Guide · PEO
PEO in Vietnam: PEO vs EOR.
Why a US-style professional employer organisation does not fit Vietnamese law, and which of the real options matches what you need.
Updated 22 October 2026 · General information, not legal or tax advice
Short answer
Is there a PEO in Vietnam?
Not in the US sense. A professional employer organisation (PEO) shares employer duties with a client that is already an employer — co-employment. Vietnamese labour law recognises one legal employer per labour contract, so co-employment has no clean legal basis in Vietnam. Offers sold as “PEO Vietnam” are in practice one of two services: an employer of record, where a Vietnamese company is the sole legal employer and the client directs the work, or payroll outsourcing for a company that already has its own Vietnamese entity. If you have no entity, you need an EOR; if you have one, you need payroll outsourcing. Nhân Kiệt provides both under its own Vietnamese registration.
PEO vs EOR
PEO, EOR and payroll outsourcing compared.
| PEO (co-employment) | EOR | Payroll outsourcing | |
|---|---|---|---|
| Legal employer | Shared — not recognised in Vietnamese law | The EOR’s Vietnamese company | Your Vietnamese company |
| Need your own entity | Yes, in practice | No | Yes |
| Who directs the work | You | You | You |
| Who files insurance and tax | Unclear | The EOR | The provider, for your company |
Source: Labour Code 2019 (Law 45/2019/QH14), which defines the employer as the party to the labour contract.
Which to choose
Pick by whether you have an entity.
- No Vietnamese entity: use an employer of record. It is the only lawful way to employ without one.
- Your own entity: use payroll outsourcing and stay the employer.
- Planning an entity later: start with an EOR and move staff across when the entity is ready; see EOR vs your own entity.
Questions
PEO in Vietnam: FAQ
Does Vietnam recognise co-employment?
No. The Labour Code recognises one employer per labour contract, so a PEO-style split of employer duties has no clean legal basis.
What is the difference between a PEO and an EOR in Vietnam?
An EOR is the sole legal employer and does not require you to have an entity. A PEO assumes you already employ people, which in Vietnam means payroll outsourcing for your own entity.
What does a PEO cost in Vietnam?
Because “PEO” offers are EOR or payroll services, compare EOR fees: Nhân Kiệt charges US$99–199 per employee a month plus VAT.
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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