How to Convert Contractors to Employees in Vietnam: A Comprehensive Guide

Without an Entity: Employer of Record (EoR) Solutions

For businesses operating in Vietnam without a local entity, converting contractors to employees can be challenging due to the legal and administrative requirements. This is where an Employer of Record (EoR) can provide a seamless solution.

What is an Employer of Record (EoR)?

An Employer of Record is a third-party service provider that acts as the legal employer for your employees in Vietnam. The EoR manages all aspects of employment, including payroll, tax filings, social insurance contributions, and compliance with local labor laws. While the EoR takes on the legal responsibility, your company retains full control over the employee’s day-to-day responsibilities and performance.

Benefits of Using an EoR in Vietnam

• Simplified Onboarding: An EoR can quickly convert contractors to employees without the need to set up a local legal entity.
• Compliance Assurance: The EoR ensures that all payroll, social insurance, and tax obligations are met, reducing the risk of non-compliance.
• Cost-Effective Solution: Avoid the costs and complexities associated with establishing a local entity by partnering with an EoR, allowing you to focus on expanding your business in Vietnam.
• Legal Expertise: EoRs are well-versed in local labor laws, reducing the risk of misclassification or non-compliance.

Using an EoR is an ideal solution for companies looking to convert contractors to employees without the complexities of managing a legal entity in Vietnam.

How AYP Can Help

At AYP, we provide expert Employer of Record (EoR) services in Vietnam, helping businesses convert contractors to employees while ensuring full compliance with local labor laws. Our team of legal and HR experts works closely with you to streamline the process and manage all administrative requirements.

Here’s how AYP can assist your business:

• Comprehensive Compliance: We handle all aspects of compliance, including payroll, social insurance registration, and tax filings, ensuring your employees are fully covered under Vietnamese law.
• Hassle-Free Onboarding: With AYP’s EoR services, you can easily onboard employees in Vietnam without the need for a local entity.
• Risk Mitigation: By partnering with AYP, you minimize the risks of misclassification, legal disputes, and financial penalties associated with employment law violations.
• Ongoing Support: Our dedicated team provides ongoing support to ensure your business stays compliant as labor laws and regulations evolve in Vietnam.