Employment Service in Vietnam: 2026 Rules and Compliance
Vietnam introduced significant regulatory changes for businesses providing employment service activities in 2026. From July 1, 2026, employment services were removed from the list of conditional business lines, and several licensing, deposit and operating-condition procedures were discontinued under the transitional regulatory framework.
However, this does not mean that an employment service company can operate without compliance obligations.
Recruitment agencies must still register an appropriate business line, notify the competent authority before commencing operations, disclose required business information, manage candidate and employer data, submit periodic reports and comply with the National Employment Exchange Platform requirements.
This guide explains what changed, which requirements were removed and what an employment service company must continue to do in Vietnam.
Legal update: The transitional measures discussed in this article apply from July 1, 2026, through February 28, 2027. Businesses should review the regulations again before that period ends because permanent amendments are being prepared.
Quick Answer
From July 1, 2026, an employment service business in Vietnam is no longer classified as a conditional investment and business line.
During the current transitional period, the authorities do not continue to implement procedures for issuing, reissuing, renewing or revoking an Employment Service License. The previous VND 300 million security deposit and specific licensing conditions relating to business premises and the legal representative are also no longer applied.
Nevertheless, companies must continue to comply with operational obligations, including:
Registering the appropriate business activities;
Notifying the Department of Home Affairs before commencing operations;
Publicly disclosing business and contact information;
Publishing service prices and working hours;
Managing candidate and employer information;
Protecting personal and employment data;
Updating recruitment results;
Connecting with the National Employment Exchange Platform where applicable; and
Submitting six-month and annual reports.
Therefore, the 2026 reform changes Vietnam’s approach from extensive pre-operation licensing toward greater post-operation supervision.
What Is an Employment Service in Vietnam?
An employment service generally connects employers seeking workers with individuals looking for employment.
Depending on its registered scope, an employment service company may provide activities such as:
Employment and career consultation;
Recruitment assistance;
Candidate sourcing and screening;
Job matching and job placement;
Introducing candidates to employers;
Providing information on the labor market;
Supporting employers with recruitment campaigns; and
Operating an online recruitment or job-matching platform.
Under Vietnam’s current economic activity classification, businesses conducting employment placement activities generally register business line 7810 – Activities of employment placement agencies.
However, employment placement should not be confused with other regulated activities.
For example, labor subleasing, sending Vietnamese workers abroad under contracts and certain forms of overseas labor supply may be governed by separate regulations. A company should define its services carefully before registration rather than assuming that all recruitment-related activities fall within the same regulatory category.
What Changed for Employment Service Businesses on July 1, 2026?
Vietnam’s Investment Law 2025 removed employment services from the list of conditional investment and business lines from July 1, 2026.
The Government subsequently issued Resolutions 66.17/2026/NQ-CP and 66.18/2026/NQ-CP to reduce conditional business lines and discontinue several related administrative procedures.
The main changes affecting an employment service company are summarized below.
Requirement | Before July 1, 2026 | From July 1, 2026 |
Conditional business classification | Employment service was a conditional business line | No longer included in the conditional business list |
Employment Service License | Required before operation | Licensing procedures are currently not implemented |
VND 300 million deposit | Required | Deposit requirement is currently discontinued |
Minimum business location term | Required as a licensing condition | No longer applied as an employment service licensing condition |
Legal representative qualifications | Subject to specific education or experience requirements | No longer applied as a licensing condition |
Public disclosure | Required | Still required |
Operational notification | Required | Still required through the National Employment Exchange Platform |
Candidate and employer data management | Required | Still required |
Periodic reporting | Required | Still required |
Data protection and anti-fraud measures | Required | Still required |
The reform substantially reduces the initial cost and administrative burden of entering Vietnam’s recruitment market. However, it does not remove the company’s responsibilities after it begins providing services.
Is an Employment Service License Still Required in Vietnam?
Under the transitional rules effective from July 1, 2026, the authorities do not continue to implement the following procedures:
Issuing an Employment Service License;
Reissuing an Employment Service License;
Renewing an Employment Service License;
Revoking an Employment Service License; and
Approving the withdrawal of the employment service security deposit.
In practical terms, a newly established employment service company is not currently required to complete the former licensing procedure before commencing its registered activities.
This is an important change because earlier regulations under Decree 352/2025/NĐ-CP required enterprises to obtain an operating license, maintain a VND 300 million deposit and satisfy conditions relating to their premises and legal representative.
Businesses may still find those requirements in older articles or in the original wording of Decree 352/2025/NĐ-CP. However, the relevant licensing and business-condition procedures are not being implemented during the current transitional period.
What Happens to Existing Employment Service Licenses?
Companies that obtained an Employment Service License before July 1, 2026, may continue using the license until its stated expiry date.
Existing licenses do not automatically become invalid simply because employment services are no longer classified as a conditional business line.
Businesses that previously deposited VND 300 million for their employment service operations may withdraw the deposit from the receiving bank without obtaining written approval from the competent authority.
Before withdrawing the funds, the company should check:
Whether any payment or financial obligation remains unresolved;
Whether the bank requires supporting corporate documents;
Whether the person requesting the withdrawal has proper authorization; and
Whether the company’s internal accounting records correctly reflect the returned deposit.
Companies should retain copies of their former license, deposit confirmation and withdrawal documents as part of their compliance records.
Requirements That Employment Service Companies Must Still Follow
Removing the licensing requirement does not eliminate the operating obligations of an employment service business. Vietnam has moved toward post-operation monitoring, particularly through data reporting and the National Employment Exchange Platform.
1. Register the Appropriate Business Line
The company must register the business activities corresponding to the services it intends to provide.
For employment placement and recruitment agency activities, business line 7810 is generally relevant. Companies offering additional services should review whether other business lines are required.
The registered scope should match the company’s actual contracts, website descriptions, invoices and recruitment activities.
2. Notify the Authority Before Starting Operations
An employment service company must notify the Department of Home Affairs where its head office is located through the National Employment Exchange Platform.
The notification must be made at least five working days before the company begins or terminates its employment service activities.
This notification is different from an operating license. It informs the competent authority of the company’s commencement or cessation of operations.
3. Publicly Announce Employment Service Information
Within 20 working days from the date it begins operations, the company must publicly announce information concerning its employment service activities through mass media.
The published information should include:
The company’s operating location;
The scope of employment service activities;
The name of the legal representative responsible for the activities;
The company’s website, if available;
Its email address; and
Its contact telephone number.
Businesses should keep screenshots, publication links or other evidence showing when and where the announcement was made.
4. Display Working Hours and Service Prices
At its head office and branches, the company must publicly display:
Working hours;
Prices for employment consultation and job placement services;
The company’s name;
Head office and branch addresses;
Website information;
Email address; and
Contact telephone number.
The disclosed prices should be consistent with the company’s contracts, invoices and actual charges.
5. Update Recruitment Results
Within 20 working days after receiving recruitment results from an employer, the employment service company must update the results on the National Employment Exchange Platform.
The company must also monitor the employment status of workers it has introduced for at least one month. If the relevant employment contract is shorter than one month, monitoring should continue for the duration of that contract.
A suitable internal tracking system should record:
The candidate introduced;
The employer receiving the introduction;
The position involved;
The recruitment result;
The employment start date;
The employment contract duration; and
The required follow-up date.
6. Manage Candidate and Employer Data
An employment service business must establish, update and manage information relating to:
Workers registering for employment consultation;
Candidates seeking job placement;
Employers registering recruitment demand;
Recruitment results; and
Employment transactions performed through the company.
The company must be able to connect and share the required information with competent authorities in accordance with guidance from the Ministry of Home Affairs.
7. Protect Personal and Employment Data
Recruitment agencies routinely process sensitive information, including identification documents, employment history, salary expectations, contact details and educational records.
An employment service company must implement measures to protect:
Candidate personal data;
Employer data;
Labor-market information;
Recruitment transaction records; and
Information stored or transferred through online systems.
The company should obtain an appropriate legal basis or consent before collecting and using personal information. Access to candidate databases should be restricted, and data should not be retained longer than necessary.
Businesses must also establish measures to detect, prevent and warn users about recruitment fraud and deceptive job postings.
8. Connect Online Services with the National Platform
A business providing employment services through an e-commerce method may be required to connect, share and synchronize information with the National Employment Exchange Platform when the relevant technical and regulatory conditions are met.
This requirement is especially relevant to:
Online job boards;
Recruitment websites;
Employment marketplaces;
Mobile recruitment applications; and
Digital candidate-matching platforms.
Companies operating online platforms should also review whether their website or application is subject to Vietnam’s e-commerce notification or registration procedures.
9. Submit Periodic Reports
An employment service company must report its operating results to the Department of Home Affairs through the National Employment Exchange Platform.
The reporting deadlines are:
Six-month report: before June 20; and
Annual report: before December 20.
The reporting data period for the six-month report generally runs from December 15 of the previous year to June 14 of the reporting year. The annual reporting period generally runs from December 15 of the previous year to December 14 of the reporting year.
Companies should not wait until the reporting deadline to compile this information. Recruitment data should be maintained continuously throughout the year.
Employment Service Branch Requirements
An employment service company may establish branches in Vietnam in accordance with the Law on Enterprises.
Within 10 working days from the date the company assigns employment service responsibilities to a branch, it must notify:
The Department of Home Affairs where the head office is located; and
The Department of Home Affairs where the branch is located, if the branch is in another province or centrally governed city.
The branch must publicly display the company’s decision assigning employment service responsibilities to it.
Branches must also submit six-month and annual reports through the National Employment Exchange Platform.
Penalties for Employment Service Violations
The removal of the licensing requirement should not be interpreted as a reduction in regulatory enforcement.
Decree 283/2026/NĐ-CP, effective from September 10, 2026, introduces penalties for failures involving notification, reporting, data management and the National Employment Exchange Platform.
Depending on the violation, fines may include:
Violation | Indicative fine |
Failure to submit employment service reports through the National Employment Exchange Platform | VND 1–3 million |
Failure to notify authorities about branch assignments or branch relocation | VND 1–3 million |
Failure to update recruitment results within the required period | VND 3–5 million |
Failure to establish or manage candidate and employer data | VND 3–5 million |
Failure to protect personal, labor or recruitment transaction data | VND 3–5 million |
Failure of an online employment service to connect and synchronize required data | VND 3–5 million |
Failure to notify the authority before commencing or terminating operations | VND 5–10 million |
Failure to publicly disclose required employment service information | VND 5–10 million |
Other penalties may apply if the business publishes misleading job information, unlawfully collects fees, misuses personal data or conducts activities outside its registered business scope.
How to Establish an Employment Service Company in Vietnam
Following the 2026 reform, the establishment process is more straightforward, but careful preparation is still required.
Step 1: Define the Service Scope
Determine whether the company will provide:
Recruitment consultancy;
Candidate sourcing;
Job placement;
Executive search;
Online job advertising;
Recruitment process outsourcing; or
Another type of workforce service.
Confirm that the planned activities do not constitute labor subleasing or sending Vietnamese workers abroad, which may be subject to separate regulations.
Step 2: Check the Investment Structure
A Vietnamese investor may establish a domestic company under the standard enterprise registration process.
A foreign investor should separately review market-access requirements, the investor’s nationality, applicable international commitments and the proposed investment structure.
The removal of employment services from the conditional business list does not automatically eliminate every market-entry procedure applicable to a foreign investor.
Step 3: Register the Company and Business Activities
The investor should prepare the company registration documents and include the appropriate employment service business line.
Business line 7810 is generally used for employment placement agency activities.
Foreign-invested projects may also require investment-related procedures depending on the selected structure and the circumstances of the investment.
Step 4: Complete Post-Registration Procedures
After establishment, the company should complete the usual post-registration requirements, including:
Tax registration and electronic tax accounts;
Digital signature registration;
Bank account setup;
E-invoice registration;
Accounting system implementation;
Labor documentation; and
Beneficial ownership and corporate record compliance.
Step 5: Establish the Employment Service Compliance System
Before launching operations, the company should prepare:
Candidate consent and privacy forms;
Employer service agreements;
Recruitment service terms;
A published service price list;
Candidate and employer databases;
Recruitment result tracking procedures;
A complaint-handling process;
Data security measures;
Anti-fraud controls; and
Periodic reporting templates.
Step 6: Submit the Commencement Notification
The company must notify the Department of Home Affairs through the National Employment Exchange Platform at least five working days before beginning its employment service operations.
It should also prepare the required public announcement and retain evidence of publication.
Step 7: Maintain Ongoing Compliance
After commencing operations, the company must continuously update recruitment information, protect candidate data, monitor placements and submit periodic reports.
The business should assign a responsible employee to monitor regulatory changes because the current transitional framework is scheduled to run only until February 28, 2027.
Considerations for Foreign Investors
The 2026 reform creates a more favorable environment for foreign investors interested in Vietnam’s recruitment sector. The removal of the former license, deposit and representative conditions may reduce both market-entry costs and preparation time.
However, foreign investors should not assume that the reform automatically guarantees unrestricted market access.
Before proceeding, investors should review:
Market-access conditions applicable to their nationality;
Vietnam’s commitments under relevant international treaties;
The proposed foreign ownership structure;
Whether an Investment Registration Certificate is required;
The exact scope of recruitment activities;
Business lines to be registered; and
Whether any planned activity falls under a separate regulatory regime.
The scope described in the investment and enterprise registration documents should be consistent with the company’s commercial contracts and actual operations.
Employment Service Compliance Checklist
Before commencing operations, an employment service company should confirm that it has completed the following:
Registered the appropriate employment service business line;
Distinguished recruitment activities from labor subleasing and overseas labor services;
Completed company and investment registration procedures;
Prepared candidate privacy and consent documentation;
Established candidate and employer databases;
Created recruitment result and employment follow-up procedures;
Published its working hours and service prices;
Notified the Department of Home Affairs before commencing operations;
Prepared its public operating announcement;
Established access to the National Employment Exchange Platform;
Implemented data protection and anti-fraud measures; and
Scheduled six-month and annual reporting deadlines.
How Vinex Can Support Employment Service Businesses
The 2026 regulatory reform reduces initial licensing requirements but creates a stronger need for accurate company registration and ongoing operational compliance.
Vinex can support domestic and foreign investors with:
Market-entry and business-scope assessment;
Company and investment registration;
Business line registration;
Post-establishment procedures;
Employment service commencement notifications;
Labor and corporate compliance;
Accounting and tax compliance;
Preparation of internal recruitment documentation; and
Ongoing regulatory monitoring.
A clear service scope and compliance plan can help investors avoid registration delays, incorrect business classifications and post-operation penalties.
Conclusion
Vietnam’s 2026 employment service reform significantly reduces barriers to entering the recruitment market.
From July 1, 2026, employment services are no longer classified as a conditional business line, while the previous license, VND 300 million deposit and related licensing conditions are not being implemented during the transitional period.
Nevertheless, employment service companies remain subject to notification, disclosure, data protection, recruitment tracking and reporting obligations.
Businesses entering the market should therefore shift their focus from obtaining a license to building a compliant operating system. Foreign investors should also complete a separate market-access assessment before establishing a recruitment company in Vietnam.
This article is provided for general information only and does not constitute legal advice. Regulations may change after the transitional period ending on February 28, 2027.
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