Vietnam is emerging as a rising tech hub in Asia, attracting global corporations and startups in software, AI, IoT, fintech, blockchain, and data engineering. With the rapid growth of the IT talent market, foreign companies are turning to Vietnam to expand their engineering teams faster, reduce costs, and gain a stronger competitive edge worldwide. EOR Services.

However, to officially hire in Vietnam, most companies face one major challenge: they do not yet have a legal entity in the country. Establishing a company can take 2–6 months and requires extensive legal, tax, and operational procedures. In the fast-moving tech industry, even a delay of a few weeks can mean losing top talent — especially for high-demand roles like Developers, Engineers, Product Owners, or Data Specialists.

This is where Employer of Record (EOR) services become the ideal solution for tech companies looking to enter the Vietnamese market quickly, safely, and cost-effectively.

The article below explains why EOR has become a “strategic growth bridge” for international tech companies — and why NIC Global is the trusted partner for building tech teams in Vietnam.

1. Why Vietnam Has Become a Top Destination for Tech Companies

1.1. Large, young, and English-proficient engineering workforce

Vietnam currently has more than 600,000 IT workers and approximately 50,000 new tech graduates each year — one of the fastest-growing pools in Southeast Asia.
English proficiency among IT workers is also rising, especially in:

• Software Development
• Cloud Computing
• Data Engineering
• AI / Machine Learning
• Cybersecurity
• Automation Testing
• DevOps

The majority of engineers are Millennials and Gen Z — adaptable, quick to learn new technologies, and ready to work with international companies.

1.2. Competitive labor costs with high-quality talent

Compared to Singapore, Japan, Hong Kong, or the U.S., hiring software engineers in Vietnam costs 40–70% less, while talent quality remains highly regarded by global corporations such as Samsung, Bosch, Intel, Amazon, Shopee, and Grab.

1.3. A more open regulatory environment

The Vietnamese government continues to improve its legal framework to attract FDI, encourage high-tech sectors, and accelerate digital transformation. This creates favorable market access conditions for foreign companies, especially through the EOR model — a legal workforce solution.

2. Challenges Foreign Companies Face When Hiring Engineers in Vietnam

Even with an attractive market, foreign companies still face significant hurdles without a legal entity:

2.1. Unable to sign employment contracts directly

Under Vietnamese law, only registered businesses can sign employment contracts. This poses challenges when companies want to:

• Hire full-time developers who are not contractors
• Onboard a pilot team before opening a physical office
• Hire urgently within 7–30 days

2.2. Complex legal and tax requirements

Companies must comply with:

• Legal entity registration
• Corporate tax and personal income tax declarations
• Social, health, and unemployment insurance contributions
• Employment contract and HR dossier management
• Vietnam labor law compliance

Without experience, companies can unintentionally violate regulations.

2.3. Compliance risks

Incorrect hiring practices can lead to:

• Employees are not being legally protected
• Corporate penalties
• Issues with tax authorities or labor inspectors

2.4. Inability to hire fast enough for tech market needs

When opportunities arise, speed is everything — but legal entity establishment cannot be completed in a few weeks, leading to lost talent.

3. EOR Services — A Breakthrough Solution for Tech Companies

3.1. With EOR Services, companies can:

• Hire developers/engineers without establishing a legal entity
• Onboard employees within 5–10 days
• Optimize tax and HR costs
• Ensure 100% compliance with Vietnamese laws
• Scale teams up or down based on project needs
• Focus solely on product and technology development

3.2. EOR service is ideal for:

• Tech companies testing the Vietnamese market
• Funded startups needing fast team expansion without legal entity setup
• Corporations wanting a small R&D/tech hub before committing long-term
• 6 – 18 month tech projects
• Product expansion into Vietnam with a “low-risk, low-cost” approach

NIC Global — A Trusted EOR Partner for International Tech Companies

NIC Global is a leading HR outsourcing provider in Vietnam, with strong expertise in EOR and engineering recruitment for foreign businesses.

Payroll & Compliance — International Standards

NIC Global ensures:

• 100% accurate payroll
• Enterprise-level data security
• Full compliance with PIT & social insurance regulations
• Adherence to Vietnamese labor law and international security standards

Fast Engineering Recruitment — Strong IT Talent Pool

With a robust IT hiring ecosystem, NIC Global provides:

• Candidate shortlists within 48 hours
• Skill assessment and interviews
• Salary benchmarking for Vietnam’s IT market
• Onboarding on schedule

Streamlined 5-Step EOR Process

1. Define hiring needs & cooperation model
2. NIC Global signs the EOR service agreement
3. Company selects candidates — NIC Global signs employment contracts
4. NIC Global manages payroll, tax, insurance, and benefits
5. The client manages the employee’s daily work

NIC Global handles all legal and HR responsibilities.

Future Outlook: EOR Will Become the “New Operating Standard” for Tech Expansion

From 2026 to 2030, EOR services in Vietnam are expected to grow significantly due to:

• Rapid entry of global startups into Southeast Asia
• Global remote hiring trends
• Increasing internationalization of Vietnam’s IT workforce
• Rising demand for Cloud, AI, and MLOps engineers
• An increasingly competitive, attractive developer market

Tech companies want to focus on:

• Product
• Technology
• User growth
• Fundraising

—not legal or administrative hurdles. EOR service makes this possible.

EOR Services — The Key for Tech Companies to Enter Vietnam Fast, Safely, and Cost-Effectively

If your goals include:

✔ Building a developer team in 7–30 days
✔ Avoiding legal entity setup
✔ Reducing operational and compliance costs
✔ Hiring high-quality engineers with guaranteed timelines
✔ Focusing on technology instead of HR administration

NIC Global’s EOR services are the optimal solution.

NIC Global has supported hundreds of international tech companies entering Vietnam — fast, safely, and efficiently. Your company could be next.

For contact and support:

Facebook: NIC Global – Human Resource Solutions
LinkedIn: NIC Global Sourcing JSC
Website: www.nicvn.com
Email: info@nicvn.com
Hotline: (+84) 981.23.43.76
Address:

• Hanoi Office: No. 3A Thi Sach, Hai Ba Trung Ward, Hanoi, Vietnam
• Ho Chi Minh City Office: Dakao Center Building, 35 Mac Dinh Chi, Sai Gon Ward, Ho Chi Minh City, Vietnam

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