The Ultimate HR Compliance Checklist: A Guide for Businesses in Vietnam

Key Takeaways

• HR compliance is an essential risk management strategy, protecting the business from costly labor disputes and administrative fines.
• A comprehensive HR compliance checklist must cover every stage—from recruitment and contracting to payroll and record-keeping—in strict accordance with legal regulations.
• A periodic HR compliance audit is the most effective preventive tool, especially crucial during periods of organizational scaling or significant policy changes.
• Systematically applying an HR compliance checklist helps build a transparent work environment and a solid foundation for sustainable growth.

Systematically applying an HR compliance checklist helps build a transparent work environment and a solid foundation for sustainable growth.

An HR compliance checklist helps ensure that every people management policy and process within the business—from recruitment and payroll to termination—fully adheres to the current labor laws. This not only helps the company avoid legal risks but also builds a fair and transparent work environment, creating a foundation for strong employee engagement.

Businesses typically conduct an HR compliance check when:

• Undergoing changes in scale or strategy: When the organization is growing rapidly, merging, or acquiring another company.
• Facing legal changes: Before or after significant updates to labor laws are enacted.
• Disputes arise: When employee complaints or labor disputes begin to surface.
• Conducting a periodic annual review to ensure all systems remain up-to-date.

1. Compliance in recruitment, interviewing, and contracting

The recruitment stage is the first gateway on the HR compliance journey, where initial mistakes can create legal repercussions that last throughout an employee’s tenure.

Public disclosure of recruitment information must be done at least once through media channels to ensure transparency and non-discrimination, according to Decree 170/2025/NĐ-CP. This not only demonstrates the company’s professionalism but also establishes a solid legal footing for the entire hiring process.

During the interview process, recruiters must not ask personal questions that are irrelevant to the job, in strict compliance with the Law on Gender Equality and the Labor Code. Questions about marital status, family planning, or personal health information can expose the business to allegations of discrimination.

Pre-employment background checks may only be conducted with the explicit consent of the candidate, adhering to personal data protection regulations under Decree 13/2023/NĐ-CP. The business needs a process to obtain this consent in writing and must clearly explain the purpose for which the information will be used.

2. Compliance in the onboarding process and company policies

The onboarding phase is not just an opportunity for new employees to acclimate to the work environment; it is also a critical time for the business to fulfill its legal obligations regarding information and training.

The business is required to clearly explain the following core elements to new hires:

• The company’s internal labor regulations and code of conduct.
• Anti-harassment policies and protective measures.
• The basic rights and obligations of the employee.
• The internal grievance and dispute resolution process.

Critically, the business must maintain records confirming that this training has been provided and retain proof that policies have been communicated to employees, as required by Circular 08/2025/TT-BNV. A lack of documentary evidence can create significant difficulties during inspections or labor disputes. To ensure compliance, many businesses may need professional support with the process of registering internal labor regulations that align with current laws.

3. Compliance in employee classification and contracts

The classification of labor and the selection of the appropriate contract type are the foundation of the entire HR management system, directly impacting labor costs and the company’s legal risks.

Accurate labor classification requires the business to correctly apply standards for strenuous or hazardous work to ensure appropriate benefits are provided, as stipulated in Circular 03/2025/TT-BLĐTBXH and Circular 29/2021/TT-BLĐTBXH. Misclassification can lead to deficiencies in insurance and welfare benefits. A clear understanding of different employment statuses helps businesses avoid misclassification and save significant costs.

Regarding labor contracts, businesses must use the correct type—either definite-term or indefinite-term—with clear and lawful clauses. The misuse of seasonal or service contracts for positions of a permanent nature can be deemed a disguised labor contract, leading to serious legal consequences. Mastering the key elements and terms of a labor contract is crucial for mitigating legal risk.

4. Compliance in compensation and benefits

The compensation and benefits system is the most legally dense area in HR management, demanding absolute precision in every step, from calculation to payment.

Salary requirements

Businesses must adhere to the regional minimum wage, pay salaries on time, and provide transparent payslips in accordance with the Labor Code and Decree 44/2025/NĐ-CP. The payslip must detail all earnings, deductions, and the final net amount received.

Mandatory benefits

• Social, health, and unemployment insurance: Declare and contribute fully and on time.
• Leave policies: Ensure compliance with regulations on the number of days and conditions.
• Maternity policies: Fully adhere to the rights of female employees.
• Allowances: Calculate accurately based on the specific job type.

When using non-staff labor under service or seasonal contracts, businesses must strictly follow regulations on contracting and labor classification to avoid the risk of it being considered a disguised labor contract, which could lead to back-payment of benefits and insurance. A thorough understanding of different employee benefits and mandatory benefits by law will help businesses ensure full compliance.

5. Compliance in record-keeping and processing

Managing HR records is not just an internal organizational matter but a legal obligation with strict rules on retention periods and information security.

Labor records, contracts, decisions, and other sensitive personnel information must be stored in strict compliance with the retention periods outlined in Circular 08/2025/TT-BNV and the data protection rules of Decree 13/2023/NĐ-CP. Missing records or improper storage can create major problems during inspections or labor disputes.

Businesses need to build a highly secure record management system, ensuring that only authorized personnel can access employee information. This not only protects the privacy of employees but also helps the company comply with personal data protection regulations. Adopting an effective employee record management system and automating HR processes will help minimize errors and enhance security.

An HR compliance checklist is not a passive task; it is a proactive management action to build a foundation for sustainable growth. Leaders should not wait for a risk to materialize. The first and most necessary step is to ask your Head of HR: “When was the last time we conducted a comprehensive HR audit?” and to schedule one immediately if the answer is “never” or “a long time ago.”For businesses that need expert support, using professional HR consulting services or HR management and compliance services will ensure comprehensive adherence to the law and minimize legal risks.