Foreign workers working in Vietnam must obtain a work permit to be legally employed. However, for various reasons, many foreign workers may change companies, but is it necessary to reapply for a work permit as stated in Vietnamese Law?
I. Current situation of foreign workers changing companies
The opening of Vietnam’s labor market has attracted a growing number of foreign workers, which is a positive sign of global labor market integration. However, due to reasons such as a lack of opportunities for advancement or professional development, insufficient recognition of achievements, or unsatisfactory wages, more foreign workers are changing their employers or job positions.
Thus the question is: “Do foreign workers need to reapply for a work permit when changing employers/ companies in Vietnam?”
II. Legal provisions on foreign workers changing companies
1. Conditions for foreign workers to change companies in Vietnam
According to Articles 151 and 152 of the Labor Code 2019, foreign workers must meet the following conditions to change companies:
- Be at least 18 years old and fully legally competent;
- Have appropriate qualifications, technical skills, experience, and be in good health as regulated by the Ministry of Health;
- Not be serving a criminal sentence, not have an unexpunged criminal record, and not be under criminal investigation according to Vietnamese or foreign laws;
- Possess a valid work permit issued by the competent Vietnamese authority (unless exempted by Law);
- Work only in positions where Vietnamese workers are not yet qualified, such as technical managers, executives, specialists, and workers;
- The enterprise, organization, or individual hiring the foreign workers must justify the need for hiring and obtain written approval from the competent state authority.
2. Must foreign workers apply for a new work permit when changing employers?
According to Article 12 of Decree 152/2020/ND-CP, a work permit must be reissued in the following cases:
- The valid permit is lost;
- The valid permit is damaged;
- Changes in the worker’s full name, nationality, passport number, or workplace recorded on the permit while the permit is still valid.
Thus, foreign workers are required to reapply for a new work permit when they change employers/ companies.
III. Questions about foreign workers changing companies
1. Can foreign workers work for two companies simultaneously?
According to Article 19 of the Labor Code 2019, there is no restriction on employees working for multiple companies. Therefore, a foreign worker may sign labor contracts with two different employers as long as they fulfill their obligations to both.
However, foreign workers must ensure they hold all required legal documents under Vietnamese law. Besides, the worker must commit to fulfilling their duties to both companies.
2. Does changing job positions invalidate the work permit?
According to Article 156 of the Labor Code 2019, a work permit becomes invalid under the following circumstances:
- The permit has expired;
- The labor contract is terminated;
- The labor contract content no longer matches the work permit;
- The worker does not implement tasks as specified in the work permit;
- The business sector or basis for employment no longer exists or is terminated;
- There is a written notice from the foreign entity requesting the withdrawal of the worker from Vietnam;
- The Vietnamese enterprise or organization employing the foreign worker has ceased operations;
- The work permit is revoked.
So, if the job position changes, the labor contract must be modified. If the updated contract content no longer matches the current permit, the permit becomes invalid.
3. Must foreign workers apply for a new work permit if their job position changes but the employer/company remains the same?
According to Clause 9, Article 9 of Decree 152/2020/ND-CP, if a foreign worker changes their job position (as stated in the work permit) but does not change the employer, they must still apply for a new work permit.
4. Fines for failing to reapply for a work permit after changing jobs
According to Clause 3, Article 32 of Decree 12/2022/ND-CP, foreign workers who change jobs without reapplying for a new work permit are subject to a fine ranging from 15,000,000 VND to 25,000,000 VND.
IV. Legal advisory services on foreign workers changing companies
The above article is brought to you by NPLaw to clarify legal issues related to foreign workers changing employers. If you have any further legal questions or concerns, please feel free to contact us using the information below:
