Labor & Employment
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Online Issuing Work Permits to Expats
- 15 September 2017
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- by Hannah Huynh
On August 15, 2017, MOLISA issued Circular No.23/2017/TT-BLDTBXH guiding the online issuance of work permits for expats working in Vietnam (which will take effect from October 02, 2017) (“Circular 23”). According to Circular 23, the employers shall carry out the following procedures online at http://dvc.vieclamvietnam.gov.vn.: (i) obtaining the approval for the demand of employing the expats, (ii) obtaining the new/re-issued work permits and (iii) obtaining confirmation on work permits exemption. The online procedures consist of 02...
Increasing Minimum Regional Salary Rate of 2018
- 15 September 2017
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- by Hannah Huynh
On August 07, 2017, the National Wage Council agreed that the minimum regional salary of 2018 will increase by 6.5% (lower than the rate of 7.3% in 2017). Based on the recommendations of the National Wage Council, MOLISA also carried out a draft Decree providing the minimum regional salary rate of employees working under labor contracts, which is expected to take effect from January 01, 2018 (the “Draft on Minimum Regional Salary”). Accordingly, the minimum regional...
Compulsory Social Insurance for Expats
- 15 September 2017
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- by Hannah Huynh
From January 01, 2018, provisions on social insurance (the “SI”) applied to expats under the 2014 SI Law shall come into force. To guide the implementation of such provisions, MOLISA carried out a draft Decree detailing and guiding the implementation of the SI Law regarding the compulsory SI for the expats working in Vietnam (the “Draft on SI”) which is expected to come into force from January 01, 2018, i.e. at the same time the provisions...
Financial Liabilities When an Occupational Accident Occurs
- 03 August 2017
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- by Hannah Huynh
Conditions for an Accident to be Deemed an ‘Occupational Accident’ Pursuant to the provisions of the 2015 Law on Occupational Safety and Hygiene, an accident will be considered an ‘occupational accident’ if it satisfies the following 03 conditions: The victim of such accident An employee working under a labor contract; probation contract; traineeship, or apprenticeship; An official, public servant, public employee, or employee working in the People’s Armed Forces; An employee working for an employer without...
Criminal Liability to Unlawful Termination of Labor Contract
- 23 April 2017
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- by Stephen Le
On November 27, 2015, the National Assembly of Vietnam has adopted Penal Code No.100/2015/QH13 (the “2015 Penal Code”). The 2015 Penal Code is being suspended for revision by the National Assembly of Vietnam but it is expected to come into force in the near future. One of the most remarkable regulations in the 2015 Penal Code is Article 162 which provides the penal sanctions up to 03 years of imprisonment for the illegal termination of the...
Employment Termination Due to Poor Performance
- 19 February 2017
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- by Stephen Le
Article 38.1, the 2012 Labor Code provides that the employer may unilaterally terminate the labor contract with the employee if “the employee regularly fails to complete the work stated in the labor contract”. Article 12.1, Decree No.05/2015/ND-CP also does provide the guidance as follows: “The employer must specify the criteria for assessing the work completion under the regulations of company, as a basis for assessing the employee who regularly does not complete the work stated in...
New Regulations of Decree No.05/2015/ND-CP Guiding the 2012 Labor Code
- 26 January 2015
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- by Hannah Huynh
On January 12, 2015, the Government promulgated Decree No.05/2015/ND-CP detailing and guiding the implementation a number of articles of the Labor Code (“Decree No.05”), which will take effect from March 01, 2015. The promulgation of Decree No.05 brings back some important guidance from the old Decrees and Circulars guiding the 1994 Labor Code such as: who is the person having the right to sign the labor contract; how to calculate the severance allowance; how to calculate...
