From January 1, 2024, only Foreign Employees will be Hired if no Local Vietnamese Labor Can be Found
The government has recently issued Decree 70/2023/NĐ-CP, amending and supplementing certain provisions of Decree No. 152/2020/NĐ-CP dated December 30, 2020, by the government regarding foreign employees in Vietnam and the recruitment and management of Vietnamese employees for foreign individuals and organizations in Vietnam.
The newly issued decree modifies 14 contents of Decree No. 152/2020/NĐ-CP dated December 30, 2020, by the government regarding foreign employees in Vietnam and the recruitment and management of Vietnamese employees for foreign individuals and organizations in Vietnam.
Of note, Article 1, Clause 2 of this new decree, expressly states that starting from January 1, 2024, “after being unable to recruit Vietnamese labor for positions intended for foreign labor recruitment, the employer shall be responsible for determining the need for foreign labor.”
The notification of the recruitment of Vietnamese labor for positions intended for the recruitment of foreign labor shall be carried out on the Electronic Information Portal of the Ministry of Labor – Invalids and Social Affairs (Employment Department) or the Electronic Information Portal of the Employment Service Center as decided to be established by the Chairman of the Provincial People’s Committee under the central authority.
The content of the recruitment notification includes position and job title, job description, quantity, requirements for qualifications, experience, salary range, working time, and location.
Regarding the determination of the need for using foreign labor, at least 15 days before the intended date of employing foreign labor, the employer (excluding contractors) is responsible for determining the need for using foreign labor for each job position that Vietnamese labor has not fulfilled and shall report and explain to the Ministry of Labor – Invalids and Social Affairs or the Department of Labor – Invalids and Social Affairs where the intended foreign laborer is expected to work.
During the implementation process, if there are changes in the need for using foreign labor concerning position, job title, work format, quantity, or location, the employer must report to the Ministry of Labor – Invalids and Social Affairs or the Department of Labor – Invalids and Social Affairs at least 15 days before the intended date of employing foreign labor.
The Ministry of Labor – Invalids and Social Affairs or the Department of Labor – Invalids and Social Affairs shall issue written approval or disapproval of the use of foreign labor for each job position within 10 working days from the date of receiving the explanatory report or the report explaining changes in the need for using foreign labor.