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Protecting whistleblowers in Vietnam

Vietnam's data protection

Rights of temporary workers in Vietnam

Protecting employees from harassment and discrimination in Vietnam

Vietnam's equal pay rule

Minimise risk with our compliance expertise

Vietnam’s labour law trend toward protection of employees

Vietnam continues to refine its labour policies to reflect a growing commitment to employee welfare and fair treatment. Recent developments in Vietnam’s labour laws highlight a clear trend toward the protection of employees, reinforcing obligations for employers and improving enforcement mechanisms. These changes focus not only on permanent staff, but also extend to temporary, outsourced, and part-time workers, signalling a broader approach to inclusive workforce protections.

One defining characteristic of an employee protected by law in Vietnam is the right to equal treatment regardless of contract type. Under the Labour Code, all workers—whether full-time or temporary—are entitled to fair wages, social insurance, workplace safety, and non-discriminatory treatment. Protections against harassment, unfair dismissal, and wage disparities are also increasingly being enforced, particularly following updates in the 2019 Labour Code, which came into effect in 2021.

Vietnamese authorities have also strengthened the framework around dispute resolution, inspections, and penalties for non-compliance, ensuring that rights are not only theoretical but actionable. Employers are now expected to implement clearer internal labour regulations, provide accessible grievance mechanisms, and follow more transparent hiring and termination practices.

For businesses operating in Vietnam, aligning with this trend requires not just legal compliance, but a cultural shift towards prioritising employee wellbeing. Doing so not only reduces legal risk but also contributes to a more engaged, loyal, and productive workforce.

Protecting whistleblowers in Vietnam

Vietnam has strengthened its framework to support individuals who expose wrongdoing in both the public and private sectors. Although not all employers are legally required to introduce whistleblowing systems, having clear internal mechanisms in place can help build trust, promote transparency, and reduce risk.

Whistleblowing, or denunciation as it is formally called in Vietnam, is governed by a number of legal instruments. These include the Law on Denunciations 2018, the Law on Criminal Procedure 2015, and the Anti-Corruption Law 2018. Each outlines processes and safeguards relevant to whistleblower protection.

Whistleblower protection laws in Vietnam

The whistleblower protection laws in Vietnam are designed to safeguard individuals who report misconduct or criminal activity. Under the Law on Denunciations 2018, whistleblowers benefit from extensive protections, including confidentiality of their identity and immunity from retaliation. The law ensures that personal information, job security, life, health, property, honour, and dignity are protected.

Meanwhile, the Law on Criminal Procedure 2015 focuses on those involved in criminal whistleblowing. It grants additional protections such as restricting public interaction, changing the whistleblower’s identity with consent, and even assigning protective personnel.
Authorities receiving reports are required to investigate and respond within 30 days, extendable by another 60 days in complex cases.

Importantly, the findings must be made public in accordance with legal requirements. Failure to report a criminal act can result in penalties, including up to three years’ imprisonment, depending on the circumstances.

Recommended whistleblower policies in Vietnam

While the law does not compel most private companies to establish whistleblowing systems, implementing a whistleblower policy in Vietnam can help businesses remain compliant with overarching legal obligations to report misconduct. This is particularly critical for state-owned enterprises and businesses in highly regulated sectors like banking and insurance.

Organisations may receive reports through verbal channels, written submissions, emails, or secure digital platforms. Reports must be accepted and processed in full, as required by law.

Although whistleblowers typically need to provide their name and address, anonymity can still be maintained. Article 56 of both the Law on Denunciations 2018 and the Law on Criminal Procedure 2015 allows individuals to request confidentiality when submitting a report. This protection also extends to the whistleblower’s family.

Adopting internal reporting frameworks in line with Vietnam’s whistleblower protections allows employers to proactively address compliance risks. A transparent culture also reassures employees that ethical concerns will be handled appropriately.

To manage the risks associated with whistleblowing more effectively, companies operating in Vietnam should review their governance policies regularly and ensure they align with current whistleblower protection laws in Vietnam.

Vietnam's data protection

As Vietnam modernises its digital economy, the country has taken bold steps to regulate how personal information is handled by organisations. For employers operating in Vietnam, keeping pace with the latest developments in Vietnam’s data protection framework is increasingly critical for compliance, especially as new obligations come into effect in 2026.

Vietnam’s data protection laws

On 26 June 2025, the National Assembly passed the Personal Data Protection Law (PDP Law), marking a major leap forward from the existing Decree No. 13/2023/ND-CP. The new PDP Law (also referred to as Law No. 91/2025/QH15) is set to take effect on 1 January 2026 and will provide a more robust and comprehensive legal foundation for safeguarding personal data.

Some of the most notable features of the PDP Law include:

Increased penalties: Violations of personal data rules can lead to fines up to 10 times the revenue earned from illegal data trading, or up to 5% of the prior year’s revenue for cross-border data breaches. Other breaches may incur fines of up to 3 billion VND.
Expanded scope: The law now applies to sectors such as employment, healthcare, finance, advertising, cloud computing, AI, and blockchain.
New obligations: Organisations must obtain clear consent when processing personal data. Additional compliance measures, such as Data Protection Impact Assessments (DPIAs) and the appointment of Data Protection Officers (DPOs), are now required under many circumstances.

The law also introduces exemptions and transition periods for smaller businesses. Startups and SMEs may be exempt from certain requirements—such as DPIAs and DPO appointments—for five years after the law’s effective date. Microenterprises and household businesses are entirely exempt.

Vietnam’s data protection policies

The PDP Law builds on Vietnam’s data protection policies laid out in Decree 13, which had been the primary regulation since mid-2023. The new law consolidates and strengthens these policies, placing greater emphasis on protecting sensitive categories of data such as biometric information and location data.

In practice, this means that companies will need to revisit their internal protocols to ensure proper handling, storage, and processing of employee and customer data. Employers in Vietnam should also be aware that data subject consent is a non-negotiable element of the new framework. Failure to comply may not only result in steep penalties, but also reputational damage.

Given the broad scope of Vietnam’s data protection law, it is important for employers to stay ahead of regulatory updates and ensure that their HR, IT, and compliance teams are equipped to meet upcoming obligations. Working with data privacy professionals familiar with the local legal environment can help businesses minimise risk and avoid costly missteps.

Further updates will become available once the final version of the PDP Law is officially published, but now is the right time to begin reviewing existing policies and setting up systems aligned with the new standards.

Rights of temporary workers in Vietnam

Hiring temporary employees is a common way for companies in Vietnam to meet seasonal demand, staff short-term projects, or bring on niche expertise. However, there are still important compliance requirements to consider when managing any temporary worker in Vietnam, especially with respect to fair treatment and contract obligations.

Partnering with a work permit agency in Vietnam

For foreign employees, businesses often rely on a work permit agency in Vietnam to ensure the documentation process is handled efficiently. Agencies typically support employers with securing work permits, registering staff with local authorities, and making sure all labour paperwork complies with Vietnamese law.

Although there is no legal requirement that temporary workers receive the same compensation as permanent staff, businesses must still meet the minimum standards outlined in the Labour Code. The Labour Code of 2019, which came into force in January 2021, requires that all employees—regardless of contract duration—receive written contracts, minimum wage, social insurance, and statutory benefits such as annual leave and overtime pay.

That said, Vietnam temporary worker overtime entitlements are still bound by the same limits as those for permanent workers. For example, overtime cannot exceed 40 hours per month and 200 hours per year, except in special industries where it may be increased to 300 hours annually.

Best practices when hiring temporary workers in Vietnam

When onboarding a temporary worker in Vietnam, employers should:

Prepare dual-language employment contracts (Vietnamese and English if needed).
Register the worker with the appropriate social insurance and tax bodies.
Set up payroll systems to handle salary payments and required contributions.
Clarify working hours, rest breaks, and overtime policies from the outset.
Stay updated on changes to labour law that might affect contract durations or renewal conditions.

While the law does not require identical pay between temporary and permanent roles, aligning compensation and benefits where feasible can reduce attrition and build goodwill. It can also demonstrate your company’s commitment to fair workplace practices. Ensuring that each worker’s terms of employment are clearly documented and compliant with Vietnamese legislation will go a long way in protecting both the business and its workforce.

Protecting employees from harassment and discrimination in Vietnam

Employers operating in Vietnam need to be aware of the country’s evolving labour laws, especially when it comes to protecting employees from harassment and unequal treatment. Vietnam has introduced stricter rules in recent years to reinforce employee rights and workplace fairness, including specific provisions targeting discriminatory practices and inappropriate conduct at work.

Anti-discrimination law Vietnam

The Labour Code of Vietnam prohibits any form of discrimination in Vietnam on the basis of race, colour, sex, nationality, social background, ethnicity, age, marital status, pregnancy or maternity status, religion, political views, HIV status, family responsibilities, disability, or trade union membership. These rules apply to both Vietnamese and foreign workers, whether they are directly hired or outsourced.

Employers are responsible for ensuring their workplace policies and practices do not create or perpetuate bias. For example, giving preference in hiring or promotion based on gender or marital status, or offering unequal pay based on nationality, may constitute a breach of the discrimination law in Vietnam.

Employers should formalise equal opportunity statements in internal labour regulations (ILRs) and company handbooks to set clear expectations and accountability across all levels.

Protections against harassment in Vietnam

In addition to protecting against workplace discrimination in Vietnam, the law also prohibits harassment, including sexual harassment.

This is taken seriously by the authorities and may result in immediate dismissal of the offending employee. The Labour Code allows employers to discipline such offences provided:

The ILRs define what constitutes harassment.
The employer follows due process to establish fault.
The complaint is raised within six months from the date of the incident.

Employers should develop clear anti-harassment policies, train staff regularly, and offer confidential reporting channels to encourage a safe working environment.

Violations not only impact workplace morale but may also lead to legal risks, reputational damage, and complications with foreign employee work permits.

Protecting your workforce from discrimination and harassment is not just about compliance—it is about building a productive, respectful, and inclusive company culture.

Vietnam's equal pay rule

Employers operating in Vietnam should be mindful of their obligations regarding fair compensation practices. Local legislation places a clear emphasis on gender equality in the workplace, with specific rules about equal pay for equal work. This directive, established in Vietnam’s Labour Code, reflects the government’s commitment to fair employment standards.

The Labour Code explicitly states that men and women performing the same job at the same workplace must be paid equally. This rule on Vietnam’s equal pay is designed to combat longstanding gender disparities and is part of a broader effort to promote workplace equality. But the obligation does not stop at salary. Employers are also required to ensure that men and women receive equal opportunities for promotion, training, and access to social protections.

Gender-based disparities must be actively addressed by the employer. This includes creating inclusive HR policies, conducting periodic pay audits, and maintaining transparency across job descriptions and salary bands. Additionally, employers must guarantee that all staff have equal access to benefits like social insurance, health insurance, and unemployment insurance. These protections support the principle that total compensation is more than just a monthly salary; it encompasses all working conditions and entitlements.

Pay equity is not just a compliance issue. It has strategic value for businesses aiming to build a more inclusive and productive workforce. With growing awareness and scrutiny around diversity and inclusion, upholding Vietnam’s equal pay laws enhances an employer’s reputation while contributing to staff retention and engagement.

Although enforcement may not always be stringent, organisations should treat these rules seriously. Non-compliance may not only result in legal exposure but also reputational damage, particularly for multinational firms operating across borders. Employers are encouraged to routinely review their pay structures and HR policies to ensure they are aligned with the spirit and letter of the Labour Code.

By aligning internal policies with pay equity principles and ensuring fair wages in Vietnam, employers contribute meaningfully to a more equitable and compliant labour environment.

Minimise risk with our compliance expertise

Hiring in Vietnam comes with its own set of legal and compliance requirements. Even minor missteps can lead to financial penalties or disrupt your operations.

CXC helps you stay compliant with Vietnamese labour laws while protecting both your business and your workforce. Our team blends local insights with global employment standards to minimise risk and ensure seamless hiring.

Speak to our team today to simplify your hiring process in Vietnam and beyond.

FAQ's

How do employment contracts, or labour contracts, work in Vietnam under the Labour Code 2019?

An employment contract in Vietnam creates the employment relationship between an employer and employee and sets the job, pay, working conditions and each party’s rights and obligations.

Vietnam’s Labour Code 2019 also looks beyond the title of the agreement. If an agreement describes paid work where one party manages, directs or supervises the other, it can still be treated as an employment contract even if it is called a service agreement, consultancy agreement or something else.

This is particularly important for companies engaging individuals as independent contractors. Changing the name of the contract does not by itself make the person a contractor if the working arrangement operates like employment.

The contract should be agreed before the employee starts work and must follow Vietnam’s rules on contract form, mandatory terms, pay and working conditions. The employer must not retain the employee’s original identity documents or qualifications, require a cash or property deposit as security for performance, or force the employee to continue working to repay a debt.

Are written employment contracts required in Vietnam?

Yes. Employment contracts in Vietnam generally need to be in writing, with one copy for the employer and one for the employee.

The main exception is an employment contract lasting less than one month, which can generally be agreed orally. However, written contracts are still required in certain cases, including employment of a person under 15 and domestic workers. A written contract is also required where a group of employees authorises one employee to conclude a contract for seasonal or specific work lasting less than 12 months.

Vietnam also recognises electronic employment contracts. A contract entered into as an electronic data message in accordance with Vietnam’s electronic transaction rules has the same legal value as a paper employment contract.

Employers should also be careful about informal arrangements. A worker does not fall outside the Labour Code simply because the parties have not signed a document labelled “employment contract”. If the arrangement involves paid work under the employer’s management or supervision, Vietnamese law can still treat it as employment. The absence of a compliant written document may also expose the employer to administrative penalties.

What types of employment contracts can employers use in Vietnam?

Vietnam has two main types of employment contract: indefinite-term contracts and fixed-term contracts of up to 36 months.

An indefinite-term contract has no agreed expiry date and is normally suited to an ongoing role. A fixed-term contract in Vietnam has an agreed end date and cannot run for more than 36 months.

The Labour Code 2019 removed the old category of seasonal or task-specific employment contracts of less than 12 months. Employers now work primarily with the two contract types above.

Part-time work is not a separate contract category. An employee can agree to work reduced daily, weekly or monthly hours and still receives the employment protections that apply to other employees. The contract type also affects what happens at expiry. Vietnam limits repeated use of fixed-term contracts, rather than allowing employers to renew them indefinitely.

What must an employment contract include under Article 21 of Vietnam’s Labour Code 2019?

Article 21 requires an employment contract in Vietnam to cover the parties, job and workplace, contract term, salary, working and rest time, insurance, protective equipment, pay progression and training.

The salary section should state more than the headline amount. The contract must cover the salary for the job or position, payment method and timing, allowances and other additional payments. The contract must also identify the employee and employer, including the authorised person signing for the employer, and state where the employee will work and what job they will perform.

Where the employee will have direct access to business or technology secrets, the employer can also enter into a written confidentiality agreement covering what must be protected, how long the obligation lasts and compensation for a breach.

This makes a generic global employment contract risky if it does not contain the information specifically required under Vietnamese law. Additional statutory information may be required for particular employees, including domestic workers and employees working in agriculture, forestry, fisheries or salt production.

How do fixed-term employment contracts work in Vietnam?

A fixed-term employment contract in Vietnam can last for up to 36 months and can generally only be renewed once before the employee must move to an indefinite-term contract.

When a fixed-term contract expires but the employee continues working, the employer and employee have 30 days to sign a new contract. The existing contract terms continue during that period.

If no new contract is signed within those 30 days, the contract automatically becomes indefinite term. If another fixed-term contract is signed, the parties can generally do this only once. If employment continues after that second fixed term, the next contract must normally be indefinite.

There are specific exceptions, including certain foreign employees and directors of state-invested enterprises. The exceptions also cover elderly employees and, where necessary, employees whose fixed-term contract must be extended until the end of their term as an executive of an employee representative organisation.

This 30-day rule is particularly important for employers using contract expiry dates as part of workforce planning. Simply allowing an employee to continue working can change their contractual status. When a fixed-term contract expires, the employer must normally give the employee written notice of the termination.

Can employers change employment contract terms in Vietnam?

Yes, but employers cannot simply impose changes to an employment contract in Vietnam. The employer and employee must agree to the amendment.

A party proposing a change must tell the other party what it wants to amend at least three working days in advance. If both sides agree, they can document the change through a contract annex or sign a new employment contract.

If they cannot agree, the existing employment contract continues on its current terms.

Vietnam also has an important restriction on contract annexes. An annex can clarify or amend contractual terms, but it cannot be used to change the duration of the employment contract. If an annex explains a contractual provision in a way that creates a different interpretation from the main contract, the main contract prevails. Where an annex validly amends a term, it should identify the amended provision and the date on which the amendment takes effect.

For employers, this means changes to salary, role, workplace or other contractual terms should not simply be updated in the HR system and treated as complete. The contractual change itself needs to be handled correctly.

Can employment contracts be signed electronically in Vietnam?

Yes. Employment contracts can be signed electronically in Vietnam and have the same legal value as paper contracts when they meet Vietnam’s electronic transaction requirements.

Article 14 of the Labour Code expressly recognises an employment contract concluded through electronic means in the form of a data message.

This makes electronic contracting useful for companies hiring remote employees or managing teams across different parts of Vietnam. Employers do not need to rely exclusively on wet-ink signatures simply because the document is an employment contract.

The important point is that the electronic process must comply with the applicable electronic transaction rules and provide a reliable record of the agreement. The method should reliably identify the signatories, demonstrate their approval of the contract and preserve the data message so it remains accessible for later reference.

Electronic signing also does not change what the contract itself needs to contain. The same Labour Code requirements covering the role, workplace, salary, working hours, insurance and other mandatory terms still apply whether the labour contract in Vietnam is signed electronically or on paper.

What probation period rules apply in Vietnam?

Probation in Vietnam is capped at 180 days for enterprise managers, 60 days for roles requiring college-level qualifications or above, 30 days for certain technical and professional roles, and six working days for other jobs. The 180-day limit applies specifically to enterprise managers under Vietnam’s Enterprise Law and the legislation governing the management and use of state capital invested in enterprises.

The probation period can only be used once for the same job. Employers can include probation in the employment contract itself or enter into a separate probation agreement.

Vietnam also sets a minimum for probationary pay. The employee must receive at least 85% of the salary for the job during probation. Probation cannot be used where the employment contract lasts for less than one month.

During probation, either party can end the probation agreement or employment contract without advance notice or compensation. At the end of the agreed period, the employer must inform the employee of the result.

What employment contract rules apply to foreign employees in Vietnam?

Foreign employees hired under a Vietnamese employment contract must have a written contract, and its duration cannot exceed the employee’s work permit.

Under the Labour Code, foreign employees can enter into multiple fixed-term employment contracts, making them an important exception to the usual rule limiting successive fixed-term contracts.

Vietnam’s foreign-worker rules changed in August 2025 with Decree 219/2025. For foreign nationals working under an employment contract who require a work permit, the permit must be issued before the employment contract is signed. The written contract must then be signed before the employee’s expected start date.

Work permits are generally issued for no more than two years, and the proposed employment contract is one of the factors used to determine the permit period. Different rules can apply where the foreign national qualifies for a work-permit exemption or works in Vietnam under another permitted arrangement.

How can companies streamline employment contract administration in Vietnam with CXC?

CXC helps companies manage employment contracts in Vietnam in line with local requirements, from preparing the right contract through to changes and renewals during employment.

Our local support can help employers account for Vietnam-specific requirements such as mandatory contract terms, fixed-term renewal limits and probation periods. For foreign employees, we can also support the employment arrangement alongside work authorisation requirements, including making sure the contract term aligns with the employee’s work permit.

CXC provides EOR, Agent of Record and payroll services in Vietnam, with more than 30 years of workforce management experience and support across 100+ countries. This is useful for businesses hiring a mix of employees and contractors in Vietnam or managing teams across several international markets.

Speak to our team to learn more about managing employment contracts in Vietnam with CXC.

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