Chinese Parent Company Sending Staff to Manage in Vietnam: Do They Need Work Permits?
When a Chinese parent company wants to send a general manager, CFO, or technical expert to run its subsidiary or factory in Vietnam, HR's first question is usually: do they need a work permit? The short answer: yes, unless exempt — and the "intra-company transferee" route is the most common path for Chinese groups.
This guide covers the 2026 framework: when a permit is required, when exemption applies, the procedures, and related obligations (residence cards, social insurance, PIT).
Contents
- 1. General rule: foreigners working in Vietnam
- 2. Work permit exemptions
- 3. Intra-company transferees: conditions and procedure
- 4. Applying for a work permit when no exemption applies
- 5. Related obligations: residence cards, social insurance, PIT
- 6. Checklist for Chinese parent companies
- FAQ
- When to engage counsel
- Legal references
1. General rule: foreigners working in Vietnam
Articles 151–152 of the Labor Code 2019: foreign employees working in Vietnam must hold a work permit issued by the competent authority, except for exempt cases under Article 154.
General conditions for a permit:
- Aged 18+, full civil capacity;
- Professional/technical qualifications matching the job title;
- Health fit for the job;
- No unspent criminal record being served;
- Written approval of the need to employ foreign workers.
Practical note: before filing, the employer must complete the report explaining the need to use foreign workers and obtain written approval — a step many FDI employers miss, causing files to be returned.
2. Work permit exemptions
Article 154 of the Labor Code 2019 lists exemptions, detailed in Decree 219/2025/ND-CP (effective 07/8/2025, replacing Decree 152/2020/ND-CP and Decree 70/2023/ND-CP). Relevant for Chinese parents:
- Intra-company transferees in 11 WTO-committed service sectors (accounting, architecture, IT, etc. — check the specific commitments).
- Managers, executive directors, experts, technical workers in special cases (e.g., in Vietnam under 30 days and no more than 3 entries per year; handling technical incidents).
- Foreigners married to Vietnamese nationals and residing in Vietnam.
- Cases under international treaties to which Vietnam is a party.
Key point: exemption does not mean no procedure — the employer must still report the exempt case to the labor authority. Skipping this can still draw administrative penalties.
3. Intra-company transferees: conditions and procedure
The most-used mechanism for multinationals (including Chinese groups) to post staff to Vietnamese subsidiaries.
Conditions:
- The foreign enterprise has a commercial presence in Vietnam (subsidiary, branch, representative office);
- The employee is assigned to that presence;
- Holds a manager, executive director, expert or technical worker title;
- Has been employed by the foreign enterprise for at least 12 months before the assignment.
Supporting documents typically include: the parent's assignment/appointment decision, employment contract or work history proving 12 months, documents evidencing title and qualifications, passport.
Procedure: the employer reports to the provincial Department of Home Affairs on the exempt employment of the foreign worker, at least 3 working days before the expected start date.
4. Applying for a work permit when no exemption applies
If the assignee does not qualify (e.g., employed under 12 months, or title outside exempt groups):
- Report explaining the need for foreign workers → written approval (at least 15 days ahead).
- File the permit application with the Department of Home Affairs: application letter, health certificate, criminal record (consular-legalized if issued in China), diplomas/certificates, passport, photos.
- Processing time: 5 working days from receipt of a complete file.
- Validity: up to 2 years, renewable once for up to 2 more years; thereafter a new permit is needed.
Consular legalization note: documents issued in China (criminal records, diplomas) need consular legalization and certified Vietnamese translation — start early, as this is usually the slowest step.
5. Related obligations: residence cards, social insurance, PIT
Temporary residence cards: foreigners with a work permit or exemption confirmation may be granted a temporary residence card with matching validity (up to the permit's term), replacing the visa during residence.
Social insurance: under Clause 2, Article 2 of the Social Insurance Law 2024, foreigners on definite-term contracts of 12+ months are covered — except intra-company transferees, those already at retirement age when contracting, or where a treaty provides otherwise. Transferees therefore do not pay SI.
PIT: foreigners working in Vietnam owe PIT under the PIT Law and the Vietnam–China DTA (if tax resident). The paying entity withholds, declares, and finalizes annually.
6. Checklist for Chinese parent companies
- [ ] Confirm title and tenure at the parent (12 months reached?)
- [ ] Assess exemption (intra-company transferee) vs. new permit
- [ ] Start consular legalization of Chinese documents early
- [ ] File the need-explanation report (for new permits)
- [ ] File exemption/permit application before the start date
- [ ] Obtain temporary residence cards after permit/exemption confirmation
- [ ] Register/declare PIT; confirm SI position against the exclusions
- [ ] Track permit expiry for timely renewal/new issuance
FAQ
Full 5 Q&As (exemption conditions, transferee route, permit validity, SI, accompanying documents) in frontmatter `faq_items`.
When to engage counsel
When you need: assessment of whether an assignee qualifies for exemption; preparation of consular-legalized files from China; handling refused/delayed permits; or a group-wide cross-border mobility policy. Contact FLAT Law Firm — hotline 0988424851.
Legal references
- Labor Code 2019 (45/2019/QH14), effective 01/01/2021 — Arts. 151, 152 (permit conditions), 154 (exemptions), 155 (validity).
- Decree 219/2025/ND-CP (effective 07/8/2025, replacing Decree 152/2020/ND-CP and Decree 70/2023/ND-CP) — work permits, exemption cases and issuance procedures.
- Social Insurance Law 2024 (41/2024/QH15), effective 01/7/2025 — Clause 2, Art. 2 (foreign SI coverage and exclusions; independently cross-checked 28/9/2026).
