VCI Legal – 23 November, 2025

On 7 August 2025, the Government issued Decree No. 219/2025/ND-CP regulating foreign workers in Vietnam (“Decree 219”), replacing the provisions on foreign workers in Vietnam under Decree 152/2020/ND-CP. Effective the same day, Decree 219 reflects the Government’s policy to streamline procedures and digitalize management of expatriate employment. For foreign investors, FDI enterprises, and employers of foreign professionals, several key changes and compliance points warrant close attention. 

1. Broader recognition for investors and managers (Article 2) 

Decree 219 expands the categories of foreign workers eligible to work in Vietnam, including: 

• Members of the Board of Directors or capital-contributing members of limited liability companies, even when their contributed capital is below VND 3 billion. 

• Foreigners performing economic or social contracts, and those working for foreign diplomatic missions or international organizations in Vietnam. 

These clarifications remove prior ambiguity and allow investors and board members to work in Vietnam under a clearer legal basis, without relying on uncertain exemption interpretations. 

2. Simplified work permit application process (Articles 6, 8, 18) 

Decree 219 consolidates several procedural steps previously required under Decree 152: 

• Employers can now submit work permit applications and demand reports simultaneously, replacing the prior two-step approval process. 

• The statutory processing time is shortened to 10 working days from the date of a valid dossier. 

This consolidation substantially shortens the total processing timeline and reduces duplication for employers, a notable improvement for FDI enterprises hiring expatriates. 

3. Reduced job posting obligations (Articles 8 and 27) 

The requirement to post recruitment notices for Vietnamese workers applies only to cases where foreign employees are hired: 

1. Under a labor contract; 

1. To perform bidding packages or projects in Vietnam; or 

1. Under a labor contract with foreign diplomatic missions or foreign organizations. 

The posting period is shortened to 5 working days, and employers can choose suitable recruitment platforms (excluding informal social media). 

The reduced scope and shortened timeframe lessen procedural burdens and timelines for employing foreign positions. 

4. Updated dossier requirements and qualification standards (Articles 18 and 19) 

Decree 219 restructures and provides several updates to the dossier and qualification requirements, highlighted as follows: 

• Form of work proof: 12 months of prior overseas employment for intra-company transfers; 24 months for service contract cases. 

• Proof of qualifications:  

• For Executive: a factory head or a direct manager of a specific field of the company needs three years’ experience appropriate to the job position.  

• For Specialist: It requires a degree from university level and a written confirmation of two years’ appropriate experience, or one year for priority sectors (finance, science, technology, innovation, digital transformation).  

• The work permit or certificate of work permit exemption issued in Vietnam can be applied as proof of working experience appropriate to the job position. 

• The submission of labor contracts for foreign employees is not obligatory, unless required by the authority. 

Specified experience thresholds and reduced paperwork make it easier for enterprises to recruit skilled foreign professionals, especially in innovation and high-tech sectors. 

5. Online procedures and digitalization (Articles 6, 8, 12, 15, 23, 27) 

• All submissions for issuance, reissuance, and extension of work permits or exemption certificates must be completed online via the National Public Service Portal.  

• The health examination report can be recognized digitally if available on the national health databases. 

• Criminal record certificates can also be processed via the National Public Service Portal. 

• Employers are facilitated to file joint applications for the work permit and criminal record. 

The application of digital transformation in these administrative procedures helps streamline direct interaction with authorities and shorten overall processing time. 

6. Renewal and revocation (Articles 28, 30–31) 

• Renewal applications must be filed between 10–45 days before the work permit expiry. The renewal is allowed once for a maximum period of two years.  

• Expired work permits must be returned within 15 days from the expiry date and returned to the issuing authority together with a written report on the revocation.  

In some respects, compliance obligations are simplified, while some require employers to monitor timelines strictly to avoid non-compliance or administrative breach.  

Key takeaways for FDI employers and investors 

• More friendly and simpler process: Shortened processing time with integrating separate procedural steps. 

• More inclusive recognition: Foreign investors and board members can work under defined legal categories. 

• Clarified technical and submission barriers: Shorter posting periods and online submissions simplify compliance. 

• Ongoing compliance focus: Employers must still observe strict timelines for contract signing, renewal, and revocation.  

In conclusion, Decree 219 signals Vietnam’s shift toward an investor-friendly, digital, and efficient regime for managing foreign workers. FDI enterprises and foreign investors should review their existing workforce structures, ensure procedural readiness for online filings, and take advantage of the more flexible and streamlined framework. 

About VCI Legal:

VCI Legal is an award-winning business law firm in Vietnam with a wide range of legal and corporate services, among other things, corporate, banking & finance, tax, labor & HR, real estate and dispute resolution with special focus on international investment disputes, We also offer our specialized type of service called “In-House Counsel Service” with the aim of assisting our clients in dealing with all types of internal and external issues arising from their day-to-day operations and business activities. With our offices in both Hanoi and Ho Chi Minh City, we have a tremendous depth of experience in providing well-reasoned and comprehensive legal advice to not only multinationals and Fortune 500 companies, but also small and medium enterprises.

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For many years, VCI Legal has been ranked among the top law firms in Vietnam for corporate, finance, insurance, taxation, employment, intellectual property and investment. With a “Can Do Attitude” combined with a “Know How” capacity, our firm is big enough to provide comprehensive legal support for any in-house legal matters, yet small enough to care about each of our clients. We undertake each engagement with the mindset of a long-term relationship, with the will to give whatever it takes to understand and fulfill your needs.

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