Noteworthy Issues Regarding Foreign Workers In Vietnam From 01/01/2021

Can an Indefinite-term Labor Contract be Signed with a Foreign Employee?

From January 01, 2021, Article 151 of the 2019 Labor Code specifies that only a definite-term labor contract can be signed with a foreign employee with the term not exceeding the work permit term, and the parties may agree to enter into several definite-term labor contracts. The provision of signing an indefinite-term labor contract after two occasions of signing a definite-term labor contract does not apply to a foreign employee (Article 20 of the 2019 Labor Code).

Is a Work Permit Required for a Foreign Legal Representative of an Enterprise if He/She Works Outside of Vietnam?

The legal representative (LR) of an enterprise is classified as a 'manager' under the provisions of the labor law. Therefore, obtaining a work permit is required. The exceptions are for cases where the LR is also (i) an owner or a capital contributing member of a limited liability company owning a capital