On March 19, 2021, The Government promulgates Decree 23/2021/ND-CP guiding Clause 3, Article 37, and Article 39 of the Employment Law on employment service centers and employment service enterprises.

Accordingly, this Decree details the conditions for licensing of employment service enterprises, specifically as follows:

• Having premises for an employment service business’s main office or branches to organize employment service activities which are owned or rented permanently by the business under a contract having the term of 3 years (36 months) or more.
• The business has already pledged 300,000,000 dongs (Three hundred million dongs) as a security deposit.
• The business’s legal representative must meet the following conditions:
• He/she is the business’s executive under regulations of the Law on Enterprises;
• He/she is not falling into the following situations: prosecuted for criminal liability; detained; serving imprisonment penalties; serving administrative penalties at compulsory detoxification establishments or compulsory education centers; fleeing from his/her place of residence; having restricted or lost capacity of performing civil acts; facing cognitive difficulties, problems in awareness and behavior control; banned by courts from holding certain posts or practicing certain occupations or doing certain jobs relating to employment services;
• Having a university degree or higher qualification or having directly involved in professional or administrative tasks related to employment services, or the rendering of employment services, for 02 years (24 months) or more within 05 consecutive years before applying for the license.

So, compared with the previous regulations, this Decree has supplemented regulations on conditions for legal representatives of employment service enterprises. This new regulation has tightened the management, responsibility, and efficiency of employment service enterprises.

This Decree takes effect from June 1, 2021.