Impact of increasing base salary to 2,530,000 vnd on Enterprises from Jul 01 2026
Question: “ How will the increase of the base salary level to 2,530,000 VND/month from July 01, 2026 under Decree 161/2026/ND-CP impact private enterprises, especially entities having contracts for provision of services to the public sector or having wage scales/tables referenced to the base salary?” Answer: Although the direct subject of regulation of the […]
Addition of Nightclub (Bar) Service Business lines and Application for Sub-Licenses
Question: Our company is currently operating in the field of commercial and service business. We intend to expand into the nightclub (bar) sector, providing alcoholic beverages and hosting DJ music events. What business lines must we add to our company registration, and what licenses or permits are required to operate legally? Answer: Based on […]
Work permit exemption for foreign investors contributing capital to a limited liability company
Question: Our company is a multi-member limited liability company. In the near future, a foreign investor plans to contribute 2 billion VND and join the Member’s Council of the company. We would like to request legal advice regarding the conditions for work permit exemption, or the necessary legal procedures and required documents to apply for a […]
IS IT NECESSARY TO SIGN NEW EMPLOYMENT CONTRACTS AFTER A CORPORATE MERGER?
Question After a company is merged or consolidated with another company, do the existing employment contracts remain valid, or must the successor company sign new employment contracts with its employees? Answer Under the Vietnamese Labor Code 2019, a merger or consolidation of enterprises does not automatically terminate existing employment contracts. The successor employer is responsible […]
DOES APPLYING THE SPECIAL INVESTMENT PROCEDURE AUTOMATICALLY QUALIFY A PROJECT FOR SPECIAL INVESTMENT INCENTIVES?
Question What is the special investment procedure under the Law on Investment 2025? Is a project implemented under this procedure automatically entitled to special investment incentives? Answer The Law on Investment 2025 introduces the special investment procedure under Article 28 to simplify the process of implementing investment projects. However, many investors confuse the special investment […]
IS AN EMPLOYER REQUIRED TO WITHHOLD 10% PERSONAL INCOME TAX WHEN PAYING SALARY AFTER AN EMPLOYEE HAS LEFT THE COMPANY?
Question: Is an employer required to withhold 10% personal income tax (PIT) when paying salary to an employee after the employment contract has been terminated? Answer Under Clause 2, Article 50 of Decree No. 253/2026/ND-CP, where an employer pays salary, wages, or other income to an employee after the employment contract has been terminated, the […]
WHAT PROCEDURES MUST AN EMPLOYER FOLLOW WHEN REDUCING ITS WORKFORCE DUE TO CORPORATE RESTRUCTURING?
Question What procedures must an employer follow when terminating employment contracts due to organizational restructuring, technological changes, or economic reasons? Answer Under Article 42 of the Labor Code 2019, an employer may terminate employment contracts in cases of organizational restructuring, technological changes, or economic reasons. However, such termination is only lawful if the employer fully […]
Is It Necessary to Sign New Employment Contracts After a Corporate Merger?
Question After a company is merged or consolidated with another company, do the existing employment contracts remain valid, or must the successor company sign new employment contracts with its employees? Answer Under the Vietnamese Labor Code 2019, a merger or consolidation of enterprises does not automatically terminate existing employment contracts. The successor employer […]
Does Applying the Special Investment Procedure Automatically Qualify a Project for Special Investment Incentives?
Question What is the special investment procedure under the Law on Investment 2025? Is a project implemented under this procedure automatically entitled to special investment incentives? Answer The Law on Investment 2025 introduces the special investment procedure under Article 28 to simplify the process of implementing investment projects. However, many investors confuse the special […]