Reference situation:

A company established in 2018 is going to do business in the following employment service:

• Advising employees about job selection, training level and places satisfactory to their demand and ability
• Advising employees about their job selection satisfactory to their demand and ability; skills on passing recruitment exams;  and seeking jobs inside and outside the country
• Advising employers about labor recruitment and management; human resource management and development; and employment and job development
• Introducing potential employees to potential employers
• Collecting, analyzing, forecasting and providing with information about the labor market

Our legal advice:

In this situation, the employment services that the company would like to provide is the conditional business under Vietnamese laws. Accordingly, the company must obtain a business license on employment service in a Department of Labour, Valids and Social Affairs before providing such services officially.

According to Decree No. 52/2014, one should note about the following problems regarding the procedures for the issuance of a business license for employment service:

• Requirements:

– The company must maintain a stable location for more than 03 years (36 months); the company must show valid documents evidencing its right to use the location

– The company must transfer VND 300,000,000 (in words: three hundred million Vietnam dong) to an escrow account, opened with the bank where the company opened its main transaction account.

• Necessary documents:

– An application form

– A copy of the escrow certificate issued by a bank, which was certified by a notary office or by a commune People’s Committee

– Proof of the company’s location

• Licensing authority: Hanoi Department of Labour, Invalids and Social affairs
• Time to get results: 20 working days from the date on which the Department receives sufficient, valid documents
• Note: the company needs to publish its operation in media, and to notify the Department about its starting date of operation before it operates.

Please click here to explore more details about, the procedures of obtaining the business license for employment service.