Choosing the Best Employer of Record for Your Business in Vietnam

Vietnam offers exciting opportunities for global companies. With a fast-growing economy, competitive labour costs, and a young, skilled workforce, the country has become a popular destination for international business operations. However, these opportunities come with various challenges like, hiring employees, handling complex local labour laws, tax obligations, and compliance requirements. An employer of record Vietnam helps companies in handling these challenges without the need to establish a local entity.  The EOR takes care of everything, from employment contracts and payroll to compliance and HR administration. In this blog, we’ll explore how an employer of record works in Vietnam and which providers are leading the way in helping companies expand efficiently. 

Key Takeaways:

• EORs help companies hire legally in Vietnam without creating a local entity.
  
• They manage employment contracts, payroll, compliance, and HR administration.
  
• Key players include Multiplier, Skuad, Rippling, Remote, and Horizons.
  
• Multiplier offers the best mix of automation, compliance, and support.

Understanding the Role of an Employer of Record in Vietnam

An employer of record Vietnam acts as the legal employer for your workforce in the country. While your company manages day-to-day operations and directs the employee’s work, the EOR handles all employment-related functions under Vietnamese law.

Here’s what an EOR typically manages:

• Drafting and signing compliant employment contracts
  
• Processing monthly payroll and taxes
  
• Administering employee benefits and insurance
  
• Managing statutory contributions such as social insurance and health coverage
  
• Handling compliance reporting and labour documentation

This model allows international businesses to enter the Vietnamese market quickly while avoiding the lengthy process of setting up a subsidiary or branch office.

Top EOR Service Providers in Vietnam

When expanding into Vietnam, partnering with a reliable employer of record Vietnam provider is essential to ensure compliance, efficiency, and smooth operations. The right EOR can help manage employment contracts, payroll, benefits, and HR administration while allowing your business to focus on growth. Here are some of the top providers trusted by global companies:

1. Multiplier

Multiplier is widely recognised as a leading EOR platform for companies entering Vietnam. It combines automation and compliance expertise to streamline hiring, payroll, and benefits management. Multiplier offers a user-friendly dashboard that allows businesses to onboard employees quickly, track payroll in multiple currencies, and manage statutory contributions seamlessly. Its transparency, scalability, and local expertise make it a preferred choice for enterprises of all sizes, from startups to multinational corporations.

2. Skuad

Skuad specialises in helping companies hire and manage teams in over 160 countries, including Vietnam. It provides fully compliant employment contracts, automated payroll processing, and benefits management. Skuad’s platform simplifies local compliance, ensuring that taxes, social insurance, and labour law requirements are accurately handled. It also provides HR support, employee onboarding assistance, and streamlined communication between employers and employees, making it ideal for businesses new to the Vietnamese market.

3. Rippling

Rippling merges HR, IT, and payroll in a single platform, making it a versatile solution for companies hiring in Vietnam. It helps automate payroll, benefits, and compliance while providing centralised management for HR tasks. Rippling’s system reduces administrative burdens and ensures employees are paid accurately and on time. Its integrated approach is particularly beneficial for companies looking to combine HR and IT management with their EOR services.

4. Remote

Remote offers a simplified global employment solution that allows companies to hire in Vietnam without establishing a legal entity. It handles employment contracts, payroll, taxes, and benefits, ensuring full compliance with Vietnamese labour laws. Remote emphasises employee experience, providing seamless onboarding and support while enabling businesses to scale efficiently in Vietnam. 

5. Horizons

Horizons (formerly New Horizons Global Partners) provides localised EOR solutions specifically designed for companies entering Asia. Its platform manages payroll, HR administration, compliance, and statutory benefits for employees in Vietnam. Horizons focuses on transparency, compliance, and scalability, making it a trusted partner for international businesses expanding across the region.

Essential Tips to Choose the Best EOR Provider

Selecting the right EOR provider is vital for ensuring smooth operations and compliance. Here are some tips to help you choose wisely: 

• Check Local Expertise: Choose a provider experienced in Vietnamese labour and tax laws.
  
• Evaluate Technology: Look for an EOR platform that offers automation, real-time tracking, and secure data handling.
  
• Compare Transparency: Ensure the provider offers clear pricing without hidden costs.
  
• Assess Customer Support: A responsive support team ensures issues are resolved quickly and efficiently.
  
• Review Global Reach: If you plan to expand further, choose a provider that supports multiple regions.

Each of the providers mentioned offers unique strengths, but businesses entering Vietnam for the first time should carefully assess local expertise, technology, support, and pricing when selecting an EOR. 

Conclusion

Choosing the right employer of eecord Vietnam provider can make all the difference between a smooth expansion and a challenging one. An experienced provider ensures full compliance, accurate payroll, and a seamless employee experience, allowing your business to focus on growth rather than administrative complexities. 

Among all the options, Multiplier stands out as the best choice for businesses entering Vietnam. With its advanced automation, transparent pricing, and deep local expertise, Multiplier ensures your operations run smoothly from day one.

Get started with Multiplier today and make your Vietnam expansion simple, compliant, and efficient. 

FAQs

1. What is an employer of record?
It’s a third-party service that employs workers on your behalf, managing payroll, contracts, and compliance.

2. Why use an EOR when expanding into Vietnam?
It lets you hire legally without establishing a local company while ensuring compliance with all labour laws.

3. Can EORs manage taxes and insurance contributions?
Yes, EORs handle personal income tax, social insurance, and other statutory contributions.

4. Is EOR suitable for startups and SMEs?
Absolutely. EORs help smaller companies expand quickly without administrative burdens.