Changing EOR provider in Vietnam is not a file hand-off. Because a compliant provider employs your worker through its own Vietnamese entity, the move ends one labour contract and starts a new one — so plan it to protect the service record, seniority and social insurance that should carry across.
Published · Last reviewed October 2026 · 11 min read · Reviewed against instruments in force
EOR Vietnam fee
US$149
per employee per month, flat, for Vietnamese nationals. No setup or hidden fees.
Switching EOR providers in Vietnam is not an automatic hand-off. Because a compliant EOR works by the provider's own licensed Vietnamese entity being your worker's legal employer, moving to a new provider means that entity's contract ends and the new provider's entity signs a fresh labour contract with the employee.1 Vietnamese law treats this as a fresh hire, so the continuity that matters — recognised service length, leave balance, seniority and the social-insurance record — is protected by how you document the move, not by an automatic right.
Why do companies switch EOR provider?
Companies change provider in Vietnam for three reasons: price, compliance depth and service. Third parties report EOR and PEO fees in Vietnam of roughly US$130–700 per employee per month in 2026, with most global platforms between US$399 and US$699, charged on top of gross salary and the employer's statutory on-costs of about 23.5%7 — dated market figures that vary by provider, not our pricing.6 On compliance, buyers move when a provider will not name its employing entity, leans on the 12-month labour sub-leasing cap for a permanent role, or cannot show how it files tax and insurance. Our own fee is a flat US$149 per employee per month for Vietnamese nationals, below the fees most providers quote; foreign hires who need a work permit are quoted separately. Still comparing? Work through how to choose an EOR provider in Vietnam first.
What actually transfers: the employee, not a contract
It is the employee who moves, not the contract. Provider A's entity and Provider B's entity are two different legal persons, so the new entity cannot inherit the old contract: the contract with the outgoing entity ends — usually by mutual agreement — and a new one is signed with the incoming entity (Labour Code 2019, Arts. 20 and 34–36).1 Any auto-converted indefinite-term status does not carry over; the new contract's type is set afresh.
Vietnam's statutory “continue the contracts” rule bites only when the same business is divided, merged, sold, leased or converted (Arts. 43–44).1 A move between two unrelated EOR providers is none of these, so the new entity has no legal duty to carry the old contract across — it is a genuine re-hire. If the providers are themselves merging, take advice. For the model itself, see how an EOR becomes the legal employer in Vietnam.
Continuity to protect when you move
Because the law sees a fresh hire, continuity — same start date on paper, leave carried over, no re-served probation — comes from agreement, not an automatic entitlement. Four items deserve attention.
What carries across an EOR provider switch in Vietnam — general guidance, not legal advice
What
Carries automatically?
How it is handled
The labour contract
No
Old contract ends; new entity signs a fresh one (Arts. 20, 34–36).
Social-insurance record
Yes
One lifetime record per person; the new entity keeps paying in under it (SI Law 41/2024).
Seniority leave bonus (+1 day / 5 years)
No
Tied to one employer, so by law it restarts (Art. 114); earlier service counts only if the client’s policy credits it.
Untaken annual leave
Paid out
Outgoing entity cashes out unused leave; new entity pro-rates year one (Art. 113).
Statutory severance
No
Settled by each employer for its own service; usually near zero post-2009 (Arts. 46–48).
Probation
Should not re-run
A reputable provider waives it for an in-place worker; a choice, not a right (Art. 25).
The social-insurance record follows the employee
This is the one portable item. Every worker has a single social-insurance record for life, attached to the individual and increasingly tied to the citizen identification number, and contributions build on it across every employer.3 The new entity simply keeps paying in under the same record — which is what counts for the pension, now 15 years of contributions, not 20, under the 2024 Social Insurance Law. Social-insurance books are also moving to electronic form, with the same validity as paper, by 1 January 2026 (Law 41/2024/QH15, Art. 25).3 For foreign employees, social and health insurance continue; unemployment insurance never applies to them.3 See how the social-insurance record works.
Seniority and leave restart — so record the start date
The extra annual-leave day earned for every five years applies to service with the same employer (Art. 114), so that clock restarts at the new entity and year-one leave is pro-rated again.1 If your company policy credits earlier service, the new contract records the original start date so service-based leave and benefits count it; if not, the statutory restart applies. Either way, the outgoing entity pays out any untaken leave when its contract ends (Art. 113). More in how annual leave and the seniority bonus are calculated.
Probation should not be re-served
The new employer may lawfully set probation, because the one-trial-per-job rule looks at the job, not the person (Art. 25); for an employee already doing the role, a reputable provider waives it. That is a transition choice, not a legal right you can assume.1
What happens to severance when you change provider?
Statutory severance is owed by each legal employer for the service rendered to it, so it is settled when the outgoing contract ends, not carried across.1 It is half a month's wage per qualifying year, on the average wage of the final six months — but the qualifying period excludes any time covered by unemployment insurance, compulsory since 2009 (Decree 145/2020, Art. 8).2 In practice that leaves most modern EOR tenures with little or no statutory severance. A voluntary switch is not a redundancy, so job-loss allowance does not apply. Final monies — unused-leave pay and any severance due — must be paid within 14 working days, extendable to 30 in defined cases (Art. 48).1 Full mechanics: how statutory severance is calculated.
A clean-switch checklist
Treat the move as a coordinated re-hire with one cut-over, so pay, insurance and data stay continuous while the legal employer changes underneath.
Set one cut-over date
Pick a single date for the move, aligned to a month-end payroll cycle so there is no gap or overlap in pay.
End the outgoing contract lawfully
Close the old contract by mutual agreement; the outgoing entity settles final pay, unused-leave cash-out and any severance within the 14-working-day window.
Sign the new contract
The incoming entity signs a fresh contract that waives probation, carries over the agreed leave balance and, where your policy credits earlier service, records the original start date.
Continue payroll and insurance
The new entity registers the worker under the same lifetime social-insurance record and picks up contributions and income tax from the cut-over month.
Hand over HR data under the PDPL
Transfer only the personnel data the new entity needs, with a lawful basis and clear notice under the Personal Data Protection Law and its 2025 decree.45
Put these to the incoming provider in writing. Clear answers mean the switch is a documented re-hire with protected continuity, not an informal hand-off.
Which Vietnam-registered entity will sign the new labour contract, and can we see its registration?
Will the contract record the original start date so service-based leave and benefits are recognised?
Will you waive probation for an employee already doing the role?
How will you continue the single social-insurance record so there is no gap in contributions?
What is the cut-over plan with the outgoing provider, and how do we avoid a pay or insurance gap?
How will the outgoing entity's final pay, unused-leave cash-out and any severance be settled?
How will HR data be transferred under the PDPL, and on what lawful basis?
How EOR Vietnam onboards a transferring employee
We treat a transfer as a documented re-hire with protected continuity. Our Vietnam-registered entity signs a new labour contract that carries over the agreed leave balance and waives probation for an in-place role. For the seniority leave day and other service-based benefits we follow your company’s policy: if it credits the employee’s earlier service, the contract records the original start date; if you have no such policy, the statutory rule applies and the five-year clock starts with us. We register the worker under their existing lifetime social-insurance record so contributions continue, and we coordinate the cut-over date with the outgoing provider so pay does not break.
Our fee is a flat US$149 per employee per month for Vietnamese nationals — the same whatever the salary, seniority, role, location or headcount, as of October 2026, and not a percentage of payroll. Foreign hires needing a work permit are quoted separately. There are no setup, onboarding, offboarding, contract or payslip fees. A refundable deposit equal to two months of the employee's employment cost (gross salary plus statutory employer contributions) is held for the engagement and returned at the end, less any unpaid amounts; everything else — salary and the roughly 23.5% statutory contributions7 — is passed through at cost. See how EOR Vietnam works, what an EOR costs in Vietnam or request a costed quote, and browse our Vietnam employer guides for the underlying rules.
Frequently asked questions
Can I switch EOR providers in Vietnam without disrupting employees?
Yes, if it is documented as a coordinated re-hire. The employee signs a new labour contract with the incoming entity on an agreed cut-over date, the outgoing entity settles final pay and unused leave, and the social-insurance record continues under the same number. Waive probation and, if your policy credits earlier service, record the original start date to preserve recognised service, leave and benefits.
Does switching EOR providers reset an employee's seniority?
For the statutory annual-leave bonus, yes: the extra day per five years applies to one employer (Art. 114), so it restarts and year-one leave is pro-rated again. The social-insurance record, though, is portable and keeps accumulating. Earlier service still counts if the client’s policy credits it: the new contract then states the original start date and carries the leave balance over by agreement. Without such a policy, the statutory rule applies.
What happens to severance when I change EOR provider?
Severance is owed by each employer for time worked for it, so it is settled when the outgoing contract ends, not carried across. It is half a month's wage per qualifying year on the final six-month average, but the qualifying period excludes time covered by unemployment insurance (compulsory since 2009), so for modern tenures it is often near zero. A voluntary switch is not a redundancy.
Does my employee's social-insurance record carry over?
Yes. Each worker has one social-insurance record for life, attached to the individual, and contributions accrue across every job. The new provider's entity reports and pays under the same record — which is what counts for the pension, now 15 years under the 2024 Social Insurance Law. For foreign employees, social and health insurance continue; unemployment insurance does not apply.
How long does it take to move employees to a new EOR in Vietnam?
There is no statutory timetable. The pace is set by any notice on the outgoing contract, signing the new one, and re-registering the social-insurance record — usually aligned to a month-end payroll cut-over. Where the old contract ends by mutual agreement, the move can be set for a chosen date rather than waiting out a resignation notice period.
Decree No. 145/2020/ND-CP — Art. 8 (severance service offset), Art. 67 (unused-leave payout). Accessed 3 Oct 2026.
Law on Social Insurance No. 41/2024/QH15 — lifetime record, 15-year pension, electronic SI book (Art. 25, 1 Jan 2026), foreign-worker SI and HI. In force 1 Jul 2025. Accessed 3 Oct 2026.
Decree No. 356/2025/ND-CP — PDPL implementation, HR-data handling. In force 1 Jan 2026. Accessed 3 Oct 2026.
Remote People — PEO in Vietnam (PEO pricing from about US$199 per employee per month) and Second Talent — EOR cost comparison (global EOR platform list prices of roughly US$130–700 per employee per month, most US$399–699) — dated third-party market observations only, not our pricing; figures vary by provider, so confirm current rates with each. Accessed 3 October 2026.
PwC Worldwide Tax Summaries, Vietnam — Other taxes: the employer social, health and unemployment insurance of 21.5% and the contribution caps. PwC — Vietnam, Other taxes — accessed 3 October 2026. The further 2% trade-union fee, which brings the employer on-cost to about 23.5%, is set by the Law on Trade Unions No. 50/2024/QH15 (Art. 29; in force 1 July 2025) — accessed 3 October 2026.