Types of Leave
Vietnam's Labor Code 2019 defines multiple statutory leave types for employees across all industries. Understanding these leave categories is essential for employers planning to hire in Vietnam.
- Annual Leave: Employees who have completed 12 months of service are entitled to 12 working days of paid annual leave. Those working in hazardous environments or under special conditions are entitled to 14–16 days. Employees also gain one additional leave day for every five years of service with the same employer.
- Eligibility: Full-time employees with one year of continuous service. For less than one year, leave is prorated.
- Employer Obligations: Employers must calculate, record, and allow employees to take their annual leave. Employers are encouraged to publish leave calendars and ensure usage is tracked accurately.
- Sick Leave: Paid by the Social Insurance Fund, not the employer. Eligible employees can take 30–70 days of paid sick leave annually depending on their job type and years of insurance contributions. A medical certificate is required.
- Maternity Leave: Female employees are entitled to six months of fully paid maternity leave, funded through social insurance. An additional month is granted for multiple births. Employees must contribute to social insurance for at least 6 months in the 12 months prior to childbirth to qualify.
- Paternity Leave: Fathers can take 5 to 14 days of paid leave, depending on whether the birth was natural or via C-section, and whether multiple births occurred. This is also covered under social insurance.
- Personal Leave: Paid time off includes 3 days for weddings and 3 days for immediate family funerals. Other unpaid leave can be requested for personal matters with employer approval.
Unused Leave
Annual leave can be carried over to the following year if unused, but only for one year. Employers must pay out any unused leave upon resignation, termination, or at the end of a contract. Sick and maternity leave cannot be carried forward or encashed.
Consequences of Mismanagement
Failure to grant leave or pay out unused leave on termination can lead to administrative penalties ranging from VND 2,000,000 to VND 25,000,000. Employers may also face claims from employees through the labor inspectorate or civil courts.
Public Holidays
Vietnam observes 11 official public holidays, including Tet (Lunar New Year), National Day, and Reunification Day. Employees working on a public holiday are entitled to 300% of their normal daily wages. Public holidays are not deducted from annual leave and must be observed nationwide.
How AYP Manages Leave Compliance
AYP ensures leave compliance in Vietnam by managing entitlements in line with local regulations, automating sick leave reimbursements through social insurance systems, and ensuring that annual leave tracking aligns with carryover rules. We also handle the accurate payout of unused leave and help employers avoid costly mistakes by maintaining compliance-ready documentation.
Contact Us
Want to hire in Vietnam without worrying about labor compliance? Contact AYP today for end-to-end Employer of Record services tailored to Vietnamese regulations
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