Signing a sponsorship letter for a foreign expert is not a rubber-stamp formality. The law attaches to the sponsoring company a chain of duties that runs for the whole of the person’s stay in Vietnam — and ends only when the company actively notifies the end of sponsorship in the proper way.
The sponsor’s three core duty groups
First, sponsorship must match its declared purpose: a foreigner invited and sponsored to work must actually work in the stated position for the stated period; the company may not lend its sponsorship standing to bring someone in for a different purpose. Second, the company must coordinate with the immigration authority in managing the sponsored person, including ensuring accommodation is arranged and temporary residence is declared through the lodging establishment or directly with local police as required.
Third — and most often forgotten — is the duty to notify: when the sponsored person breaks the law, changes residence purpose, quits or otherwise ceases to fall under the company’s sponsorship, the company must inform the immigration authority. Many firms only “report” internally to HR without a written notice to the authorities, and discover during an incident that on the state file they are still the responsible sponsor.
When the staff member absconds, disappears or offends
The typical scenario is an expert who walks out, leaves the registered address and cuts contact while the residence card still sits under the company’s sponsorship. The correct sequence: draw up an internal absence record; send written notice to the Immigration Division and the local police of residence stating the person is no longer sponsored and requesting withdrawal of the residence card; and in parallel terminate the labour contract and handle the work permit under labour law. That written notice is the legal milestone that cuts off the company’s responsibility from the moment the authority receives it.
If the staff member offends against Vietnamese law — public order offences or criminal conduct — the company does not answer for their personal acts, but it must cooperate with information and must never conceal or abet. Shielding a sponsored person who is in breach can convert the company from a “related party” into an independently sanctioned subject, apart from the reputational cost when sponsoring the next hire.
Fine exposure and how to withdraw sponsorship properly
Financially, two sanction tracks run in parallel: sponsorship and residence breaches are fined under Decree 282/2025/ND-CP, with organisational rates double the individual ones under its Article 4; and employing a foreigner without a work permit is fined under Article 13 of Decree 283/2026/ND-CP, where the employer brackets in clause 5 climb with headcount — VND 30 to 45 million for under ten workers, rising further at larger scales. This is exactly why “lending” sponsorship standing is something a company should never do.
Withdrawal is effected by a written notice to the immigration authority that received the sponsorship file, identifying the sponsored person, the reason sponsorship ends (contract completion, transfer, permanent departure) and requesting handling of the linked residence papers. The company’s responsibility ends for the period after the notice takes effect; for the period already sponsored, it must still explain violations occurring in that window if the authorities inquire.
Frequently Asked Questions
What is a sponsoring company responsible for?
Three duty groups: sponsoring strictly for the declared purpose; coordinating residence management, including ensuring the sponsored person’s temporary residence is declared; and notifying the immigration authority when the person offends, changes purpose or leaves the sponsorship. The duties run for the entire sponsorship period, not just the signing date.
What if the staff member absconds?
Record the absence internally, then notify the Immigration Division and the police of the residence area in writing that the foreigner is no longer sponsored, request withdrawal of the residence card, and terminate the contract and work permit in parallel. The written notice is the milestone that cuts the company’s exposure; delay leaves the risk sitting on the sponsorship file.
What are the fines?
Sponsorship and residence breaches are fined under Decree 282/2025/ND-CP at double rates for organisations. Separately, employing a foreigner without a work permit falls under Article 13 of Decree 283/2026/ND-CP: for employers, clause 5 scales the fine by the number of workers involved, from VND 30–45 million for under ten workers upward.
How is sponsorship withdrawn?
Send a written notice to the immigration authority holding the sponsorship file, naming the sponsored person, the reason sponsorship ends and the request to handle the linked residence documents. Responsibility ceases for the period after the notice; for the period already covered, the company may still have to explain violations from that time if asked.
This article has been quality-reviewed by the FLAW AI Legal Council