Expand work permit validity, apply law consistently to maintain foreign investment success: VBF exec
Expanding the geographical validity of work permits and ensuring consistent application of the law across provinces are essential for Vietnam’s continued success as a global investment destination, says Colin Blackwell, head of the human resources sub-group at Vietnam Business Forum (VBF).
Blackwell’s advice was rendered at a “2024 policy dialogue” jointly organized Wednesday by the Ho Chi Minh City People's Committee and VBF.
He made five “practical” recommendations regarding human resources (HR), particularly in the processing of work permits for foreign executives and specialists.
The first recommendation was to improve flexibility and understanding with regard to documentation requirements. For high-tech and green growth sectors, some flexibility in the documentation was needed in issuing work permits, he said.
These industries were evolving quickly, and standard qualifications may not yet exist in Vietnam, he noted. Being flexible would help Vietnam attract top talent in these emerging sectors and enable knowledge transfer, which are vital for the country’s future.
The second recommendation was to expand geographical validity of work permits. Current regulations requiring foreign employees to apply for a work permit at their intended place of work and updating each work location when they are sent to work in different localities were impractical, Blackwell said.
Although Decree 70 introduced the possibility of a single work permit for multiple locations through the labor ministry (MoLISA), this provision has been ineffective because there was a lack of detailed guidelines. Therefore, companies have faced challenges in obtaining clear guidance and approval from MoLISA.
Instead, it would be more effective and practical to issue a single work permit at the place of business establishment of the employer and to report to the province when employees are sent to another locality to work for more than 30 days.
Ensuring consistent application of the law across provinces was Blackwell’s third recommendation.
Businesses often encountered variations in how regulations were interpreted in different provinces, he said, adding that it was necessary to encourage local authorities to be consistent in following the legal framework, thus ensuring that the rules are applied uniformly. This will create greater confidence among businesses operating in different regions.
Fourthly, streamline the pre-approval process of hiring foreigners, which currently requires job postings at the provincial employment center followed by foreign labor demand approval at the provincial labor department. This process is burdensome and time-consuming, Blackwell asserted.
Introducing fast-track options for high-impact projects was his fifth and final recommendation. For large-scale investments or projects with a strong compliance record, a fast-track option for work permits could help reduce delays and allow executives and specialists to begin playing roles quickly.
Beyond work permits, it was also important to address broader administrative processes, particularly the alignment of visa and temporary residence card approvals across provinces, he noted.
Beyond specific recommendations regarding the issuance of work permits, Blackwell argued that education and training was a critical area where further support could have a significant impact on Vietnam’s workforce.
Short-term training centers, such as language schools and technical skill providers, are essential for developing the local talent pool. These centers should equip Vietnamese workers with skills needed to meet the demands of an increasingly competitive global market, he added.
- Read More
Vietnam’s budget carrier VietJet can pilot China's Comac aircraft on some routes: Deputy PM
China’s state-owned aerospace manufacturer Comac and Vietnam’s budget airline VietJet should collaborate with a Chinese airline having Comac aircraft to pilot Comac aircraft on some of VietJet routes, says Vietnamese Deputy Prime Minister Tran Hong Ha.
Companies - Thu, January 16, 2025 | 12:26 pm GMT+7
Offshore wind power investors can sell entire projects in Vietnam: draft decree
A draft decree on offshore wind power being compiled by Vietnam’s Ministry of Industry and Trade will facilitate investors to sell their projects or stakes.
Energy - Thu, January 16, 2025 | 11:27 am GMT+7
Build your own sales channels if e-commerce competition too harsh: NextTech exec
If e-commerce competition is too harsh, Vietnamese businesses should develop their own sales channels and customer databases, says Nguyen Hoa Binh, founder and chairman of NextTech Group, a leading technology startup in Vietnam.
Economy - Thu, January 16, 2025 | 9:05 am GMT+7
Indonesia moves to secure domestic pharmaceutical independence
Indonesia's Health Ministry is working to achieve domestic pharmaceutical independence through research and development, production, and market guarantees.
Southeast Asia - Thu, January 16, 2025 | 8:09 am GMT+7
Malaysia cooperates with UAE in AI development, digital transformation
Malaysian Prime Minister Anwar Ibrahim has said that the country must embark on digital transformation within its economic and financial sectors, prioritizing areas such as blockchain and cryptocurrency to remain at the forefront of the digital age.
Southeast Asia - Wed, January 15, 2025 | 11:00 pm GMT+7
Thai billionaire seeks to increase stake in Vietnam dairy gaint Vinamilk
F&N Dairy Investments Pte. Ltd - an entity associated with Thai billionaire Charoen Sirivadhanabhakdi - has registered to purchase nearly 20.9 million shares of Vietnamese dairy giant Vinamilk (HoSE: VNM).
Companies - Wed, January 15, 2025 | 10:54 pm GMT+7
Vietnam PM leaves for official visits to Poland, Czech, WEF meeting
Prime Minister Pham Minh Chinh departed Hanoi on Wednesday afternoon for official visits to Poland and the Czech Republic, attendance at the 55th World Economic Forum (WEF) Annual Meeting in Davos, and bilateral meetings in Switzerland.
Politics - Wed, January 15, 2025 | 10:31 pm GMT+7
Malaysia’s manufacturing sector sees positive signs in 2025
Malaysia’s manufacturing sector is forecast to recover well in 2025 as global trade dynamics and geopolitical shifts influence market trends.
Southeast Asia - Wed, January 15, 2025 | 10:06 pm GMT+7
Thailand posts record investment last year
Thailand saw record investment figures for 2024, with applications exceeding THB1.13 trillion ($32.5 billion), the highest in the past decade, according to the country’s Board of Investment (BOI).
Southeast Asia - Wed, January 15, 2025 | 10:05 pm GMT+7
Indonesia considers reducing trade tariffs with US
Indonesia is planning to lower trade tariffs with the U.S. as President-elect Donald Trump prepares to implement a universal tariff policy.
Southeast Asia - Wed, January 15, 2025 | 9:58 pm GMT+7
Malaysia eyes greater sustainability in palm oil sector as EU law looms
The Malaysian government said on Tuesday that it will encourage sustainability while maintaining the competitiveness of its palm oil industry ahead of the implementation of the EU’s anti-deforestation law at the end of this year.
Southeast Asia - Wed, January 15, 2025 | 9:52 pm GMT+7
T&T Group proposes 3,400 hectare urban, logistics, aviation industry complex in central Vietnam
Vietnamese conglomerate T&T Group and Singaporean consultancy firm CPG Corporation have proposed an urban-commerce-service-logistics-aviation industry complex covering 3,400 hectares in the central province of Quang Tri.
Real Estate - Wed, January 15, 2025 | 5:17 pm GMT+7
Samsung Vietnam facilities in Thai Nguyen province post 5% revenue growth in 2024: outgoing CEO
Factories in Thai Nguyen province of Samsung Vietnam earned a total revenue of $26.3 billion in 2024, up 5% year-on-year, said outgoing Samsung Vietnam CEO Choi Joo Ho.
Companies - Wed, January 15, 2025 | 4:22 pm GMT+7
Draft decree on offshore wind power sets requirements for foreign investors
A draft decree on offshore wind power being compiled by Vietnam’s Ministry of Industry and Trade includes requirements for foreign investors, such as financial capacity and past experience.
Energy - Wed, January 15, 2025 | 4:01 pm GMT+7
Kim Long Motors, China’s Changan Automobile to build 50,000-unit plant in central Vietnam
Vietnamese automaker Kim Long Motors and China’s Changan Automobile Co., Ltd. will join hands to build a plant manufacturing 5-7 seat passenger cars in the central city of Hue.
Industries - Wed, January 15, 2025 | 1:43 pm GMT+7
From a third-grade dropout to famous ceramics maker exporting worldwide
Ly Ngoc Minh, chairman and founder of Minh Long Ceramics Company, defied the odds by transforming from a boy who only completed the third grade into the creator of a globally recognized ceramic brand and the owner of a ceramic product museum.
Companies - Wed, January 15, 2025 | 12:30 pm GMT+7