Currently, the number of foreign workers employed in Vietnam is quite high. So, what procedures are required when an enterprise wants to terminate the employment contract of foreign employees in Vietnam?
Procedures for terminating the employment contract of foreign employees in Vietnam (Illustration)
1. Cases of terminating the employment contract of foreign employees in Vietnam (according to the 2019 Labor Code)
In addition to cases of terminating labor contracts as applied to Vietnamese workers, there are 2 specific cases of terminating employment for foreign employees as stipulated in Article 34 of the 2019 Labor Code, including:
- The foreign employee working in Vietnam is deported according to the legally effective judgment or decision of the Court or the decision of the competent State authority;- The work permit of the foreign employee working in Vietnam expires.
2. Retrieval of Temporary Residence Cards When terminating the employment contract of foreign employees in Vietnam
According to point e, clause 2, Article 45 of the Law on Entry, Exit, Transit, and Residence of foreigners in Vietnam, agencies, organizations, individuals inviting, guaranteeing foreigners are responsible for notifying in writing to the immigration management agency about the foreigner who has been issued documents with valid entry, exit, residency but no longer needs the guarantee during their temporary residence period in Vietnam and cooperate with competent authorities to request the foreigner to exit.
Based on this regulation, in cases where the employer invites or guarantees foreign employees, upon termination of employment, they are responsible for notifying in writing to the immigration management agency (Immigration Office).
Specifically, the employer must:
- Submit an official dispatch regarding the discontinuation of sponsorship for the foreign employee due to termination of employment, including the temporary residence card of the foreign employee.- Submit the original passport to conduct procedures for the foreign employee’s exit from Vietnam.
Submission location: Immigration Management Office
3. Is the Work Permit revoked?
According to the regulation in Decree 140/2018/ND-CP amending and supplementing Article 13 of Decree 11/2016/ND-CP:
Abolish point b, Clause 3, Article 8 and Article 17 of Decree No. 11/2016/ND-CP dated February 3, 2016, of the Government of Vietnam detailing the implementation of a number of articles of the Labor Code concerning foreign employees working in Vietnam.
The cases for retrieving the work permit as regulated in Article 17 of Decree 11/2016/ND-CP, including the case of terminating a labor contract as stipulated in clause 2, Article 156 of the 2019 Labor Code, were abolished by Decree 140/2018/ND-CP.
Thus, currently, in cases where the employer terminates the employment of a foreign employee, the functional authority will not retrieve the work permit. Instead, the employer only needs to notify the termination of employment cotract for the foreign employee working in Vietnam.
Thuy Tram