Employer of Record (EOR) Vietnam
Discover seamless hiring in Vietnam with Employer of Record (EOR) service. We handle all HR, payroll, and compliance requirements, allowing your business to expand into Vietnam without the need for a local entity.
What is an Employer of Record (EOR), and How Does it Work?
An Employer of Record (EOR) in Vietnam is a service that enables businesses to hire and manage employees in Vietnam without needing to establish a local legal entity. With AYP Group’s EOR Vietnam solution, we become the official employer for your staff, handling all legal and administrative responsibilities. This includes managing payroll, taxes, benefits, and compliance with Vietnamese labor laws.
What are the Advantages of Using an EOR?
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Accelerated Market Entry
AYP Group’s EOR Vietnam solution allows your business to quickly establish a presence in Vietnam without the lengthy setup procedures. This facilitates a swift start to operations and hiring.
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Cost Efficiency
Avoid the substantial expenses of setting up a local entity, such as legal, administrative, and HR costs. The EOR model provides a more cost-effective solution, allowing you to allocate resources more strategically.
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Regulatory Compliance
Navigating Vietnam’s labor laws and regulations can be intricate. AYP Group ensures full compliance with all local employment laws, shielding your business from potential legal risks.
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Administrative Management
AYP Group takes care of all HR-related functions, including payroll processing and benefits administration, enabling your internal team to focus on core business activities.
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Scalability
Easily adjust your workforce in Vietnam according to your business needs without the constraints of managing a local entity. This flexibility is vital for companies looking to enter or expand in the Vietnamese market.
We’re here to help you on your journey to hire, manage and pay.
How Does an EOR Ensure Compliance? What Are the Compliance Issues to Take Note Of?
AYP Group’s EOR Vietnam solution ensures compliance by:
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Employment Contracts
We draft and manage employment contracts that adhere to Vietnamese labor laws, covering compensation, termination, and employee rights.
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Tax and Social Security Contributions
AYP Group handles all payroll-related taxes and contributions, ensuring compliance with Vietnam’s tax laws and social security requirements.
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Employee Benefits
We ensure that your employees receive all legally mandated benefits, such as leave entitlements and social security contributions, in accordance with Vietnamese regulations.
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Documentation and Reporting
AYP Group maintains thorough documentation and provides regular reports to ensure transparency and adherence to local regulations.
Key compliance issues include:
- Ensuring employment contracts are compliant with Vietnamese labor laws.
- Adhering to local tax and social security regulations.
- Staying updated with changes in labor laws and regulations.
What Are the Costs Associated with Using an EOR?
The costs of utilizing an EOR in Vietnam generally involve:
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Monthly Service Fees
AYP Group charges a monthly fee based on the number of employees managed, covering employment, compliance, and administrative functions.
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Payroll Expenses
Includes employee salaries, bonuses, statutory deductions, and contributions such as to the Vietnam Social Security Fund.
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Setup Costs
Initial fees related to the onboarding of new employees, including contract preparation and compliance checks.
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Forex Mark-up and Bank Charges
Managing international payroll involves forex mark-ups to address exchange rate fluctuations, ensuring accurate salary payments. Combined with applicable bank charges, these costs are integral to smooth payroll operations.
How Does the Process of Using an EOR Work? What is the Timeline to Onboard an Employee?
AYP Group’s EOR Vietnam service streamlines the process:
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Initial Consultation
We start with a consultation to understand your hiring needs and business objectives in Vietnam.
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Customized Proposal
AYP Group provides a tailored proposal detailing the scope of services, costs, and timelines.
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Agreement and Onboarding
After finalizing the agreement, we initiate the onboarding process, including contract preparation, payroll setup, and compliance checks.
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Employee Onboarding
AYP Group manages all aspects of onboarding, from executing employment contracts to enrolling employees in benefits programs.
The typical timeline to onboard an employee in Vietnam through our EOR service is 1 to 3 weeks, depending on specific requirements and complexity.
How Does an EOR Manage Employee Benefits and Payroll?
AYP Group’s EOR Vietnam service meticulously handles employee benefits and payroll:
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Payroll Management
We ensure timely and accurate payroll processing, including salary disbursement, tax deductions, and contributions to the Vietnam Social Security Fund.
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Employee Benefits Administration
AYP Group manages statutory benefits such as health insurance, leave entitlements, and retirement contributions, ensuring compliance with Vietnamese laws.
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Benefits Optimization
We continuously review and enhance benefits packages to ensure they are competitive and compliant with local regulations.
What is the Process of EOR in Vietnam for Foreign Employees?
AYP Group’s Employer of Record (EOR) in Vietnam service simplifies the hiring and management of foreign employees:
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Needs Assessment
We begin by assessing your business needs to determine the most suitable work permit in Vietnam, such as the Work Permit or Investor Visa.
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Work Permit Application
AYP Group manages the entire application process for the work permit in Vietnam, ensuring full compliance with Vietnamese immigration regulations and timely approval.
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Employment and Onboarding
We draft compliant employment contracts according to Vietnamese labor laws and handle the onboarding process, including payroll setup and benefits administration.
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Ongoing Compliance
AYP Group ensures continuous adherence to local labor laws, manages any HR-related issues, and handles the renewal of work permits in Vietnam as needed.
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Offboarding
When an employee’s term ends, we manage the exit process, including work permit cancellations and final payroll processing, ensuring all legal obligations are met.
This process allows your company to efficiently hire and manage foreign talent in Vietnam without establishing a local entity, leveraging AYP Group’s EOR Vietnam services for seamless and compliant operations.
How to Get Started with EOR?
Getting started with AYP Group’s EOR Vietnam solution is straightforward:
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Contact Us
Reach out to our team for an initial consultation to discuss how our EOR services in Vietnam can support your business expansion.
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Assessment and Proposal
We will evaluate your needs and provide a customized proposal, including detailed pricing and service offerings.
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Agreement and Implementation
Upon agreement, we will initiate the onboarding process, taking over all employment-related functions to ensure a smooth transition.
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Ongoing Support
AYP Group continues to provide ongoing HR, compliance, and payroll management support, ensuring your business operates seamlessly in Vietnam.
Use Case: How Employer of Record (EOR) helps company to expand without an entity in Vietnam
A UK-based technology firm aimed to expand its operations into Vietnam to leverage the burgeoning tech industry. Rather than setting up a local entity, which would have involved significant time and financial investment, they chose AYP Group’s EOR Vietnam solution.
Challenges:
- Immediate need to enter the Vietnamese market to capitalize on new opportunities.
- Navigating the complexities of local employment regulations.
- Establishing a local HR infrastructure would have been resource-intensive.
Solution:
AYP Group provided a comprehensive EOR solution, including:
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Rapid Onboarding
Efficient setup of employment contracts and payroll management.
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Compliance Management
Handling all local tax and labor law compliance.
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Employee Benefits
Management of statutory benefits such as social security and health insurance.
Outcome:
The company successfully hired and onboarded employees in Vietnam within weeks, allowing them to commence operations promptly. They avoided the expenses and complications of establishing a local entity while maintaining full compliance with all regulatory requirements. AYP Group’s EOR solution facilitated a smooth market entry, providing the agility needed to expand in a new region.
With AYP Group’s Employer of Record solution in Vietnam, businesses can expand operations without the need for a local entity, ensuring compliance, cost-efficiency, and a seamless transition into new markets. Contact us today to learn how our EOR Vietnam services can support your business growth.
FAQs
What is Employer of Record Vietnam?
An Employer of Record (EOR) in Vietnam simplifies the hiring process by assuming all legal and administrative responsibilities for your employees. This enables businesses to recruit and manage talent in Vietnam without needing to establish a local entity, making it easier to expand and operate in the region. By using an EOR in Vietnam, companies can focus on their core operations while ensuring full compliance with local labor laws.
What is the cost of hiring through Employer of Record (EOR) Vietnam services?
The cost of hiring employees through an Employer of Record (EOR) in Vietnam typically ranges from USD 250 to USD 600 per employee per month. This fee includes HR administration, payroll processing, compliance management, and benefits administration. By partnering with an EOR in Vietnam, businesses gain access to local expertise that ensures seamless operations and adherence to local regulations.
Why choose Employer of Record (EOR) Vietnam over direct hiring?
Choosing an Employer of Record (EOR) in Vietnam allows your business to enter new markets and expand with minimal hassle. An EOR in Vietnam handles HR administration, legal compliance, and employee management, ensuring that your business remains compliant with local laws. This allows you to focus on driving business growth while the EOR manages the complexities of hiring and managing employees in Vietnam.
Who is the Employer of Record (EOR) service provider in Vietnam?
Several companies offer Employer of Record (EOR) services in Vietnam, including AYP. AYP provides comprehensive EOR solutions, assisting companies in hiring, managing, and paying employees while ensuring full compliance with Vietnamese regulations. With transparent pricing and no hidden fees, AYP offers a reliable solution for businesses looking to expand into Vietnam.
What is the process of hiring EOR employees in Vietnam?
The process of hiring employees in Vietnam through AYP’s Employer of Record (EOR) services involves several streamlined steps:
- Requirement Analysis: AYP conducts an in-depth analysis of your hiring needs to understand your specific requirements.
- Cost Simulation: AYP provides a cost simulation to give you a clear understanding of the total cost of hiring in Vietnam.
- Work Permit Application: If needed, AYP handles the application process for work permits to ensure compliance with Vietnamese regulations.
- Contract Preparation: AYP prepares employment contracts that align with Vietnamese labor laws.
- Benefits Enrollment: AYP enrolls employees in the necessary benefits programs, ensuring they receive all mandatory entitlements.
- Employee Onboarding: AYP sends a welcome email and facilitates a smooth onboarding process, ensuring new hires are ready to start their roles effectively.
This comprehensive process allows businesses to onboard employees in Vietnam quickly and compliantly, with AYP managing all administrative and legal aspects.
Why choose Employer of Record (EOR) in Vietnam with direct local support will improve your EOR employee experience?
AYP Employer of Record (EOR) in Vietnam has local support that ensure the employment practises align with the local laws, as such, the local EOR employees will have complete peace of mind to avoid any legal risks and penalties.
Also, our local HR support can provide a faster and seamless response for your local employees to have a better employee experience.