What compulsory SI benefits are there for foreign employees working in Vietnam?

What compulsory SI benefits are there for foreign employees working in Vietnam?

Pursuant to Article 5 of Decree 143/2018/ND-CP regulating compulsory SI benefits for foreign employees working in Vietnam as follows:

Compulsory SI benefits

1. Employees prescribed in clause 1 Article 2 hereof shall be entitled to the following compulsory SI benefits: sickness, maternity, occupational accident, disease, retirement and death insurance benefits.

2. Compulsory SI benefits to which employees referred to in clause 1 Article 2 hereof are entitled shall vary depending on the SI participation period under the provisions of this Decree.

Thus, foreign employees working in Vietnam are subject to compulsory SI benefit according to regulations implementing 04 compulsory SI benefits including: sickness, maternity, occupational accident, disease, retirement and death insurance benefits.

What compulsory SI benefits are there for foreign employees working in Vietnam? (Image from the Internet)

How long can a foreign employee work in Vietnam under a work permit?

According to Article 151 of the 2019 Labor Code stipulating the requirements for foreigners to work in Vietnam:

Requirements for foreigners to work in Vietnam

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2. The duration of a foreign employee’s employment contract must not exceed that of the work permit. When a foreign employee in Vietnam is recruited, both parties may negotiate conclusion of multiple fixed-term labor contracts.

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At the same time, Article 10 of Decree 152/2020/ND-CP stipulates validity period of a work permit as follows:

Validity period of a work permit

The validity period of a work permit shall coincide with any of the period/duration below but not exceeding 2 years:

1. Validity period of the employment contract to be signed.

2. Duration of the foreign worker’s assignment in Vietnam.

3. Duration of the contract or agreement concluded between Vietnamese and foreign partners.

4. Duration of the service contract or agreement concluded between Vietnamese and foreign partners.

5. Duration determined in the document issued by the service provider to send the foreign worker to Vietnam to negotiate the service provision.

 

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Thus, based on the above regulations, the working duration of foreign employees must not exceed the validity period of their work permit. In other words, the working duration of foreign employees in Vietnam will not exceed 02 years.

What are the responsibilities of employers and foreign employees in Vietnam?

Pursuant to Article 153 of the 2019 Labor Code regulating the responsibilities of employers and foreign employees:

Responsibilities of employers and foreign employees

1. Foreign employees shall present their work permits whenever requested by competent authorities.

2. Any foreign employee working in Vietnam without a work permit shall be deported or forced to leave Vietnam in accordance with immigration laws.

3. An employer who hires a foreign employee without a work permit shall be liable to penalties as regulated by the law.

Thus, employers and foreign workers must have the following responsibilities:

- Foreign employees shall present their work permits whenever requested by competent authorities.

- Any foreign employee working in Vietnam without a work permit shall be deported or forced to leave Vietnam in accordance with immigration laws.

- An employer who hires a foreign employee without a work permit shall be liable to penalties as regulated by the law.

Best regards!