Why Businesses Should Use EOR Services for Hiring in Vietnam

29/04/2025

What is EOR? A Professional Approach to Employment Legalization

An Employer of Record (EOR services) is a service that allows companies to hire employees in a foreign country without establishing a legal entity there. The EOR acts as the legal employer, handling all legal obligations such as employment contracts, payroll, and tax compliance. At the same time, the client company retains full control over the employees’ work assignments.

eor services nic global

This model is especially suitable for foreign companies that want to test the Vietnamese market, expand rapidly, or minimize legal risks in human resource management.

Vietnam’s Labor Market in 2025 – Abundant Opportunities, Complex Challenges

In the context of digital transformation and deeper global integration, the demand for cross-border and inter-provincial talent acquisition is growing. However, understanding and complying with Vietnam’s labor laws remains a significant challenge for foreign enterprises or those without a dedicated HR department.

EOR services streamline the hiring process, allowing businesses to operate legally, efficiently, and with cost savings.

Key Benefits of EOR Services

benefits of eor services

  • Save Time and Operational Costs

Companies can quickly deploy personnel in Vietnam without setting up a subsidiary or an administrative department.

  • Ensure Full Compliance with Local Laws

EOR providers ensure compliance with labor contracts, social insurance, personal income tax, paid leave, and more.

  • Flexibility in Workforce Management

Businesses can scale up or down depending on project needs without dealing with complex legal procedures.

  • Reduce Risks of Illegal Employment

Avoid the risks of non-compliant labor arrangements, protecting both brand reputation and employee rights.

Who Should Use EOR Services?

  • Foreign companies without a legal entity in Vietnam but seeking to hire local employees.
  • Companies are expanding into new provinces that require quick workforce deployment.
  • Startups are looking to minimize initial costs.
  • Short-term projects or NGOs with limited local infrastructure.

NIC Global – A Trusted EOR Partner in Vietnam

With over 20 years of experience in human resource solutions, NIC Global – A trusted and professional HR partner – is the preferred provider of comprehensive EOR services in Vietnam.

nic global

Why Choose NIC Global?

  • Experience working with clients from over 30 countries.
  • In-depth knowledge of Vietnam’s labor laws, insurance systems, and tax regulations.
  • Modern HR systems with strict data security protocols.
  • Flexible service offerings to meet various scales and demands.

NIC Global’s EOR Services Include:

  • Signing labor contracts on behalf of the client.
  • Calculating and disbursing salaries, bonuses, and applicable deductions.
  • Managing social, health, and unemployment insurance contributions.
  • Filing and issuing annual personal income tax documents.
  • Managing employee leave, holidays, timekeeping, and disciplinary procedures.
  • Legally processing employment termination when required.

Comparing the Costs: Legal Entity Setup vs. EOR Services

Evaluating the two options helps businesses make better decisions when entering the Vietnamese market:

Cost CategorySetting Up a Legal EntityUsing EOR Services
Initial Legal ProceduresComplex, time-consuming, costlyNot required
Office Rental & FacilitiesMandatoryNot mandatory
Internal HR Recruitment & TrainingHigh investment neededHandled by EOR
Payroll, Tax, and Insurance SystemsMust be built and managedAvailable through EOR
Labor Law ComplianceSole responsibilityEnsured by EOR
Time to OperateTypically 3–6 monthsCan be operational in 1–2 weeks
Workforce FlexibilityHard to adjust quicklyEasily scalable

As demonstrated, for businesses that are not yet ready for long-term investment in Vietnam or are still in the market testing phase, EOR services offer a cost-effective, time-saving, and low-risk solution.

Frequently Asked Questions About EOR Services

Yes. When provided by a qualified, legally compliant agency such as NIC Global, EOR is fully legal.

Yes. The client company manages day-to-day operations while NIC Global handles legal employment matters.

Absolutely. The model is especially beneficial for long-term workforce management with lower cost and risk.

EOR services providers act as the official legal employer, unlike outsourcing firms that offer service-based labor without assuming legal responsibility.

Expand Your Business Safely with NIC Global

Utilizing EOR services is a strategic move that helps businesses save costs, expand into new markets quickly, and remain compliant with local laws.

NIC Global – A trusted and professional HR solution provider, is committed to delivering safe, flexible, and effective EOR services for businesses of all sizes.

For contact and support:

Facebook: NIC Global – Human Resource Solutions
LinkedIn: NIC Global Sourcing JSC
Website: www.nicvn.com
Email: [email protected]
Hotline: 0981.23.43.76
Address:

  • Hanoi Office: No. 3A Thi Sach, Pham Dinh Ho Ward, Hai Ba Trung District, Hanoi, Vietnam
  • Ho Chi Minh City Office: Dakao Center Building, 35 Mac Dinh Chi, District 1, Ho Chi Minh City, Vietnam

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