Two mistakes come up repeatedly with foreign-owned businesses hiring in Vietnam: hiring on a verbal agreement, and assuming part-time staff are outside social insurance. The second one changed materially in July 2025.
Contracts: one month is the line
Employment of one month or more must be in writing. That same one-month mark also decides whether social insurance applies, so it is worth remembering.
| Type | Use |
|---|---|
| Indefinite term | No end date. Head chef, manager, long-term staff |
| Fixed term | Up to 36 months. Most store staff |
What the contract must contain
Party details and workplace · the specific job · term · salary, payment method and pay date · working and rest hours · social and health insurance · allowances.
Probation — three things people get wrong
- Probation periods are short for ordinary store and restaurant roles. Keeping someone "on probation" for months and then letting them go is not permitted.
- Probation pay must be at least 85% of the pay for that job.
- If probation ends and the person keeps working, they are treated as permanently employed.
Social insurance — what changed on 1 July 2025
Minimum wage from 1 January 2026
| Region | Per month | Per hour |
|---|---|---|
| Region I | 5,310,000 VND | 25,500 VND |
| Region II | 4,730,000 VND | 22,700 VND |
| Region III | 4,140,000 VND | 20,000 VND |
| Region IV | 3,700,000 VND | 17,800 VND |
The hourly figures apply to part-time staff and are frequently underpaid simply because employers do not know they exist. Overtime is at least 150% on ordinary days, 200% on weekly rest days and 300% on public holidays, with a further 30% for night work.
Fining employees is prohibited
Ordersys HRM keeps staff records, contracts, timesheets and payroll together — the minimum evidence you need if an inspection or a dispute ever arrives.
This article is a general guide based on regulations in force at the time of writing. Confirm specific cases with a labour law adviser.
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