🇹🇭 Hire in Thailand vs 🇻🇳 Vietnam
Statutory employer on-costs are lower in Thailand; the full picture depends on salary level, termination exposure and how fast you need the person on payroll.
Not professional advice. Rates, rules and prices change often. Figures here are researched estimates from the sources listed; anything marked “unverified” needs checking with the provider or a local adviser before you rely on it.
| Thailand | Vietnam | |
|---|---|---|
| Employer on-costs | 2–6% | 21.5–23.5% |
| Total cost on a $60,000 salary | $61,200–$63,600 | $72,900–$74,100 |
| Mandatory benefits | Annual paid leave of 6 working days after one year; 13 public holidays (employer must give at least 13); Sick leave up to 30 days paid per year; Maternity leave 98 days; Severance pay on dismissal without cause; Overtime and rest-day pay | 12 days annual leave; 11 public holidays; 13th-month salary is customary and often contractual but not statutory; Maternity leave 6 months; Social insurance, health and unemployment insurance; Overtime pay |
| Probation | No statutory maximum, typically up to 119 days because severance eligibility starts at 120 days of service. | Up to 180 days for enterprise managers; 60 days for roles requiring college level or above; 30 days for intermediate-level roles; 6 working days for other jobs. Probation salary must be at least 85% of the job's salary. |
| Notice and severance | Termination without cause requires notice of at least one pay period (up to 3 months) or pay in lieu, and statutory severance based on tenure: 120 days to <1 year = 30 days' wages; 1 to <3 years = 90 days; 3 to <6 years = 180 days; 6 to <10 years = 240 days; 10 to <20 years = 300 days; 20+ years = 400 days. | Indefinite-term contracts: employee must give 45 days' notice (employer must also give 45 days where lawful ground exists); fixed-term 12-36 months: 30 days; fixed-term under 12 months: 3 working days. Employment allowance (trop cap thoi viec): 0.5 month's average salary per year worked. Job-loss allowance for redundancy: 1 month per year, minimum 2 months. |
| Paid leave | Minimum 6 working days after 1 year of service (many employers give 10-15). 13 public holidays minimum. | 12 working days of annual leave for normal conditions (more for heavy/hazardous work and for each 5 years of service), plus 11 public holidays. |
| Contractor risk | Contractors are common in Thailand's tech and creative scenes, and the Labour Protection Act looks at the substance of the relationship (control, fixed hours, integration). Misclassified workers may claim employee entitlements such as severance and overtime. Contractor risk is considered moderate. | Independent contractors are common, but a worker who works under employer direction and receives wages is deemed an employee under the 2019 Labour Code. Misclassification can lead to administrative fines and back-payment of social insurance. Risk is moderate. |
| EOR onboarding | Days to ~2 weeks (providers advertise 'days', no verified specific figure) | Days to ~2 weeks (provider claims; specific figure unverified) |
| Time zone | ICT (UTC+7) all year, no DST; 11-12 hours ahead of US Eastern. | ICT (UTC+7), no DST; 11-12 hours ahead of US Eastern. |
| Data confidence | medium | medium |
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FAQ
Is it cheaper to hire in Thailand or Vietnam?
On statutory employer on-costs alone, Thailand is lower (2–6%). Salary levels, EOR fees and benefits also matter; use the cost calculator.