On 28 June 2024, the State Bank of Vietnam (SBV) officially adopted Circular No. 23/2024/TT-NHNN (“Circular No. 23”) amending and supplementing several articles of Circular No. 10/2016/TT-NHNN dated 29 June 2016 regulating offshore indirect investment (“Circular No. 10”). Circular No. 23 will take effect from 12 August 2024. Notably, Circular No. 23 presents various points affecting the current implementation of offshore stock award plans for Vietnamese employees in Vietnam and embraces most of the SBV existing requirements in practice.

In the face of intensifying geopolitical risk and continuing economic uncertainty, the challenges for global employers to plan carefully and operate strategically to maintain a thriving workforce are greater than ever. We help employers navigate those challenges in our four-part webinar series featuring Baker McKenzie Global Employment Law colleagues from the Americas, Asia Pacific, Europe, and the Middle East and Africa who share legal updates and trends impacting US-based multinationals, and provide tips and best practices for your success.

The Vietnam General Confederation of Labor (VGCL) recently released a draft of the new Law on Trade Union (“Draft”), which is expected to replace the current Law on Trade Union 2012. Further details on the changes provided under the Draft are detailed below.

In the face of intensifying geopolitical risk and continuing economic uncertainty, the challenges for global employers to plan carefully and operate strategically to maintain a thriving workforce is greater than ever. We’ll help employers navigate those challenges in our four-part webinar series featuring Baker McKenzie Global Employment Law colleagues from the Americas, Asia Pacific, Europe, and the Middle East and Africa who will share legal updates and trends impacting US-based multinationals, and provide tips and best practices for your success.

Currently, Vietnam is in the process of reviewing the implementation of Decree No. 152/2020/ND-CP on foreign employees working in Vietnam, and the recruitment and management of Vietnamese employees working for foreign individuals and organizations in Vietnam. Against this context, the authorities have made various attempts to visit, inspect and audit companies on the use of foreign employees, work permit documentation and relevant compliance matters.

In an effort to address Vietnam’s historical perception as a high-risk compliance jurisdiction, the Vietnamese government has recently implemented a series of regulatory and practical measures to significantly reduce corrupt practices in the country.
These recent efforts to combat corruption have resulted in a number of measures, including legal reforms, public awareness campaigns, international cooperation efforts, as well as increased enforcement of corruption and bribery laws (including a number of high profile arrests and prosecutions for bribery offences). These trends in Vietnam show no sign of slowing down, and heightened enforcement of corruption-related crimes in Vietnam can be expected to continue and even increase in the months and years to come.

Baker McKenzie’s Asia Pacific Employers’ Forum took place in Singapore on Thursday, 27 April 2023. You can access a number of related resources relating to employment issues and trends.

In March 2023, the government issued a draft of the Revised Law on Social Insurance for public comments. The Draft Law will be available for public comments until 30 April 2023. The Draft Law presents a number of notable changes to the currently applicable regulations that may bring about a significant impact if they are eventually approved in the final version of the Draft Law.

In brief 2022 was undoubtedly an active period for Vietnam’s regulatory landscape and the year has drawn to a close with a long progression of new regulations and important legal updates. As demonstrated by recent announcements and upcoming regulatory enactments, this pace of notable legal developments shows no sign of…

In May 2022, the Indo-Pacific Economic Framework for Prosperity (IPEF) was launched between Australia, Brunei, Fiji, India, Indonesia, Japan, South Korea, Malaysia, New Zealand, the Philippines, Singapore, Thailand, the US and Vietnam. On account of its specified focus on labor standards and issues, IPEF is likely to have an ongoing impact on labor regulations and trends among partner countries, including Vietnam.