Vietnam | New labor market testing requirement

The Vietnamese government recently introduced a new labor market testing requirement for companies requesting approval for foreign labor.

‌Key Points:

• Companies will be required to complete a job posting on one of the national or provincial dedicated employment service center websites.
  Vietnamese officials issued a decree on Sept. 18 amending and supplementing several articles regulating foreign workers.
• A part of the decree introduced a new labor market testing requirement that will take effect Jan. 1, 2024.
• Sponsoring entities will be required to submit a recruitment announcement at least 15 days prior to the request for foreign labor through the new portal.
• The recruitment announcement must include the position and job title, job description, contact number, qualification requirements, experience, salary, duration and work location.

Background: The Vietnamese government amended Labor Decree 152, which impacts various aspects of the work permit application process. Officials are revising the requirements for foreign experts and technical workers, as well as designating the Department of Labor, Invalids and Social Affairs and the Ministry of Labor, Invalids and Social Affairs as the sole authorities for approving foreign labor permits.

BAL Analysis: Proof of a labor market test is being introduced as a new requirement when recruiting for foreign labor. Employers should be aware of the job posting requirement and consider the process in their 2024 employment strategies.

This alert has been provided by the BAL Global Practice Group.

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