Conditions for establishment of public service providers in the construction industry in Vietnam

Conditions for establishment of public service providers in the construction industry in Vietnam
Quoc Tuan

On December 30, 2024, the Minister of Construction of Vietnam issued Circular 15/2024/TT-BXD stipulating the classification criteria, conditions for establishment, merger, consolidation, and dissolution of public service providers in the field of construction.

Conditions for establishment of public service providers in the construction industry in Vietnam

The conditions for establishing a public service provider in the construction sector in Vietnam are as follows:

- The establishment of a public service provider in the construction sector must meet the following conditions and must not be on the list of sectors subject to conversion into joint-stock companies by decision of the competent authority or individual:

+ It must align with the national sector plan or the network plan for public service providers (if any) that has been approved by the competent authority;

+ It must clearly define the objectives, functions, and tasks of the public service provider, serving state management;

+ It must ensure a minimum workforce of 15 employees (except for public service providers supplying basic and essential public services established in accordance with specialized legal provisions).

For public service providers self-financing their regular expenses, or self-financing both regular expenses and capital investment, the number of employees must be determined according to the establishment scheme. For public service providers self-financing both regular expenses and capital investment and operating under an enterprise mechanism, the minimum number of employees includes both public employees and professional personnel in accordance with labor contract policies.

For public service providers abroad, the number of employees is approved by the Prime Minister of the Government of Vietnam in the establishment scheme of the public service provider.

+ It must have a working headquarters or a land allocation project for building a new headquarters approved by the competent authority (in the case of constructing a new headquarters); necessary initial equipment; human resources, and operating funding as prescribed by law.

+ Public service units abroad: In addition to meeting the conditions specified in points a, b, c, d, e of this clause, it must also ensure alignment with the foreign policy of the Communist Party and the State and agreements between the Government of the Socialist Republic of Vietnam and the government of the host country regarding the establishment and operation of the public service provider.

- In addition to the general conditions stated above, the establishment of public service providers in the construction sector must also meet other conditions as prescribed by relevant laws.

Refer to more detailed content in Circular 15/2024/TT-BXD effective from February 19, 2025.

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