EOR by country · Netherlands
Hiring in Vietnam from the Netherlands.
How Dutch companies employ people in Vietnam without an entity: tax, payments, time zone, staff and cost.
Updated 22 October 2026 · Written and checked by Nhân Kiệt's payroll and employment-law team (labour leasing licence 029/LĐTBXH-GP, employing people in Vietnam since 2009) · About 4 min read · General information, not legal or tax advice
Short answer
How can a Dutch company hire employees in Vietnam?
A Dutch company can employ developers and other staff in Vietnam without a Vietnamese entity by using an employer of record such as Nhân Kiệt, which signs the labour contract, runs payroll in dong, pays social insurance and income tax, and charges US$99–199 per employee a month plus VAT. The Netherlands and Vietnam have a double tax agreement in force. Dutch employment rules do not carry over: there is no statutory 8% holiday allowance, no works council and no Dutch pension scheme for staff in Vietnam, who join Vietnamese social insurance and get 12 working days of annual leave. Employee data shared with the Dutch office falls under both the GDPR and Vietnam’s Personal Data Protection Law. Vietnam is five hours ahead of the Netherlands in summer and six in winter. Dutch software and digital companies often build development teams in Vietnam this way.
Key takeaways
- Nhân Kiệt employs your Vietnam team for US$99–199 per employee a month plus VAT, with no entity needed.
- The Netherlands and Vietnam have a double tax agreement in force.
- No statutory 8% holiday allowance, works council or Dutch pension for staff in Vietnam.
- HR data shared with the Dutch office falls under both the GDPR and Vietnam’s Personal Data Protection Law.
- Vietnam is five or six hours ahead of the Netherlands.
How it works
Hiring in Vietnam from the Netherlands through an EOR.
Your company in the Netherlands signs one service agreement with Nhân Kiệt. Nhân Kiệt signs a bilingual Vietnamese–English labour contract with each person, runs payroll in dong, pays social insurance and personal income tax, and applies for work permits for foreign hires. You choose the people, set salaries and direct their daily work, and pay one monthly invoice covering salary, statutory contributions and the service fee. Nothing is registered in Vietnam in your company’s name.
Tax
Tax treaty and tax exposure.
The Netherlands and Vietnam have a double tax agreement in force, which sets the permanent establishment test for Dutch companies. Development teams that build products for the Dutch company rarely raise the question as long as client contracts are negotiated and signed in the Netherlands. Employees resident in Vietnam pay Vietnamese income tax at 5% to 35%, withheld monthly by Nhân Kiệt.
Paying
Paying from the Netherlands.
Nhân Kiệt sends one invoice a month covering salary, statutory contributions and the fee, and Dutch clients usually pay by international transfer in the currency agreed in the service agreement. Employees are paid in dong and join Vietnamese social, health and unemployment insurance. The Dutch 8% holiday allowance is not required in Vietnam; if you want to offer a holiday or 13th-month payment, it is written into the labour contract or a bonus policy.
Working together
Time zone and holidays.
Vietnam is five hours ahead of the Netherlands in summer and six in winter, so a 9:00 start in Amsterdam is 14:00 or 15:00 in Vietnam. Scrum teams split across both countries usually hold stand-ups in the Dutch morning. King’s Day, Easter and Christmas are working days in Vietnam; Tết, from 16 to 20 February in 2026, is not a Dutch holiday.
People
Staff, contracts and work permits.
Annual leave in Vietnam is 12 working days, compared with a statutory minimum of four times the weekly working hours — 20 days on a five-day week — in the Netherlands, plus 12 paid public holidays in 2026. There is no works council; an employer with 10 or more employees registers written internal labour regulations. Dutch companies most often hire back-end and front-end developers, QA engineers and designers on Vietnamese contracts.
See also social insurance 2026, personal income tax 2026 and work permits.
Worked example
What one hire costs.
A back-end developer on ₫42,000,000 a month. Employer contributions for a Vietnamese employee are 23.5% — 21.5% social, health and unemployment insurance plus the 2% trade-union fee — or ₫9,870,000, so the monthly employment cost is ₫51,870,000. Add Nhân Kiệt’s fee of US$99–199 plus VAT. The salary is illustrative; use the employer cost calculator for your own figures.
Common mistakes
Mistakes Dutch companies make in Vietnam.
- Assuming Dutch benefits apply automatically, such as the 8% holiday allowance, instead of agreeing them in the Vietnamese contract.
- Sharing HR data with the Dutch office without the transfer documentation Vietnam’s data law requires.
- Paying people as contractors when the work looks like employment under Vietnam’s Labour Code.
- Copying home-country contracts and policies instead of a Vietnamese labour contract.
- Letting Vietnam staff conclude sales contracts, which can create a permanent establishment.
Questions
Hiring in Vietnam from the Netherlands: FAQ
Do the Netherlands and Vietnam have a tax treaty?
Yes. A double tax agreement between the Netherlands and Vietnam is in force.
Do Vietnam staff get the 8% holiday allowance?
It is not required in Vietnam. You can offer a holiday payment or 13th month by contract or bonus policy.
Does the GDPR apply to our Vietnam employees’ data?
Data held in the Netherlands falls under the GDPR, and Vietnam’s Personal Data Protection Law also applies to data about employees in Vietnam.
What time difference should a Dutch team plan for?
Vietnam is five hours ahead of the Netherlands in summer and six in winter.
Does a Dutch company need a Vietnamese entity to hire in Vietnam?
No. Nhân Kiệt employs your staff in Vietnam under one service agreement with your company.
How much does it cost a Dutch company to employ someone in Vietnam?
Salary, employer contributions of about 23.5% for a Vietnamese employee, and Nhân Kiệt’s fee of US$99–199 per employee a month plus VAT.
How quickly can we hire in Vietnam?
A Vietnamese national can start once the service agreement and labour contract are signed; a foreign hire typically takes four to eight weeks for the work permit.
Hiring in Vietnam? We handle all of this as your employer.
Nhân Kiệt employs your team, runs payroll, insurance, tax and work permits. Fee: US$99–199 per employee a month, plus VAT.
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