Labor & Employment
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The Hybrid Future Is Here to Stay
- 27 May 2022
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- by Stephen Le
The data speaks for itself. Employees who feel their employer cares about their wellbeing are 69% less likely to actively search for a job. And that is just one of many other proven benefits. Could the source of your “legal” problem start with a care problem? At the onset of the pandemic in 2020, many employers responded quickly with a plan, communication, and what many employees believed was genuine concern for them, their work, and their...
The Reality of Manager Burnout
- 13 May 2022
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- by Stephen Le
Successful businesses depend on effective managers -productivity, performance, engagement and retention all spring from great managers. But what if the manager is burned out? What happens to the organization? What happens to the manager? Having stressed and burned-out managers is never good, but it’s a particularly urgent problem right now. The good news is? You can do something about it.
Preventing Conflicts of Interest
- 09 March 2022
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- by Stephen Le
A “Conflict of Interest” is defined as a real or seeming incompatibility between one’s private interests and one’s public or fiduciary duties (Black’s Law Dictionary – Ninth Edition). There is no statutory definition of conflict of interest under the laws of Vietnam. Actions constituting conflicts of interest are only indirectly regulated in the form of certain prohibited activities in various legal documents such as the Law on Cadres and Civil Servants[1] or the Law on Anti-corruption[2]...
Grassroots Trade Unions & Employees’ Organizations at the Enterprise-level
- 21 February 2022
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- by Stephen Le
In Vietnam, the ‘Trade union’ was the only organization dedicated to protecting employees’ legitimate rights and interests. The first legislative enactment regarding Trade Unions was the 1994 and subsequent 2012 Labor Codes. Under the 2012 Labor Code, the term “Trade Union” was changed to “Representative organization of a grassroots-level employees’ collective”. However, the essence of this organization remained and was defined as “the Executive committee of a grassroots trade union or the Executive committee of the...
Overview of Labor Law
- 14 January 2022
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- by Hannah Huynh
Employment Term and Probation Period Definite-term labor contract Term: not exceed 36 months (exclusive of probationary period). You cannot use this type of contract if: it is the third labor contract with that employee. For the third labor contract, you must sign indefinite-term contract. What happens if the employee continues to work after the expiry of the contract? After the expiry of contract, if the employee continues working without signing any new contract within next 30...
Resolving Labour Disputes in Vietnam for Foreigners
- 18 December 2021
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- by Hannah Huynh
One of the requirements for foreigners to work in Vietnam is to be granted a work permit the competent Vietnamese authorities. However, due to the practical, day-to-day demands of business, many companies do not comply with this regulation and often sign labour contracts with foreign employees without valid work permits. In the event of a dispute, the issues become: “Is the labour contract with a foreign employee without a work permit valid?” and “What role does...
Labor Contract Terms for Directors under Enterprise and Labor Law
- 07 December 2021
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- by Hannah Huynh
Currently under the 2020 Enterprise Law, the terms of office for Directors/General Directors shall not exceed a maximum of 05 years. Concurrently, the 2019 Labor Code provides for 2 types of labor contracts, being a definite-term labor contract with a maximum term of up to 36 months and an indefinite-term labor contract. Needless to say, these provisions cause confusion for enterprises when they enter into labor contracts with employees holding Director/General Director titles. This article summaries...
Reducing Salary Allowances and Bonuses for Disciplined Employees – Is It Allowable?
- 06 December 2021
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- by Stephen Le
Aside from the disciplinary measures prescribed in the 2019 Labor Code, some companies would like to have more practical measures to apply to disciplined employees. After exchanging with many companies, money is clearly the most practical measure that companies wish to include. Thus, whether it is lawful to reduce a certain amount of money from the employee is of great concern to companies. Reduction of Salary Allowances Depending on the nature of the job, position, title...
Vietnam Facilitates Work Permit Process for Foreign Workers
- 18 October 2021
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- by Hannah Huynh
Resolution 105 Amendments Definition of “work experience” Recently issued Resolution No. 105/NQ-CP (Resolution 105), which applies to enterprises, cooperatives, and business households, has altered the definition of “work experience” required for foreign workers, making it easier to obtain work permits. The Resolution was ratified by the Prime Minister and issued on September 9th, 2021. One of the purposes of Resolution 105 is to ease some of the stricter hiring requirements, instituted by Decree No 152/2020/ND-CP...
Higher Democratic Standards in the Workplace under Labour Code 2019
- 13 September 2021
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- by Corporate Counsels Team
The Labour Code 2019 in Vietnam took effect on January 01, 2021. One of the stated purposes of the new Labour Code was to meet the commitments of Vietnam concerning labour standards in recent new-generation free trade agreements, including the EU-Vietnam Free Trade Agreement and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership. As a result, the Labour Code 2019 and its implementing provisions provide higher standards of democracy compared to the Vietnamese labour regulations prior...
Enforcing a Non-compete Agreement for Employment Contracts in Vietnam
- 13 September 2021
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- by Stephen Le
In today’s business environment, foreign companies operating in Vietnam often include a non-competition provision or agreement in their labor contracts with their employees. However, as this type of provision is somewhat rare in Vietnam as well as being unfamiliar to Vietnamese administrative agencies and Courts, there is little knowledge available of the effects and implications of such a provision. Therefore, in this Insight, we would like to share with you our knowledge and experience with regard...
Ho Chi Minh City Plans for the ‘New Normal’ after September 15, 2021
- 12 September 2021
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- by Corporate Counsels Team
Up to October 9, 2021, Vietnam has approved the Hayat-Vax vaccine for emergency use, besides AstraZeneca, Sputnik V (Gam-Covid-Vac), Vero Cell (Sinopharm), Pfizer/BioNTech (Comirnaty), Moderna (Spikevax), and Janssen. At the moment, the Government is still facilitating the vaccination campaigns for people to get the first Covid-19 vaccine shot and continue the second shot in time. With the severe impact of the fourth Covid-19 wave, the People’s Committee of Ho Chi Minh City applied the lockdown regulation...
