasing licences remain valid after that date do not need a new activity notification.
The provider must still maintain a VND 2 billion deposit at an eligible bank and comply with notification and quarterly reporting duties where applicable. Permitted work categories, purposes and worker protections still matter. The resolution is scheduled to apply through 28 February 2027, subject to earlier replacement by relevant legislation. Verify the provider’s current compliance basis; neither a business registration nor an EOR label alone is sufficient.
The 20 types of work open to leasing
Appendix II of Decree 145/2020/ND-CP lists the only jobs that may be leased:
| # | Type of work |
|---|---|
| 1 | Interpreting, translation and shorthand |
| 2 | Secretarial work and administrative assistance |
| 3 | Reception |
| 4 | Tour guiding |
| 5 | Sales support |
| 6 | Project support |
| 7 | Programming of production machine systems |
| 8 | Manufacturing and installing television and telecommunications equipment |
| 9 | Operating, inspecting and repairing construction machinery and production electrical systems |
| 10 | Cleaning buildings and factories |
| 11 | Document editing |
| 12 | Bodyguard and security work |
| 13 | Telemarketing and telephone customer care |
| 14 | Handling financial and tax matters |
| 15 | Car repair and operational inspection |
| 16 | Scanning, industrial technical drawing and interior decoration |
| 17 | Driving |
| 18 | Managing, operating, maintaining and serving on ships |
| 19 | Managing, supervising, operating, repairing, maintaining and serving on oil and gas rigs |
| 20 | Piloting and serving on aircraft, aircraft maintenance, flight dispatch and flight supervision |
Assess the actual duties, not just the job title. Administrative assistance, sales support and telephone customer care are listed categories, but that does not make every office, sales or customer-service role eligible. General software development is not the listed activity of programming production machine systems. Proposed changes are not a basis for proceeding until enacted and effective.
Allowed purposes and the 12-month limit
Article 53 sets two further conditions. First, one leasing assignment may last up to 12 months. Second, the client may use a leased worker only to:
- meet a temporary, sudden increase in work for a period of time;
- replace an employee on maternity leave, recovering from a work accident or occupational disease, or performing civic duties;
- fill a need for highly qualified or highly skilled staff.
Leased workers cannot replace employees on strike or involved in a labour dispute, or employees laid off for structural, technological or economic reasons, or company division or merger. The client and leasing enterprise must specifically agree responsibility for compensation for work accidents and occupational diseases. The client cannot supply the worker onward to another employer.
Plan the end of the assignment before it starts. Direct employment by your own eligible entity or another lawful structure may be possible, but an assignment ending does not automatically end the employment contract. Do not assume a renewed contract or a different provider resets the statutory limit.
Equal pay and the client’s duties
The leasing enterprise must pay at least what the client pays its own employees with the same qualifications doing the same work or work of equal value. The client must explain workplace rules, provide lawful and non-discriminatory working conditions, and agree night work and overtime with the worker within legal limits. The leasing contract must allocate work-accident and occupational-disease compensation responsibilities.
The client supplies evidence of disciplinary breaches to the leasing enterprise; it does not impose employer disciplinary measures itself. The leasing enterprise remains responsible for employment administration, applicable salary and insurance obligations, and lawful disciplinary and termination procedures.
What happens if the rules are not met
Non-compliant leasing can expose the provider and client to administrative penalties and employee claims. Check the actual duties, supervision, permitted purpose, provider compliance and assignment term before work starts. Tax deductibility and input VAT recovery need a separate review of the transaction, invoices and applicable tax rules; they should not be assumed merely because a provider issues an invoice.
If your role does not fit
| Situation | Lawful alternative |
|---|---|
| The role is not on the list, or you need it for longer than 12 months | Your own Vietnamese company, with payroll outsourcing |
| You want an outcome rather than a person, such as a support desk or a bookkeeping function | A genuine NNRoad-managed service where legally suitable: NNRoad delivers agreed work and fully manages its staff; the client agrees deliverables rather than directing individuals |
| The work is a defined project done by a genuinely independent professional | An independent contractor, under a services contract |
| The person is a foreign national | Expat Employment in Vietnam, assessed separately for the lawful employer, work permit or exemption, role and workplace; foreign nationality does not bypass leasing restrictions |
How to check a provider
- Ask for the name of the Vietnamese company that will employ your hire and sign the employment contract.
- Ask how the arrangement meets the leasing rules, and whether the provider holds a leasing licence or has notified the authority.
- Ask whether your role is on the list and which allowed purpose applies.
- Ask what the contract term will be and what happens at 12 months.
- Be wary of a provider that says yes to any role, for any length, without questions.
Our ten-point checklist is in choosing an EOR provider in Vietnam.
Questions about EOR and labour leasing in Vietnam
Is an employer of record legal in Vietnam?
It can be, where the actual arrangement meets Vietnamese law. Client-directed labour leasing requires a qualifying provider, permitted work and purpose, and compliance with the 12-month limit. The temporary 2026 notification regime changes licence procedures, not these core restrictions. A genuine managed service requires the provider to manage its own staff; relabelling client-directed work is insufficient.
Can I hire a software developer through an EOR in Vietnam?
General software development is not the listed activity of programming production machine systems. Consider direct employment by your own eligible company, a genuine provider-managed service, or genuinely independent project work. A contractor label is unsuitable where the facts establish employment.
How long can a leased employee work for us?
The statutory leasing period is no more than 12 months under Article 53. Plan a lawful end or transition at the outset; do not assume changing contracts or providers resets the limit. Ending the client assignment does not itself terminate the worker’s employment contract.
Who is responsible for the employee’s salary and insurance?
The leasing enterprise remains the employer and handles salary, applicable insurance and personal income tax obligations. It must meet the statutory pay comparison with the client’s comparable employees. The client remains responsible for its workplace duties and agreed inputs; using an EOR does not transfer every legal responsibility.
Can a leasing arrangement be used for foreign employees?
Assess foreign hires separately. Confirm the permitted engagement model, actual employer, role, location and work permit or exemption requirements before work begins. Immigration authorisation alone does not establish that labour leasing is lawful. NNRoad’s Expat Employment service assesses those conditions and any genuine service fully managed by NNRoad.
Check whether your role fits
Share the duties, work location, supervision needs and expected duration. NNRoad will discuss the lawful model with you: eligible client-directed employment or, where appropriate, a genuine service fully managed by NNRoad. We confirm responsibilities before an offer or start date.