IMPACT – MEDIUM
What is the change? Companies that were previously thought to be required to file new quarterly foreign labor reports may not need to do so after all—at least for the time being.
What does the change mean? Application of the quarterly reporting requirement varies from city to city. For now, authorities in Hanoi have confirmed that they will only require quarterly foreign labor reports from contractors who use foreign labor. Authorities in Ho Chi Minh City, however, have said they will apply the requirement to all companies employing foreign nationals, both local hires and assignees.
Background: Authorities issued Circular 40 in December, providing guidance on how to implement Decree 11, which introduced new rules for foreign employees. The decree and circular stated that contractors employing foreign nationals would be required to submit a quarterly report using a new form. However, as noted above, there appears to be variance in how authorities in different parts of the country are enforcing the new requirement.
BAL Analysis: Companies with questions about whether they are subject to quarterly reporting requirements for foreign workers should contact BAL. While Hanoi’s current position that the reports are only required for contractors could ease paperwork requirements for some, companies should err on the side of caution. Authorities have said they will impose penalties of between 1 and 2 million dong (about US$45 to $90) for those who are required to file quarterly reports but fail to do so.
This alert has been provided by the BAL Global Practice group and our network provider located in Vietnam. For additional information, please contact your BAL attorney.
Copyright © 2017 Berry Appleman & Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact firstname.lastname@example.org.
State Department data shows a dramatic increase in the number of visas issued last fiscal year. Colleges say the need
Danish immigration authorities released new rules that update the work permit exemption policy for employees working within affiliated companies....
The Swiss government has set work permit quotas for 2024, leaving them unchanged for EU/EFTA, non-EU/EFTA and U.K. nationals. Quotas
Canadian officials announced that a dedicated humanitarian pathway to provide permanent residence to Colombian, Haitian and Venezuelan foreign...