Employment of local and foreign employees in Vietnam requires compliance with the laws and regulations stipulated by the government, such as minimum wage, employer’s obligations, payroll, taxation, social insurance, and work permit application. It is also worth noting that foreign enterprises cannot hire foreign employees in Vietnam directly. They will either have to establish a local subsidiary or use intermediaries. Opening a local subsidiary will bring extra time and costs to the registration, operations, and closing. The cost of operation of the company with very limited business activities would be about USD 5000 and this still excludes time and costs of payroll, company registration, and dissolution. The solution to optimizing the time and costs of opening a company is an HR outsourcing service. There are two options of HR outsourcing in Vietnam, namely Employer of Record (EOR) and Professional Employer Organisation (PEO). The main difference between the two lies on the legal employer of the workers working on payroll. Both, however, offer similar services such as tax filing, contracts, and payroll.