THE NATIONAL SOCIALIST REPUBLIC OF VIETNAM

ASSEMBLY Independence - Freedom - Happiness

------- ---------------
No. 45/2019/QH14 Hanoi, November 20, 2019

LABOR CODE
Pursuant to the Constitution of Socialist Republic of Vietnam;
The National Assembly promulgates the Labor Code.

Chapter I: GENERAL PROVISIONS

Article 1. Scope
The Labor Code sets forth labor standards; rights, obligations and responsibilities
of employees, employers, internal representative organizations of employees,
representative organizations of employers in labor relations and other relations
directly related to labor relations; and state management of labor.
Article 2. Regulated entities
1. Employees, trainees, apprentices and other workers without labor relations.
2. Employers.
3. Foreign employees who work in Vietnam.
4. Other organizations and individuals directly related to labor relations.
Article 3. Definitions
For the purposes of this document, the terms below shall be construed as follows:
1. “employee” means a person who works for an employee under an agreement, is
paid, managed and supervised by the employer.
The legal working age is 15, except for the cases specified in Section 1 Chapter XI
of this Labor Code.
2. “employer” means an enterprise, agency, organization, cooperative, household
or individual who employs other people under agreements. An employee that is an
individual shall have full legal capacity.
3. “representative organization of employees” means an internal organization
voluntarily established by employees of an employer which protects the employees’
legitimate rights and interests in labor relations through collective bargaining or
other methods prescribed by labor laws. Representative organizations of
employees include internal trade unions and internal employee organizations.
4. Representative organization of employers means a lawfully established
organization which represents and protects the employers’ legitimate rights and
interests in labor relations.
5. “labor relation” means a social relation which arises in respect of the
employment and salary payment between an employee and an employer, their
representative organizations and competent authorities. Labor relations include
individual labor relation and collective labor relation.
6. “worker without labor relations” means a person who works without an
employment contract.
7. “forced labor” means to the use force or threat to use force or a similar
practice to force a person to work against his/her will.
8. “labor discrimination” means discrimination on the grounds of race, skin color,
nationality, ethnicity, gender, age, pregnancy, marital status, religion, opinion,
disability, family responsibility, HIV infection, establishment of or participation in
trade union or internal employee organization in a manner that affects the equality
of opportunity of employment.
Positive discrimination on the grounds of professional requirements, the
sustainment and employment protection for vulnerable employees will not be
considered discrimination.
9. “sexual harassment” in the workplace means any sexual act of a person against
another person in the workplace against the latter’s will. “workplace” means the
location when an employee works under agreement or as assigned by the
employer.
Article 4. State policies on labor
1. Guarantee the legitimate rights and interests of employees and workers without
labor relations; encourage agreements providing employees with conditions more
favorable than those provided by the labor laws.
2. Guarantee the legitimate rights and interests of employers, to ensure lawful,
democratic, fair and civilized labor management, and to promote corporate social
responsibility.
3. Facilitate job creation, self-employment and occupational training and learning
to improve employability; labor-intensive businesses; application of certain
regulations in this Labor code to workers without labor relations.
4. Adopt policies on the development and distribution of human resources;
improve productivity; provide basic and advanced occupational training,
occupational skill development; assist in sustainment and change of jobs; offer
incentives for skilled employees in order to meet the requirements of national
industrialization and modernization.
5. Adopt policies on labor market development and diversify types of linkage
between labor supply and demand.
6. Promote dialogues, collective bargaining and establishment of harmonious,
stable and progressive labor relations between employees and employers.
7. Ensure gender equality; introduce labor and social policies aimed to protect
female, disabled, elderly and minor employees.
Article 5. Rights and obligations of employees
1. An employee has the rights to:
a) work; freely choose an occupation, workplace or occupation; participate in basic
and advanced occupational training; develop professional skills; suffer no
discrimination, forced labor and sexual harassment in the workplace;
b) receive a salary commensurate with his/her occupational skills on the basis of an
agreement with the employer; be provided with personal protective equipment and
work in an occupationally safe and healthy environment; take statutory sick leaves,
annual paid leaves and receive collective welfare benefits;
c) establish, join an representative organization of employees, occupational
associations and other organizations in accordance with law; request and
participate in dialogues with the employer, implementation of democracy
regulations and collective bargaining with the employer; receive consultancy at the
workplace to protect his/her legitimate rights and interests; participate in
management activities according to the employer’s regulations;
d) refuse to work if he/she finds that the work directly threatens his/her life or
health;
dd) unilaterally terminate the employment contract;
e) go on strike;
g) exercise other rights prescribed by law.
2. An employee has the obligations to:
a) implement the employment contract, collective bargaining agreement and other
lawful agreements;
c) obey internal labor regulations, the lawful management, administration and
supervision by the employer;
c) implement regulations of laws on labor, employments, vocational education,
social insurance, health insurance, unemployment insurance, occupational safety
and health.
Article 6. Rights and obligations of employers
1. An employer has the rights to:
a) recruit, arrange and manage and supervise employees; give commendation and
take actions against violations of internal labor regulations;
b) establish, join and operate in employer representative organization, occupational
associations and other organizations in accordance with law;
c) request the representative organization of employees to negotiate the conclusion
of the collective bargaining agreement; participate in settlement of labor disputes
and strikes; discuss with the representative organization of employees about issues
related to labor relations and improvement of the material and spiritual lives of
employees;
d) temporarily close the workplace;
dd) exercise other rights prescribed by law.
2. An employer has the obligations to:
a) implement the employment contracts, collective bargaining agreement and other
lawful agreements with employees; respect the honor and dignity of employees;
b) establish a mechanism for and hold dialogue with the employees and the
representative organization of employees; implement the regulations on grassroots-
level democracy;
c) Provide basic training and advanced training in order to help employees improve
their professional skills or change their occupations;
d) implement regulations of laws on labor, employments, vocational education,
social insurance, health insurance, unemployment insurance, occupational safety
and health; develop and implement solutions against sexual harassment in the
workplace;
dd) Participate in development of the national occupational standards, assessment
and recognition of employees’ professional skills.
Article 7. Development of labor relations
1. Labor relations are established through dialogue and negotiation on principles of
voluntariness, good faith, equality, cooperation and mutual respect of each other’s
the lawful rights and interests.
2. Employers, employer representative organizations, employees and
representative organizations of employees shall develop progressive, harmonious
and stable labor relations with the assistance of competent authorities.
3. The trade union shall cooperate with competent authorities in assisting the
development of progressive, harmonious and stable labor relations; supervising
implementation of labor laws; protecting the legitimate rights and interests of
employees.
4. Vietnam Chamber of Commerce and Industry, Vietnam Cooperative Association
and other employer representative organizations that are lawfully established shall
represent, protect the lawful rights and interests of employers, and participate in
development of progressive, harmonious and stable labor relations.
Article 8. Forbidden actions
1. Labor discrimination.
2. Maltreatment of employees, forced labor.
3. Sexual harassment in the workplace.
4. Taking advantage of occupational training or apprenticeships to exploit the
trainees or apprentices, or persuade or force them to act against the law.
5. Employing untrained people or people without occupational training certificates
to do the jobs or works that have to be done by trained workers or holders of
occupational training certificates.
6. Persuading, inciting, promising advertising or otherwise tricking employees into
human trafficking, exploitation of labor or forced labor; taking advantage of
employment brokerage or guest worker program to commit violations against the
law.
7. Illegal employment of minors.

Chapter II: EMPLOYMENTS, RECRUITMENT AND

EMPLOYEE MANAGEMENT
Article 9. Employments and creation of employments
1. Employment is any income-generating laboring activity that is not prohibited by
law.
2. The State, employers and the society have the responsibility to create
employment and guarantee that every person, who has the work capacity, has
access to employment opportunities.
Article 10. Right to work of employees
1. An employee shall have the right to choose his employment, employer in any
location that is not prohibited by law.
2. An employee may directly contact an employer or through an employment
service provider in order to find a job that meets his/her expectation, capacity,
occupational qualifications and health.
Article 11. Employment plan
1. Employers have the right to recruit employees directly or through employment
agencies or dispatching agencies.
2. Employees shall not pay any employment cost.
Article 12. Responsibility of an employer for employee management
1. Prepare, update, manage, use the physical or electronic employee book and
present it to the competent authority whenever requested.
2. Declare the employment status within 30 days from the date of commencement
of operation, and report periodically on changes of employees during operation to
the local labor authority under the People’s Committee of the province (hereinafter
referred to as “provincial labor authority") and to the social security authority.
3. The Government shall elaborate this Article.

Chapter III: EMPLOYMENT CONTRACT

Section 1. CONCLUSINO OF AN EMPLOYMENT CONTRACT
Article 13. Employment contract
1. An employment contract is an agreement between an employee and an employer
on a paid job, salary, working conditions, and the rights and obligations of each
party in the labor relations.
A document with a different name is also considered an employment contract if it
contains the agreement on the paid job, salary, management and supervision of a
party.
2. Before recruiting an employee, the employer shall enter into an employment
contract with such employee.
Article 14. Forms of employment contract
1. An employment contract shall be concluded in writing and made into two
copies, one of which will be kept by the employee, the other by the employer,
except for the case specified in Clause 2 of this Article.
An employment contract in the form of electronic data conformable with electronic
transaction laws shall have the same value as that of a physical contract.
2. Both parties may conclude an oral contract with a term of less than 01 month,
except for the cases specified in Clause 2 Article 18, Point a Clause 1 Article 145
and Clause 1 Article 162 of this Labor Code.
Article 15. Principles for conclusion of an employment contract
1. Voluntariness, equality, good faith, cooperation and honesty.
2. Freedom to enter into an employment contract which is not contrary to the law,
the collective bargaining agreement and social ethics.
Article 16. Obligations to provide information before conclusion of an
employment contract
1. The employer shall provide the employee with truthful information about the
job, workplace, working conditions, working hours, rest periods, occupational
safety and health, wage, forms of wage payment, social insurance, health
insurance, unemployment insurance, regulations on business secret, technological
know-how, and other issues directly related to the conclusion of the employment
contract if requested by the employee.
2. The employee shall provide the employer with truthful information about his/her
full name, date of birth, gender, residence, educational level, occupational skills
and qualifications, health conditions and other issues directly related to the
conclusion of the employment contract which are requested by the employer.
Article 17. Prohibited acts by employers during conclusion and performance
of employment contracts
1. Keeping the employee’s original identity documents, diplomas and certificates.
2. Requesting the employee to make a deposit in cash or property as security for
his/her performance of the employment contract.
3. Forcing the employee to keep performing the employment contract to pay debt
to the employer.
Article 18. Competence to conclude employment contracts
1. Employees may directly conclude their employment contracts, except for the
cases specified in Clause 2 of this Article.
2. In respect of seasonal works or certain jobs which have a duration of less than
12 months, a group of employees aged 18 or older may authorized the
representative of the group to conclude the employment contract, in which case
such employment contract shall be effective as if it was separately concluded by
each of the employees.
The employment contract concluded by the said representative must be enclosed
with a list clearly stating the full names, ages, genders, residences and signatures of
all employees concerned.
3. The person who concludes the employment contract on the employer’s side shall
be:
a) The legal representative of the enterprise or an authorized person as prescribed
by law;
b) The head of the organization that is a juridical person, or an authorized person
as prescribed by law;
c) The representative of the household, artels or an organization that is not a
juridical person, or an authorized person as prescribed by law;
d) The individual who directly hires the employee.
4. The person who concludes the employment contract on the employee’s side
shall be:
a) The employee himself/herself if he/she is 18 or older;
b) The employee aged 15 to under 18 with a written consensus by his/her legal
representative;
c) The employee aged under 15 and his/her legal representative;
d) The employee lawfully authorized by the group of employees to conclude the
employment contract.
5. The person who is authorized to conclude the employment contract must not
authorize another person to conclude the employment contract.
Article 19. Entering into multiple employment contracts
1. An employee may enter into employment contracts with more than one
employer, provided that he/she fully performs all terms and conditions contained in
the concluded contracts.
2. Where an employee enters into employment contracts with more than one
employer, his/her participation in social insurance, health insurance and
unemployment insurance schemes shall comply with regulations of law on social
insurance, health insurance, unemployment insurance, occupational safety and
health.
Article 20. Types of employment contracts
1. An employment contract shall be concluded in one of the following types:
a) An indefinite-term employment contract is a contract in which the two parties
neither fix the term nor the time of termination of the contract;
b) A fixed-term employment contract is a contract in which the two parties fix the
term of the contract for a duration of up to 36 months from the date of its
conclusion.
2. If an employee keeps working when an employment contract mentioned in Point
b Clause 1 of this Article expires:
a) Within 30 days from the expiration date of the employment contract, both
parties shall conclude a new employment contract. Before such a new employment
contract is concluded, the parties’ rights, obligations and interests specified in the
old employment contract shall remain effective;
b) If a new employment contract is not concluded after the 30-day period, the
existing employment contract mentioned in Point b Clause 1 of this Article shall
become an employment contract of indefinite term;
c) The parties may enter into 01 more fixed-term employment contract. If the
employee keeps working upon expiration of this second fixed-term employment
contract, the third employment contract shall be of indefinite term, except for
employment contracts with directors of state-invested enterprises and the cases
specified in Clause 1 Article 149, Clause 2 Article 151 and Clause 4 Article 177 of
this Labor Code.
Article 21. Contents of employment contracts
1. An employment contract shall have the following major contents:
a) The employer’s name, address; full name and position of the person who
concludes the contract on the employer’s side;
b) Full name, date of birth, gender, residence, identity card number or passport
number of the person who concludes the contract on the employee’s side;
c) The job and workplace;
d) Duration of the employment contract;
dd) Job- or position-based salary, form of salary payment, due date for payment of
salary, allowances and other additional payments;
e) Regimes for promotion and pay rise;
g) Working hours, rest periods;
h) Personal protective equipment for the employee;
i) Social insurance, health insurance and unemployment insurance;
k) Basic training and advanced training, occupational skill development.
2. If the employees’ job is directly related to the business secret, technological
know-how as prescribed by law, the employer has the rights to sign a written
agreement with the employee on the content and duration of the protection of the
business secret, technology know-how, and on the benefit and the compensation
obligation in case of violation by the employee.
3. If the employee works in agriculture, forestry, fishery, or salt production, both
parties may exclude some of the aforementioned contents and negotiate additional
agreements on settlement in the case when the contract execution is affected by
natural disaster, fire or weather.
4. The contents of the employment contract with an employee who is recruited to
work as the director of a state-invested enterprise shall be stipulated by the
Government.
5. The Minister of Labor, War Invalids and Social Affairs elaborate Clauses 1, 2
and 3 of this Article.
Article 22. Annexes to employment contract
1. An annex to an employment contract is an integral part of the employment
contract and is as binding as the employment contract.
2. An annex to an employment contract may elaborate or amend certain contents of
the employment contract and must not change the duration of the employment
contract.
Where an annex to an employment contract elaborates the employment contract in
a manner that leads to a different interpretation of the employment contract, the
contents of the employment contract shall prevail.
Where an annex amends certain contents of the employment contract, it should
clearly states the amendments or additions, and the date on which they take effect.
Article 23. Effect of employment contract
An employment contract takes effect as of the date on which the contract is
concluded by the parties, unless otherwise agreed by both parties or prescribed by
law.
Article 24. Probation
1. An employer and an employee may include the contents of the probation in the
employment contract or enter into a separate probation contract.
2. The probation contract must include the probation period and the contents
specified in Points a, b, c, dd, g and h Clause 1 Article 21 of this Code.
3. Probation is not allowed if the employee works under an employment contract
with a duration of less than 01 month.
Article 25. Probationary period
The probationary period shall be negotiated by the parties on the basis of the nature
and complexity of the job. Only one probationary period is allowed for a job and
the probation shall not exceed:
1. 180 days for the position of enterprise executive prescribed by the Law on
Enterprises, the Law on management and use of state investment in enterprises;
2. 60 days for positions that require a junior college degree or above;
3. 30 days for positions that require a secondary vocational certificate, professional
secondary school; positions of or for technicians, and skilled employees;
4. 06 working days for other jobs.
Article 26. Probationary salary
The probationary salary shall be negotiated by both parties and shall not be lower
than 85% of the offered salary.
Article 27. Termination of probationary period
1. Upon the expiry of the probationary period, the employer shall inform the
employee of the probation result.
If the result is satisfactory, the employer shall keep implementing the concluded
employment contract, if there is one, or conclude the employment contract.
If the result is not satisfactory, the employer may terminate the concluded
employment contract or the probation contract.
2. During the probationary period, either party has the right to terminate the
concluded probation contract or employment contract without prior notice and
compensation obligation.
Section 2. PERFORMANCE OF EMPLOYMENT CONTRACT
Article 28. Performance of works under an employment contract
The works under an employment contract shall be performed by the employee who
directly enters into the contract. The workplace shall be consistent with that
indicated in the employment contract, unless otherwise agreed upon by both
parties.
Article 29. Reassignment of an employee against the employment contract
1. In the event of sudden difficulties such as natural disasters, fire, major
epidemics, implementation of preventive and remedial measures for occupational
accidents or diseases, electricity and water supply failures, or for reasons of
business and production demands, the employer may temporarily assign an
employee to perform a work which is not prescribed in the employment contract
for an accumulated period of up to 60 working days within 01 year, unless
otherwise agreed in writing by the employee.
The employer shall specify in the internal labor regulations the cases in which the
employer may temporary reassign employees against the employment contracts.
2. In case of temporarily reassignment of an employee specified in Clause 1 of this
Article, the employer shall inform the employee at least 03 working days in
advance, specify the reassignment period and only assign works that are suitable
for the employee’s health and gender.
3. The reassigned employee will receive the salary of the new work. If the new
salary is lower than the previous salary, the previous salary shall be maintained for
30 working days. The new salary shall be at least 85% of the previous salary and
not smaller than the minimum wages.
4. In case the employee refuses to be reassigned for more than 60 working days in
01 year and has to suspend the employment, he/she shall receive the suspension
pay from the employer in accordance with Article 99 of this Labor Code.
Article 30. Suspension of an employment contract
1. Cases of suspension of an employment contract:
a) The employee is conscripted into the army or militia;
b) The employee is held in custody or detention in accordance with the criminal
procedure law;
c) The employee is sent to a reformatory school, drug rehabilitation center or
correctional facility;
d) The female employee is pregnant as specified in Article 138 of this Code;
dd) The employee is designated as the executive of a wholly state-owned single-
member limited liability company;
e) The employee is authorized to representative the state investment in another
enterprise;
g) The employee is authorized to represent the enterprise’s investment in another
enterprise;
h) Other circumstances as agreed by both parties.
2. During the suspension of the employment contract, the employee shall not
receive the salary and benefits specified in the employment contract, unless
otherwise agreed by both parties or prescribed by law.
Article 31. Reinstatement of employees upon expiry of the temporary
suspension of the employment contract
Within 15 days from the expiry of the suspension period of the employment
contract, the employee shall be present at the workplace and the employer shall
reinstate the employee under the employment contract if it is still unexpired, unless
otherwise agreed by both parties or prescribed by law.
Article 32. Part-time employments
1. A part-time employee is an employee who works for less than the usual daily,
weekly or monthly working hours as prescribed by labor laws, the collective
bargaining agreement internal labor regulations.
2. An employee may negotiate part-time employment with the employer when
enter into an employment contract.
3. The part-time employee shall be entitled to receive salary, equal rights and
obligations as a full-time employee; equal opportunity and treatment, and to a safe
and hygienic working environment.
Article 33. Revisions to employment contracts
1. During the performance of an employment contract, any party who wishes to
revise the employment contract shall notify the other party of the revisions at least
03 working days in advance.
2. In case where an agreement is reached between the parties, the revisions shall be
made by signing an annex to the employment contract or signing a new
employment contract.
3. In case the two parties fail to reach an agreement on the revisions, they shall
continue to perform the existing employment contract.
Section 3. TERMINATION OF EMPLOYMENT CONTRACTS
Article 34. Cases of termination of an employment contract
1. The employment contract expires, except for the case specified in Clause 4
Article 177 of this Code.
2. The tasks stated in the employment contract have been completed.
3. Both parties agree to terminate the employment contract.
4. The employee is sentenced to imprisonment without being eligible for
suspension or release as prescribed in Clause 5 Article 328 of the Criminal
Procedure Code, capital punishment or is prohibited from performing the work
stated in the employment contract by an effective verdict or judgment of the court.
5. The foreign employee working in Vietnam is expelled by an effective verdict or
judgment of the court or a decision of a competent authority.
6. The employee dies; is declared by the court as a legally incapacitated person,
missing or dead.
7. The employer that is a natural person dies; is declared by the court as a legally
incapacitated person, missing or dead. The employer that is not a natural person
ceases to operate, or a business registration authority affiliated to the People’s
Committee of the province (hereinafter referred to as “provincial business
registration authority”) issues a notice that the employer does not have a legal
representative or a person authorized to exercise the legal representative’s rights
and obligations.
8. The employee is dismissed for disciplinary reasons.
9. The employee unilaterally terminates the employment contract in accordance
with Article 35 of this Code.
10. The employer unilaterally terminates the employment contract in accordance
with Article 36 of this Code.
11. The employer allows the employee to resigns in accordance with Article 42
and Article 43 of this Code.
12. The work permit or a foreign employee expires according to Article 156 of this
Labor Code.
13. The employee fails to perform his/her tasks during the probationary period
under the employment contract or gives up the probation.
Article 35. The right of an employee to unilaterally terminates the
employment contract
1. An employee shall have the right to unilaterally terminate the employment
contract, provided he/she notices the employee in advance:
a) at least 45 days in case of an indefinite-term employment contract;
b) at least 30 days in case of an employment contract with a fixed term of 12 – 36
months;
c) at least 03 working days in case of an employment contract with a fixed term of
under 12 months;
d) The notice period in certain fields and jobs shall be specified by the government.
2. An employee is shall have the right to unilaterally terminate the employment
contract without prior notice if he/she:
a) is not assigned to the work or workplace or not provided with the working
conditions as agreed in the employment contract, except for the cases specified in
Article 29 of this Labor Code;
b) is not paid adequately or on schedule, except for the case specified in Clause 4
Article 97 of this Code.
c) is maltreated, assaulted, physically or verbally insulted by the employer in a
manner that affects the employee’s health, dignity or honor; is forced to work
against his/her will;
d) is sexually harassed in the workplace;
dd) is pregnant and has to stop working in accordance with Clause 1 Article 138 of
this Labor Code.
e) reaches the retirement age specified in Article 169 of this Labor Code, unless
otherwise agreed by the parties; or
g) finds that the employer fails to provide truthful information in accordance with
Clause 1 Article 16 of this Labor Code in a manner that affects the performance of
the employment contract.
Article 36. The right of an employer to unilaterally terminates the
employment contract
1. An employer shall have the right to unilaterally terminate an employment
contract in one of the following circumstances:
a) The employee repeatedly fails to perform his/her work according to the criteria
for assessment of employees’ fulfillment of duties established by the employer.
The criteria for assessment of employees’ fulfillment of duties shall be established
by the employer with consideration taken of opinions offered by the representative
organization of employees (if any);
b) The employee is sick or has an accident and remains unable to work after having
received treatment for a period of 12 consecutive months in the case of an
indefinite-term employment contract, for 06 consecutive months in the case of an
employment contract with a fixed term of 12 – 36 months, or more than half the
duration of the contract in case of an employment contract with a fixed term of less
than 12 months.
Upon recovery, the employer may consider concluding another employment
contract with the employee;
c) In the event of a natural disaster, fire, major epidemic, hostility, relocation or
downsizing requested by a competent authority, the employer has to lay off
employees after all possibilities have been exhausted;
d) The employee is not present at the workplace after the time limit specified in
Article 31 of this Labor Code;
dd) The employee reaches the retirement age specified in Article 169 of this Labor
Code, unless otherwise agreed by the parties;
e) The employee quits his/her fails to go to work without acceptable excuses for at
least 05 consecutive working days;
g) The employee fails to provide truthful information during the conclusion of the
employment contract in accordance with Clause 2 Article 16 of this Labor Code in
a manner that affects the recruitment.
2. When unilaterally terminating the employment contract in any of the cases
specified in Point a, b, c, dd and g Clause 1 of this Article, the employer shall
inform the employer in advance:
a) at least 45 days in case of an indefinite-term employment contract;
b) at least 30 days in case of an employment contract with a fixed term of 12 – 36
months;
c) at least 03 working days in the case of an employment contract with a fixed term
of less than 12 months and in the cases stipulated in Point b Clause 1 of this
Article;
d) The notice period in certain fields and jobs shall be specified by the government.
3. When unilaterally terminating the employment contract in the cases mentioned
in Point d and Point e Clause 1 of this Article, the employer is not required to
inform the employee in advance.
Article 37. Cases in which an employer is prohibited from unilaterally
terminating an employment contract
1. The employee is suffering from an illness or work accident, occupational disease
and is being treated or nursed under the decision of a competent health institution,
except for the cases stipulated in Point b Clause 1 Article 36 of this Labor Code.
2. The employee is on annual leave, personal leave, or any other types of leave
permitted by the employer.
3. The employee is pregnant, on maternal leave or raising a child under 12 months
of age.
Article 38. Withdrawal of unilateral termination of employment contracts
Either party may withdraw the unilateral termination of an employment contract at
any time prior to the expiry of the notice period by a written notification, provided
that the withdrawal is agreed by the other party.
Article 39. Illegal unilateral termination of employment contracts
The unilateral termination of an employment contract will be illegal if it does not
comply with regulations of Article 35, 36 and 37 of this Labor Code.
Article 40. Illegal unilateral termination of the employment contract
insurance the employee
The employee who illegally unilaterally terminates his/her employment contract
shall:
1. Not receive the severance allowance.
2. Pay the employer a compensation that is worth his/her half a month’s salary plus
(+) an amount equal to his/her salary for the remaining notice period from the
termination date.
3. The employee shall reimburse the employer with the training costs in
accordance with Article 62 of this Code.
Article 41. Illegal unilateral termination of the employment contract by the
employer
1. The employer that illegally unilaterally terminates an employment contract with
an employee shall reinstate the employee in accordance with the original
employment contract, and pay the salary, social insurance, health insurance and
unemployment insurance premiums for the period during which the employee was
not allowed to work, plus at least 02 months’ salary specified in the employment
contract.
After the reinstatement, the employee must return the severance allowance or
redundancy allowance (if any) to the employer.
Where there is no longer a vacancy for the position or work as agreed in the
employment contract and the employee still wishes to work, the employer shall
negotiate revisions to the employment contract.
Where the employer fails to comply with the provisions on notice period in Clause
2 Article 36 of this Labor Code, the employer shall pay a compensation that is
worth the employee’s salary for the remaining notice period from the termination
date.
2. In case the employee does not wish to return to work, in addition to the
compensation prescribed in Clause 1 of this Article, the employer shall pay a
severance allowance in accordance with Article 46 of this Code in order to
terminate the employment contract.
3. Where the employer does not wish to reinstate the employee and the employee
agrees, in addition to the compensation mentioned in Clause 1 of this Article and
the severance allowance mentioned in Article 46 of this Labor Code, both parties
shall negotiate an additional compensation which shall be at least 2 months’ salary
under the employment contract in order to terminate the employment contract.
Article 42. Obligations of the employer in case of changes in structure,
technology or changes due to economic reasons
1. Changes in structure and technology include:
a) Changes in the organizational structure, personnel rearrangement;
b) Changes in processes, technology, equipment associated with the employer’s
business lines;
c) Changes in products or product structure.
2. Changes due to economic reasons include:
a) Economic crisis or economic depression;
b) Changes in law and state policies upon restructuring of the economy or
implementation of international commitments.
3. If the change affects the employment of a large number of employees, the
employer shall develop and implement a labor utilization plan prescribed in Article
44 of this Labor Code. In case of new vacancies, priority shall be given to
retraining of the existing employees for continued employment.
4. If a change due to economic reasons threatens to cause a large number of
employees to lose their jobs, the employer shall develop and implement a labor
utilization plan as prescribed in Article 44 of this Code.
5. In case the employer is unable to create provide employment and has to resort to
dismissing employees, the employer shall pay them redundancy allowances in
accordance with Article 47 of this Labor Code.
6. The dismissal of employees in the cases mentioned in this Article shall only be
implemented after a discussion with the representative organization of employees
(if any) and after giving prior notice of 30 days to the People’s Committee of the
province and the employees.
Article 43. Obligations of the employer in case of full division, partial division,
consolidation, merger of the enterprise; sale, lease, conversion of the
enterprise; transfer of the right to ownership or right to enjoyment of assets of
the enterprise or cooperative
1. In case the full division, partial division, consolidation, merger of the enterprise;
sale, lease, conversion of the enterprise; transfer of the right to ownership or right
to enjoyment of assets of the enterprise or cooperative affects the employment of a
large number of employees, the employer shall develop a labor utilization plan as
prescribed in Article 44 of this Labor Code.
2. The current employer and the next employer shall implement the adopted labour
utilization plan.
3. The laid off employees will receive redundancy allowances in accordance with
Article 47 of this Code.
Article 44. Labor utilization plan
1. A labor utilization plan shall have the following contents:
a) The names and number of employees to be retained, employees to be retrained
for further employment, and employees to be working on part-time basis;
b) The names and number of employees to retire;
c) The names and number of employees whose employment contracts have to be
terminated;
d) Rights and obligations of the employer, employee and relevant parties regarding
implementation of the labor utilization plan;
dd) The measure and financial sources to implement the plan.
2. During development of the labor utilization plan, the employer shall discuss
with the representative organization of employees (if any). The labor utilization
plan shall be made available to the employees within 15 days from the day on
which it is adopted.
Article 45. Noticing termination of employment contracts
1. The employer shall send a written notice to the employee of the termination of
his/her employment contract, except for the cases specified in Clauses 4, 5, 6, 7, 8
Article 34 of this Labor Code.
2. In case an employer that is not a natural person shuts down business operation,
the date of termination of the employment contract is the same date of the notice of
business shutdown.
In case the provincial business registration authority issues a notice that the
employer does not have a legal representative or a person authorized to exercise
the legal representative’s rights and obligations according to Clause 7 Article 34 of
this Labor Code, the date of termination of the employment contract is the same
date of the notice.
Article 46. Severance allowance
1. In case an employment contract is terminated as prescribed in Clauses 1, 2, 3, 4,
6, 7, 9 and 10, Article 34 of this Code, the employer is responsible for paying
severance allowance to the employee who has worked on a regular basis for a
period of at least 12 months. Each year of work will be worth half a month’s
salary, except for the cases in which the employee is entitled to receive retirement
pension as prescribed by social insurance laws, and the cases specified in Point e
Clause 1 Article 36 of this Labor Code.
2. The qualified period of work as the basis for calculation of severance allowance
shall be the total period during which the employee actually worked for the
employer minus the period over which the employee participated in the
unemployment insurance in accordance with unemployment insurance laws and
the period for which severance allowance or redundancy allowance has been paid
by the employer.
3. The salary as the basis for calculation of severance allowance shall be the
average salary of the last 06 months under the employment contract before the
termination.
4. The Government shall elaborate this Article.
Article 47. Redundancy allowance
1. Where an employment contract is terminated according to Clause 11 Article 34
of this Labor Code and the employee has worked on a regular basis for the
employer for at least 12 months, the employer shall pay a redundancy allowance to
the employee. Each year of work will be worth 01 month’s salary and the total
redundancy allowance shall not be smaller than 02 month’s salary.
2. The qualified period of work as the basis for calculation of redundancy
allowance shall be the total period during which the employee actually worked for
the employer minus the period over which the employee participated in the
unemployment insurance in accordance with unemployment insurance laws and
the period for which severance allowance or redundancy allowance has been paid
by the employer.
3. The salary as the basis for the calculation of redundancy allowance shall be the
average salary of the last 06 months under the employment contract before the
termination.
4. The Government shall elaborate this Article.
Article 48. Responsibilities of the parties upon termination of an employment
contract
1. Within 14 working days following the termination of an employment contract,
both parties shall settle all payments in respect of the rights and interests of each
party. In the following cases, such period may be extended, but shall not exceed 30
days:
a) Shutdown of business operation of the employer that is not a natural person;
b) Changes in the organizational structure, technology or changes due to economic
reasons;
c) Full division, partial division, consolidation, merger of the enterprise; sale,
lease, conversion of the enterprise; transfer of the right to ownership or right to
enjoyment of assets of the enterprise or cooperative;
d) Natural disasters, fire, hostility or major epidemics.
2. Priority shall be given to payment of the employees’ salaries, social insurance,
health insurance, unemployment insurance, severance allowance and other benefits
under the collective bargaining agreement and employment contracts in case of
shutdown, dissolution or bankruptcy of an enterprise or cooperative.
3. The employer has the responsibility to:
a) Complete the procedures for verification of duration of participation in social
insurance and unemployment insurance, return them and original copies of the
employee’s other documents (if any);
b) Provide copies of the documents relevant to the employee’s work if requested
by the employee. The employer shall pay the cost of copying and sending the
documents.
Section 4. INVALID EMPLOYMENT CONTRACT
Article 49. Invalid employment contracts
1. An employment contract shall be completely invalid in the following cases:
a) The entire contents of the employment contract are illegal;
b) A person concludes the employment contract ultra vires or against the rules for
employment contract conclusion specified in Clause 1 Article 15 of this Labor
Code;
c) The work described in the employment contract is prohibited by law;
2. An employment contract shall be partially invalid when part of its contents is
illegal but does not affect its remaining contents.
Article 50. Competence to invalidate employment contracts
People’s Courts shall be entitled to invalidate employment contracts.
Article 51. Settlements upon invalidation of an employment contract
1. Where an employment contract is declared as partially invalid, it shall be dealt
with as follows:
a) The rights, obligations and benefits of the parties shall be settled in accordance
with the collective bargaining agreement (or provisions of the law if there is no
collective bargaining agreement);
b) The parties shall revise the invalidated part of the employment contract in
accordance with the collective bargaining agreement or labor laws.
2. In case an employment contract is completely invalidated, the rights, obligations
and interests of the employee shall be settled in accordance with law. In case an
employment contract is concluded ultra vires, another contract shall be concluded.
3. The Government shall elaborate this Article.
Chapter VI
SALARIES
Article 90. Salaries
1. A salary is an amount the employer pays the employee under an agreement for a
work performed by the latter. Salary equals (=) base salary plus (+) allowances and
other additional amounts.
2. The base salary must not fall below the statutory minimum wages.
3. Employers shall pay salaries fairly without discrimination against genders of
employees who perform equal works.
Article 91. Statutory minimum wages
1. Statutory minimum wages are minimum wages of workers who do the simplest
jobs in normal working conditions that are sufficient to support themselves and
their families, and appropriate for socio-economic development.
2. Statutory minimum wages per month or per hour vary according to regions.
3. Statutory minimum wages shall be adjusted according to minimum living
standards of workers and their families; the relation between statutory minimum
wages and usual salaries; consumer price index, economy growth rate; labor
supply and demand, productivity and financial capacity of enterprises.
4. The Government shall elaborate this Article; decide and announce the statutory
minimum wages on the basis of proposals of National Salary Council.Article 98.
Overtime pay, night work pay
1. An employee who works overtime will be paid an amount based on the piece
rate or actual salary as follows:
a) On normal days: at least 150%;
b) On weekly days off: at least 200%;
c) During public holidays, paid leave, at least 300%, not including the daily salary
during the public holidays or paid leave for employees receiving daily salaries.
2. An employee who works at night will be paid an additional amount of at least
30% of the normal salary.
3. An employee who works overtime at night will be paid, in addition to the salary
specified in Clause 1 and Clause 2 of this Article, an amount of at least 20% of the
day work salary of a normal day, weekend or public holiday.
4. The Government shall elaborate this Article.
Article 99. Suspension pay
Chapter VIII
LABOR DISCIPLINE AND MATERIAL RESPONSIBILITY
Section 1. LABOR DISCIPLINE
Article 117. Labor discipline
Labor discipline comprises provisions in the internal labor regulations on the
compliance in respect of time, technology, production and business management
that are imposed by the employer and prescribed by law.
Article 118. Internal labor regulations
1. Every employer shall issue their own internal labor regulations. An employer
that has at least 10 employees shall have written internal labor regulations.
2. The contents of the internal labor regulations shall not be contrary to labor laws
or to relevant legal provisions. The internal labor regulations shall include the
following key contents:
a) Working hours and rest periods;
b) Order at the workplace;
c) Occupational safety and health;
d) Actions against sexual harassment in the workplace;
dd) Protection of the assets and technological and business secrets and intellectual
property of the employer;
e) Cases in which reassignment of employees are permitted;
g) Violations against labor regulations and disciplinary measures;
h) Material responsibility;
i) The person having the competence to take disciplinary measures.
3. Before issuing or revising the internal labor regulations, the employer shall
consult the employee representative organization (if any).
4. Employees must be notified of the internal labor regulations, and the major
contents must be displayed at the workplace where they are necessary.
5. The Government shall elaborate this Article.Article 124. Disciplinary
measures
1. Reprimand.
2. Deferment of pay rise for up to 6 months.
3. Demotion.
4. Dismissal.
Article 125. Dismissal for disciplinary reasons
An employer may dismiss an employee for disciplinary reasons in the following
circumstances:
1. The employee commits an act of theft, embezzlement, gambling, deliberate
infliction of injuries or uses drug at the workplace;
2. The employee discloses technological or business secrets or infringing the
intellectual property rights of the employer, or commits acts which are seriously
detrimental or posing seriously detrimental threat to the assets or interests of the
employer, or commits sexual harassment in the workplace against the internal
labor regulations;
3. The employee repeats a violation which was disciplined by deferment of pay
rise or demotion and has not been absolved. A repeated violation means a violation
which was disciplined and is repeated before it is absolved in accordance with
Article 126 of this Code.
4. The employee fails to go to work for a total period of 05 days in 30 days, or for
a total period of 20 days in 365 days from the first day he/she fails to go to work
without acceptable excuses.
Justified reasons include natural disasters, fires; the employee or his/her family
member suffers from illness with a certification by a competent health facility; and
other reasons as stipulated in the internal labor regulations.
Section 2. MATERIAL RESPONSIBILITY
Article 129. Compensation for damage
1. An employee who causes damage to equipment or otherwise damages the
employer’s assets shall have to pay compensation in accordance with labor laws or
the employer’s internal labor regulations.
In case the damage caused by an employee is not serious, not deliberate and is
worth less than 10 months’ region-based minimum wage announced by the
Government, the employee shall have to pay a compensation of not more than
his/her 03 months’ salary, which shall be monthly deducted from his/her salary in
accordance with Clause 3 Article 102 of this Code.
2. An employee who loses the employer’s equipment or assets, or consumes the
materials beyond the set limits shall pay a compensation for damage in full or in
part at the market price or as stipulated in the internal labor regulations or the
responsibility contract (if any). In case this is caused by a natural disaster, fire,
war, major epidemic, calamity, or another force majeure event which is
unforeseeable and insurmountable, and all necessary measures and possibilities for
avoidance have been taken, the compensation shall not required.
Chapter XIV
SETTLEMENT OF LABOR DISPUTES
Section 1. GENERAL PROVISIONS FOR SETTLEMENT OF LABOR
DISPUTES
Article 179. Labor disputes
1. A labor dispute means a dispute over rights, obligations and interests among the
parties during the establishment, execution or termination of labor relation; a
dispute between the representative organizations of employees; a dispute over a
relationship that is directly relevant to the labor relation. Types of labor disputes:
a) Labor disputes between the employee and the employer; between the employee
and the organization that sends the employee to work overseas under a contract;
between the dispatched employee and the client enterprise.
b) Right-based or interest-based collective labor disputes between one or several
representative organizations of employees and the employer or one or several
representative organizations of employees.
2. A right-based collective labor dispute of rights means a dispute between one or
several representative organizations of employees and the employer or one or
several representative organizations of employees in case of:
a) Discrepancies in interpretation and implementation of the collective bargaining
agreement, internal labor regulations and other lawful agreements;
b) Discrepancies in interpretation and implementation of labor laws; or
c) The employer’s discrimination against the employees or members of the
management board of the representative organization of employees for reasons of
establishment, operation or participation in the organization; the employer’s
interference or influencing the representative organization of employees; the
employer’ violations against amicable negotiation.
3. a) Interest-based collective labor disputes include:
a) Labor disputes that arise during the process of collective bargaining;
a) A party refuses to participate in the collective bargaining or the collective
bargaining is not held within the time limit prescribed by law.
Article 180. Labor dispute settlement principles
1. Respect the parties’ autonomy through negotiation throughout the process of
labor dispute settlement.
2. Prioritize labor dispute settlement through mediation and arbitration on the basis
of respect for the rights and interests of the two disputing parties, and respect for
the public interest of the society and conformity with the law.
3. The labor dispute shall be settled publicly, transparently, objectively, promptly,
and lawfully.
4. Ensure the participation of the representatives of each party in the labor dispute
settlement process.
5. Labor dispute settlement shall be initiated by a competent authority or person
after it is requested by a disputing party or by another competent authority or
person and is agreed by the disputing parties.
Article 181. Responsibilities of organizations and individuals during labor
dispute settlement
1. The labor authority shall cooperate with the representative organization of
employees and representative organization of employees in giving instructions and
assisting the parties during the process of labor dispute settlement.
2. The Ministry of Labor, Invalids and Social Affairs shall organize training to
improve the professional capacity of labor mediators and arbitrators for labor
dispute settlement.
3. The provincial labor authority, when requested, shall receive and classify the
request for labor dispute settlement, provide instructions and assists the parties
during the process of labor dispute settlement.
Within 05 working days, the receiving authority shall transfer the request to the
labor mediators if mediation is mandatory; to the arbitral tribunal if the dispute has
to be settled by arbitration, or instruct the parties to file the petition to the court.
Article 182. Rights and obligations of the two parties in labor dispute
settlement
1. During the labor dispute settlement process, the two disputing parties have the
rights to:
a) Participate directly or through a representative in the labor dispute settlement
process;
b) Withdraw or change the contents of the request;
c) Request for a change of the person in charge of labor dispute settlement where
there reasonable grounds for believing that the said person may not be impartial or
objective.
2. During the labor dispute settlement process, the two parties have the
responsibility to:
a) Promptly and adequately provide documents and evidence to support his/her
request;
b) Abide by the agreement reached, decision of the arbitral tribunal, court
judgment or decision which when it comes into effect.
Article 183. Rights of competent labor dispute settlement authorities and
persons
Competent labor dispute settlement authorities and persons shall, within their
mandates, have the rights to request the disputing parties, relevant organizations
and individuals to provide documents and evidence; request verification; and invite
witnesses and other relevant persons.
Article 184. Labor mediators
1. Labor mediators shall be assigned by the provincial labor authority to mediate
labor disputes and disputes over vocational training contracts; assist in
development of labor relation.
2. The Government shall provide for the standards, procedures for assignments,
benefits, working conditions and management of labor mediators; power and
procedures for dispatching labor mediators.
Article 185. Labor Arbitration Council
1. The President of the People’s Committee of the province shall issue the decision
to establish the Labor Arbitration Council, designate its chairperson, secretary and
labor arbitrators. The tenure of a Labor Arbitration Council is 05 years.
2. The President of the People’s Committee of the province shall decide the
number of labor arbitrators which is at least 15. The number of labor arbitrators
nominated by each party shall be equal. To be specific:
a) At least 05 labor arbitrators shall be nominated by the provincial labor authority.
The chairperson and secretary shall be officials of the provincial labor authority;
b) At least 05 labor arbitrators shall be nominated by the provincial trade union;
c) At least 05 arbitrators shall be nominated the representative organizations of
employees in the province.
3. Standards and working conditions of labor arbitrators:
a) A labor arbitrator shall conversant with law, experienced in labor relations,
reputable and objective;
b) When nominating labor arbitrators as prescribed in Clause 2 of this Article, the
provincial labor authority, provincial trade union and representative organizations
of employees may nominate their people or other people that fully satisfy the
standards for labor arbitrators.
c) The secretary of the Labor Arbitration Council shall perform its regular duties.
Labor arbitrators may work on a full-time or part-time basis.
4. Whenever a request for labor dispute settlement is received as prescribed in
Article 189, 193 and 197 of this Labor Code, the Labor Arbitration Council shall
establish an arbitral tribunal as follows:
a) The representative of each disputing party shall choose 01 labor arbitrator from
the list of labor arbitrators;
b) The labor arbitrators chosen by the parties as prescribed in Point a of this Clause
shall choose 01 other labor arbitrator as the chief of the arbitral tribunal;
c) In case a labor arbitrator is selected by more than one disputing party, the
arbitral tribunal shall appoint 01 of the chosen arbitrators.
5. The arbitral tribunal shall work on the principle of collectives and make decision
under the majority rule, except for the cases specified in Point c Clause 4 of this
Article.
6. The Government shall provide for the procedures, requirements, procedures for
designation, dismissal, benefits and working conditions of labor arbitrators and
Labor Arbitration Councils; organization and operation of Labor Arbitration
Councils; establishment and operation of the arbitral tribunals mentioned in this
Article.
Article 186. Prohibition of unilateral actions during the process of labor
dispute settlement
None of the disputing parties shall take unilateral actions against the other party
while the labor dispute is being settled by a competent authority or person within
the time limit specified in this Labor Code.
Section 2. COMPETENCE AND PROCEDURES FOR SETTLEMENT OF
INDIVIDUAL LABOR DISPUTES
Article 187. Competence to settle individual labor disputes
The following agencies, organizations and individuals have the competence to
settle individual labor disputes:
1. Labor mediators;
2. Labor Arbitration Councils;
3. The People’s Court.
Article 188. Procedures for the settlement of individual labor disputes by
labor mediators
1. Individual labor disputes shall be settled through mediation by labor mediators
before being brought to the Labor Arbitration Council or the Court, except for the
following labor disputes for which mediation is not mandatory:
a) Disputes over dismissal for disciplinary reasons; unilateral termination of
employment contracts;
b) Disputes over damages and allowances upon termination of employment
contracts;
c) Disputes between a domestic worker and his/her employer;
d) Disputes over social insurance in accordance with social insurance laws;
disputes over health insurance in accordance with health insurance laws ; disputes
over unemployment insurance in accordance with employment laws; disputes over
insurance for occupational accidents and occupational disease in accordance with
occupational safety and health laws;
dd) Disputes over damages between an employee and organization that dispatches
the employee to work overseas under a contract;
e) Disputes between the dispatched employee and the client enterprise.
2. The Labor Arbitration Council shall complete the mediation process within 05
working days from the receipt of the request from the disputing parties or the
authority mentioned in Clause 3 Article 181 of this Labor Code.
3. Both disputing parties must be present at the mediation meeting. The disputing
parties may authorize another person to attend the mediation meeting.
4. The labor mediator shall instruct and assist the parties to negotiate with each
other.
In case the two parties reach an agreement, the labor mediator shall prepare a
written record of successful mediation which bears the signatures of the disputing
parties and the labor mediator.
In case the two parties do not reach an agreement, the labor mediator shall
recommend a mediation option for the disputing parties to consider. In case the
parties agree with the recommended mediation option, the labor mediator shall
prepare a written record of successful mediation which bears the signatures of the
disputing parties and the labor mediator.
Where the two parties do not agree with the recommended mediation option or
where one of the disputing parties is absent for the second time without a valid
reason after having been legitimately summoned, the labor mediator shall prepare a
record of unsuccessful mediation which bears the signatures of the present
disputing parties and the labor mediator.
5. Copies of the record of successful mediation or unsuccessful mediation shall be
sent to the disputing parties within 01 working day from the date on which it is
prepared.
6. In case a disputing party fails to adhere to the agreements specified in the record
of successful mediation, the other party may request a Labor Arbitration Council or
the Court to settle the case.
7. In case mediation is not mandatory as prescribed in Clause 1 of this Article, the
labor mediator fails to initiate the mediation by the deadline specified in Clause 2
of this Article, or the mediation is unsuccessful as prescribed in Clause 4 of this
Article, the disputing parties may:
a) request the Labor Arbitration Council to settle the dispute in accordance with
Article 189 of this Labor Code; or
b) Request the Court to settle the dispute.
Article 189. Settlement of individual labor disputes by Labor Arbitration
Council
1. The parties are entitled to, by consensus, request the Labor Arbitration Council
to settle the dispute in any of the cases specified in Clause 7 Article 188 of this
Labor Code. After the Labor Arbitration Council has been requested to settle a
dispute, the parties must not simultaneously request the Court to settle the same
dispute, except for the cases specified in Clause 4 of this Article.
2. Within 07 working days from the receipt of the request mentioned in Clause 1 of
this Article, an arbitral tribunal shall be established.
3. Within 30 working days from the establishment of the arbitral tribunal, it shall
issue a decision on the settlement of the labor dispute and send it to the disputing
parties.
4. In case an arbitral tribunal is not established by the deadline specified in Clause
2 of this Article, or a decision on the settlement of the labor dispute is not issued
by the arbitral tribunal by the deadline specified in Clause 3 of this Article, the
parties are entitled to bring the case to Court.
5. In case a disputing party fails to comply with the decision of the arbitral tribunal,
the parties are entitled to bring the case to court.
Article 190. Time limits for requesting settlement of individual labor disputes
1. The time limit to request a labor mediator to settle an individual labor dispute is
06 months from the date on which a party discovers the act of infringement of their
lawful rights and interests.
2. The time limit to request a Labor Arbitration Council to settle an individual
labor dispute is 09 months from the date on which a party discovers the act of
infringement of their lawful rights and interests.
3. The time limit to bring an individual labor dispute to the Court is 01 year from
the day on which a party discovers the act of infringement of their lawful rights
and interests.
4. In case the requester is able to prove that the aforementioned time limits cannot
be complied with due to a force majeure event or unfortunate event, the duration of
such event shall not be included in the time limit for requesting settlement of
individual labor dispute.
Section 3. COMPETENCE AND PROCEDURES FOR THE SETTLEMENT
OF RIGHT-BASED COLLECTIVE LABOR DISPUTES
Article 191. Competence to settle right-based collective labor disputes
1. The following agencies, organizations and individuals have the competence to
settle right-based collective labor disputes:
a) Labor mediators;
b) Labor Arbitration Councils;
c) The People’s Court.
2. Right-based labor disputes shall be settled through mediation by labor mediators
before being brought to the Labor Arbitration Council or the Court.
Article 192. Procedures for settlement of right-based collective labor disputes
1. Procedures for the mediation of collective labor disputes are the same as the
procedures specified in Clauses 2, 3, 4, 5 and 6 Article 188 of this Labor Code.
If violations of law is found during settlement of the disputes mentioned in Point b
and Point c Clause 2 Article 179 of this Labor Code, the labor mediator shall
prepare a record and transfer the documents to a competent authority for settlement
as prescribed by law.
2. In case the mediation is unsuccessful or the labor mediator fails to initiate the
mediation by the deadline specified in Clause 2 Article 188 of this Labor Code, the
disputing parties may:
a) request the Labor Arbitration Council to settle the dispute in accordance with
Article 193 of this Labor Code; or
b) Request the Court to settle the dispute.
Article 193. Settlement of right-based collective labor disputes by Labor
Arbitration Council
1. In case the mediation is unsuccessful, the labor mediator fails to initiate the
mediation by the deadline specified in Clause 2 Article 188 of this Labor Code, or
a party fails to adhere to the agreements in the successful mediation record, the
disputing parties are entitled to, by consensus, request the Labor Arbitration
Council to settle the dispute.
2. Within 07 working days from the receipt of the request mentioned in Clause 1 of
this Article, an arbitral tribunal shall be established.
3. Within 30 working days from the establishment of the arbitral tribunal, in
accordance with labor laws, the registered internal labor regulations and collective
bargaining agreement, other lawful agreement and regulations, the arbitral tribunal
shall issue a decision on dispute settlement and send it to the disputing parties.
If violations of law is found during settlement of the disputes mentioned in Point b
and Point c Clause 2 Article 179 of this Labor Code, the arbitral tribunal shall,
instead of making a settlement decision, issue a record and transfer the documents
to a competent authority for settlement as prescribed by law.
4. While the Labor Arbitration Council is settling a dispute at the request of the
parties as prescribed in this Article, the parties must not bring the same dispute to
Court.
5. In case an arbitral tribunal is not established by the deadline specified in Clause
2 of this Article, or a decision on the settlement of the labor dispute is not issued
by the arbitral tribunal by the deadline specified in Clause 3 of this Article, the
parties are entitled to bring the dispute to Court.
6. In case a disputing party fails to comply with the decision of the arbitral tribunal,
the parties are entitled to bring the case to court.
Article 194. Time limits for requesting settlement of right-based collective
labor disputes
1. The time limit to request a labor mediator to settle a right-based collective labor
dispute is 06 months from the date on which a party discovers the act of
infringement of their lawful rights.
2. The time limit to request a Labor Arbitration Council to settle a right-based
collective labor dispute is 09 months from the date on which a party discovers the
act of infringement of their lawful rights.
3. The time limit to bring a right-based collective labor dispute to the Court is 01
year from the day on which a party discovers the act of infringement of their lawful
rights.
Section 4. COMPETENCE AND PROCEDURES FOR THE SETTLEMENT
OF INTEREST-BASED COLLECTIVE LABOR DISPUTES
Article 195. Competence to settle interest-based collective labor disputes
1. Agencies, organizations and individuals who have the competence to settle
interest-based collective labor disputes include:
a) Labor mediators;
b) Labor Arbitration Councils.
2. An interest-based collective labor dispute shall be settled through mediation by
labor mediators before it is brought to the Labor Arbitration Council or a strike is
organized.
Article 196. Procedures for settlement of interest-based collective labor
disputes
1. Procedures for the mediation of interest-based collective labor disputes are the
same as the procedures specified in Clauses 2, 3, 4 and 5 Article 188 of this Labor
Code.
2. In case of successful mediation, the labor mediator shall prepare a written record
of successful mediation which contains the agreements between the parties and
bears the signatures of the disputing parties and the labor mediator. The record of
successful mediation shall be as legally binding as the enterprise’s collective
bargaining agreement.
3. In case the mediation is unsuccessful, the labor mediator fails to initiate the
mediation by the deadline specified in Clause 2 Article 188 of this Labor Code, or
a party fails to adhere to the agreements in the successful mediation record:
a)The disputing parties are entitled to, by consensus, request the Labor Arbitration
Council to settle the dispute in accordance with Article 197 of this Labor Code; or
b) The representative organization of employees is entitled to organize a strike
following the procedures specified in Articles 200, 201 and 202 of this Labor
Code.
Article 197. Settlement of interest-based collective labor disputes by Labor
Arbitration Council
1. In case the mediation is unsuccessful, the labor mediator fails to initiate the
mediation by the deadline specified in Clause 2 Article 188 of this Labor Code, or
a party fails to adhere to the agreements in the successful mediation record, the
disputing parties are entitled to, by consensus, request the Labor Arbitration
Council to settle the dispute.
2. Within 07 working days from the receipt of the request mentioned in Clause 1 of
this Article, an arbitral tribunal shall be established.
3. Within 30 working days from the establishment of the arbitral tribunal, in
accordance with labor laws, the registered internal labor regulations and collective
bargaining agreement, other lawful agreement and regulations, the arbitral tribunal
shall issue a decision on dispute settlement and send it to the disputing parties.
4. While the Labor Arbitration Council is settling a dispute at the request of the
parties as prescribed in this Article, the representative organization of employees
must not call a strike.
In case an arbitral tribunal is not established by the deadline specified in Clause 2
of this Article, or a decision on the settlement of the labor dispute is not issued by
the arbitral tribunal by the deadline specified in Clause 3 of this Article, or the
employer that is a disputing party fails to implement the settlement decision issued
by the arbitral tribunal, the representative organization of employees that is a
disputing party is entitled to call a strike following the procedures specified in
Articles 200, 201 and 202 of this Labor Code.
Section 5. STRIKES
Article 198. Strikes
A strike is a temporary, voluntary and organized stoppage of work by the
employees in order to press demands in the process of the labor dispute settlement.
A strike shall be organized and lead by the representative organization of
employees that has the right to request collective bargaining and is a disputing
party.
Article 199. Cases in which employees are entitled to strike
The representative organization of employees that is a disputing party to an
interest-based collective labor dispute is entitled to call a strike following the
procedures specified in Articles 200, 201 and 202 in the following cases:
1. The mediation is unsuccessful or the labor mediator fails to initiate the
mediation by the deadline specified in Clause 2 Article 188 of this Labor Code;
2. An arbitral tribunal is not established or fails to issue a decision on the
settlement of the labor dispute; the employer that is a disputing party fails to
implement the settlement decision issued by the arbitral tribunal.
Article 200. Procedures for going on strike
1. Conduct a survey on the strike in accordance with Article 201 of this Labor
Code.
2. Issue a strike decision and strike notice in accordance with Article 202 of this
Labor Code.
3. Go on strike.
Article 201. Survey on strike
1. Before going on strike, the representative organization of employees that has the
right to call the strike as prescribed in Article 198 of this Labor Code shall survey
all employees or members of the management board of the representative
organization of employees.
2. The survey involves:
a) Whether the employee agrees or disagrees about the strike;
b) The plan of the representative organization of employees according to Point b, c
and d Clause 2 Article 202 of this Labor Code.
3. The survey shall be carried out by collecting votes, signatures or in another
manner.
4. The time and method of survey shall be decided by the representative
organization of employees and notified to the employer at least 01 day in advance.
The survey must not affect the employer’s normal business operation. The
employers must not obstruct or interfere with the survey conducted by the
representative organization of employees.
Article 202. Strike decision and notice of starting time of a strike
1. When over 50% of the surveyed people agree to carry out a strike as prescribed
in Clause 2 Article 201 of this Labor Code, the representative organization of
employees shall issue a written strike decision.
2. The strike decision shall contain:
a) The survey result;
b) The starting time and the venue for the strike;
c) The scope of the strike;
d) The demands of the employees;
dd) Full name and address of the representative of the representative organization
of employees that organizes and leads the strike.
3. At least 05 working days prior to the starting date of the strike, the
representative organization of employees shall send the strike decision to the
employer, the People’s Committee of the district and the provincial labor authority.
4. At the starting time of the strike, if the employer does not accept the demands of
the employees, the strike may take place.
Article 203. Rights of parties prior to and during a strike
1. The parties have the right to continue negotiating settlement of the collective
labor dispute or to jointly request settlement of the dispute by mediation or Labor
Arbitration Council.
2. The representative organization of employees that is entitled to organize a strike
as prescribed in Article 198 of this Labor Code has the rights to:
a) Withdraw the strike decision before the strike; end the strike during the strike.
b) Request the Court to declare the strike as lawful.
3. The employer has the rights to:
a) Accept the entire or part of the demands, and send a written notice to the
representative organization of employees which organizes and leads the strike;
b) Temporarily close the workplace during the strike due to the lack of necessary
conditions to maintain the normal operations or to protect the employer’s assets.
c) Request the Court to declare the strike as illegal.
Article 204. Cases of illegal strike
A strike shall be considered illegal if:
1. It is not the case specified in Article 199 of this Labor Code.
2. The strike is not organized by a representative organization of employees that is
entitled to organize a strike.
3. The strike is organized against the procedures in this Labor Code.
4. The collective labor dispute is being settled by a competent authority or person
in accordance with this Labor Code.
5. The strike takes places in the cases in which it is not permitted according to
Article 209 of this Labor Code.
6. The strike takes place after a competent authority issues a decision to postpone
or cancel the strike according to Article 210 of this Labor Code.
Article 205. Notice of temporary closure the workplace
At least 03 working days before the date of temporary closure of the workplace,
the employer shall publicly post the decision on temporary closure of the
workplace at the workplace and notify the following organizations:
1. The representative organization of employees that organizes the strike;
2. The People’s Committee of the province where the workplace is located.
3. The People’s Committee of the district where the workplace is located.
Article 206. Temporary closure of the workplace is not prohibited:
1. 12 hours prior to the starting time of the strike as stated in the strike decision.
2. After the strike ends.
Article 207. Salaries and other lawful interest of employees during a strike
1. Employees who do not take part in the strike but have to temporarily stop
working due to the strike are entitled to work suspension allowance in accordance
with Clause 2, Article 99 of this Code as well as to other benefits as stipulated in
the labor laws.
2. Employees who take part in the strike shall not receive salaries and other
benefits as prescribed by law, unless agreed otherwise by both parties.
Article 208. Prohibited acts before, during and after a strike
1. Obstructing employees exercising their right to strike; inciting, inducing or
forcing employees to go on strike; preventing employee who do not take part in the
strike from working.
2. Use of violence; sabotaging equipment or assets of the employer.
3. Disrupting public order and security.
4. Terminating employment contracts, disciplining or reassigning employees or
strike leaders to other work or location workplace due to their preparation for or
involvement in the strike.
5. Retaliating, inflicting punishment against employees who take part in strike or
against strike leaders.
6. Taking advantage of the strike to commit illegal acts.
Article 209. Workplaces where strike is prohibited
1. Strike is prohibited in workplaces where the strike may threaten national
security, national defense, public health or public order.
2. The Government shall compile a list of workplaces where strike is prohibited as
mentioned in Clause 1 of this Article, and settlements of labor disputes that arise
therein.
Article 210. Decisions on postponing or cancelling a strike
1. When deemed that a strike threatens to cause serious damage to the national
economy or public interest, threatens national security, national defense, public
health or public order, the President of the People’s Committee of the province
shall issue a decision to postpone or cancel the strike.
2. The Government shall provide for postponing and cancelling strikes and
settlement of employees’ rights.
Article 211. Handling of unlawful strikes
Within 12 hours from the receipt of the notification that a strike is organized
against the regulations of Articles 200, 201 and 202 of this Labor Code, the
President of the People’s Committee of the district shall request the labor authority
to cooperate with the trade union at the same level and relevant organizations in
meeting the employer and the representative organization of employees, assisting
the parties in finding a solution and returning the normal business operation.
Any violations of law shall be dealt with or reported to a competent authority as
prescribed by law.
The parties shall be assisted in following proper procedures for settling the labor
dispute.
Chapter XV
STATE MANAGEMENT OF LABOR
Article 212. Areas of State management of labor
1. Promulgate and organize implementation legislative documents on labor.
2. Monitor, make statistics and provide information on the labor supply and
demand, and the fluctuation thereof; make decision on salary policies; policies
plans on human resources, distribution and utilization of nationwide human
resources, vocational training and development; develop of a national level
framework for various levels of vocational training. Compile the list of
occupations that require workers who have undertaken vocational training or have
obtained the national certificate.
3. Organize and conduct scientific research on labor, statistics and information on
labor and the labor market, and on the living standards and incomes of workers;
manage the quantity, quality or workers and labor fluctuation.
4. Establish mechanisms for supporting development of progressive, harmonious
and stable labor relation; promote application of this Labor Code to workers
without labor relations; organize registration and management of internal employee
organizations.
5. Carry out inspections; take actions against violations of law; handle labor-
related complaints; settle labor disputes as prescribed by law.
6. Seek international cooperation in the area of labor.
Article 213. State management of labor
1. The Government shall uniformly carry out the State management of labor
nationwide.
2. The Ministry of Labor, Invalids and Social Affairs shall be responsible to the
Government for state management of labor.
3. Other Ministries and ministerial agencies, within their respective mandates, shall
be responsible for implementing and cooperating with the Ministry of Labor,
Invalids and Social Affairs in the state management of labor.
4. People's Committees at all levels shall be responsible for the state management
of labor within their administrative divisions.
Chapter XVI
LABOR INSPECTION AND ACTIONS AGAINST VIOLATIONS OF
LABOR LAWS
Article 214. Contents of labor inspection
1. Inspect compliance with labor laws.
2. Investigate occupational accidents and violations against regulations on
occupational safety and health.
3. Provide instructions on the application technical standards for working
conditions, occupational safety and health.
4. Handle labor-related complaints and denunciation as prescribed by law.
5. Take actions and request competent authorities to take actions against violations
of labor laws.
Article 215. Specialized labor inspection
1. The competence to carry out specialized labor inspection is specified in the Law
on Inspection.
2. Occupational safety and health inspections shall be carried out in accordance
with the Law on Occupational Safety and Health.
Article 216. Rights of labor inspectors
Labor inspectors have the right to inspect and investigate within the scope of
inspection specified in the inspection decision.
A prior notice is not required for surprise inspection decided by a competent
person in case of urgent threat to safety, life, health, honor, dignity of employees at
the workplace.
Article 217. Actions against violations
1. Any person who violates of any provision of this Labor Code shall, depending
on the nature and seriousness of the violation, be held liable to disciplinary actions,
administrative penalties or criminal prosecution, and shall pay compensation for
any damage caused as prescribed by law.
2. Where the Court has issued a decision which declares that a strike is illegal, any
employee who fails to return to work shall be held liable to labor disciplinary
measures in accordance with labor laws.
In case an illegal strike causes damage to the employer, the representative
organization of employees that organizes the strike shall pay compensation as
prescribed by law.
3. Any person who takes advantages of a strike to disrupt public order, sabotage
the employer’s assets, obstruct the execution of the right to strike, or incite, induce
or force employees to go on strike; retaliate or inflict punishment on strikers and
strike leaders, depending on the seriousness of the violation, shall be held liable to
administrative penalties or criminal prosecution, and shall pay compensation for
any damage caused in accordance with the law.
Chapter XVII
IMPLEMENTATION CLAUSES
Article 218. Exemption and reduction of procedures for employers having
fewer than 10 employees
Any employer who has fewer than 10 employees shall follow regulations of this
Labor Code and shall be entitled to exemption and reduction of certain procedures
specified by the Government.
Article 219. Amendments to some Articles of labor-related Laws
1. Amendments to the Law on Social insurance No. 58/2014/QH13, which has
been amended by the Law No. 84/2015/QH13 and the Law No. 35/2018/QH14:
a) Amendments to Article 54:
“Article 54. Conditions for receiving retirement pension
1. An employee mentioned in Points a, b, c, d, g, h and i Clause 1 Article 2 of this
Law, except for the cases specified in Clause 3 of this, will receive retirement
pension if he/she has paid social insurance for at least 20 years and:
a) He/she has reached the retirement age specified in Clause 2 Article 169 of the
Labor Code;
b) He/she has reached the retirement age specified in Clause 3 Article 169 of the
Labor Code and has at least 15 years’ doing the laborious, toxic or dangerous
works or highly laborious, toxic or dangerous works on the lists of the Ministry of
Labor, War Invalids and Social Affairs; or has at least 15 years’ working in highly
disadvantaged areas, including the period he/she works in areas with the region
factor of at least 0,7 before January 01, 2021;
c) His/her age is younger than the retirement age specified in Clause 2 Article 169
of the Labor Code by up to 10 years and he/she has worked in coal mines for at
least 15 years; or
d) He/she contracted HIV due to an occupation accident during performance of
his/her assigned duty.
2. An employee mentioned in Points dd and e Clause 1 Article 2 of this Law will
receive retirement pension if he/she has paid social insurance for at least 20 years
and:
a) His/her age is younger than the retirement age specified in Clause 2 Article 169
of the Labor Code by up to 05 years, unless otherwise prescribed by the Law on
Military Officer of Vietnam’s Army, the Law of People’s Police, the Law on
Cipher and the Law on professional servicemen and women, national defense
workers and officials;
b) His/her age is younger than the retirement age specified in Clause 3 Article 169
of the Labor Code by up to 05 years and he/she has at least 15 years’ doing the
laborious, toxic or dangerous works or highly laborious, toxic or dangerous works
on the lists of the Ministry of Labor, War Invalids and Social Affairs; or has at
least 15 years’ working in highly disadvantaged areas, including the period he/she
works in areas with the region factor of at least 0,7 before January 01, 2021; or
c) He/she contracted HIV due to an occupation accident during performance of
his/her assigned duty.
3. A female employee that is a commune official or a part-time worker at the
commune authority and has paid social insurance for 15 to under 20 years and
reaches the retirement age specified in Clause 2 Article 169 of the Labor Code will
receive the retirement pension.
4. The Government shall provide for special cases of retirement age.”;
b) Amendments to Article 55:
“Article 55. Conditions for receiving retirement pension in case of work
capacity reduction
1. When an employee mentioned in Points a, b, c, d, g, h and i Clause 1 Article 2 of
this Law resigns after having paid social insurance for at least 20 years will receive
a lower retirement pension than the rate specified in Points a, b, c Clause 1 Article
54 of this Law if:
a) His/her age is younger than the retirement age specified in Clause 2 Article 169
of the Labor Code by up to 05 years and he/she suffers from 61% to under 81%
work capacity reduction;
b) His/her age is younger than the retirement age specified in Clause 2 Article 169
of the Labor Code by up to 10 years and he/she suffers from at least 81% work
capacity reduction; or
c) He/she has at least 15 years’ doing laborious, toxic and dangerous occupations
or highly laborious, toxic and dangerous occupations on the lists of the Minister of
Labor, War Invalids and Social Affairs and suffers from at least 61% work
capacity reduction.
2. When an employee mentioned in Points dd and e Clause 1 Article 2 of this Law
resigns after having paid social insurance for at least 20 years and suffers from at
least 61% work capacity reduction will receive a lower retirement pension than the
rate specified in Points a and b Clause 2 Article 54 of this Law if:
a) His/her age is younger than the retirement age specified in Clause 2 Article 169
of the Labor Code by up to 10 years;
b) He/she has at least 15 years’ doing highly laborious, toxic and dangerous
occupations on the lists of the Minister of Labor, War Invalids and Social
Affairs .”;
c) Amendments to Clause 1 of Article 73:
“1. A worker will receive retirement pension when he/she:
a) reaches the retirement age specified in Clause 2 Article 169 of the Labor Code;
and
b) has paid social insurance for at least 20 years.”.
2. Amendments to Article 32 of the Civil Procedure Code No. 92/2015/QH13:
a) Revisions of the title and Clause 1 of Article 32; addition of Clauses 1a, 1b and
1c after Clause 1 of Article 32:
Article 32. Labor disputes and labor-related disputes within the jurisdiction of
the court
1. Individual labor disputes between employees and their employers shall be
settled through mediation by labor mediators, unless the mediation is unsuccessful,
the parties do not adhere to the agreements specified in the successful mediation
record, or the mediation is not initiated by the labor mediator by the deadline
prescribed by labor laws, or the labor dispute is:
a) over a dismissal for disciplinary reasons or unilateral termination of an
employment contract;
b) over compensation and allowances upon termination of an employment
contract;
c) between a domestic worker and his/her employer;
d) over social insurance in accordance with social insurance laws; over health
insurance in accordance with health insurance laws ; over unemployment insurance
in accordance with employment laws; over insurance for occupational accidents
and occupational disease in accordance with occupational safety and health laws;
dd) over damages between an employee and the organization that dispatches the
employee to work overseas under a contract;
e) between the dispatched employee and the client enterprise.
1a. In case both parties agree to bring an individual labor dispute to a Labor
Arbitration Council but an arbitral tribunal is not established by the deadline
prescribed by labor laws, the arbitral tribunal does not issue a decision on dispute
settlement or a party does not adhere to the decision issued by the arbitral tribunal,
the dispute may be brought to Court.1b. In case a right-based collective labor
dispute has been undertaken by a labor mediator but the mediation is unsuccessful,
a party does not adhere to the successful mediation record, or the mediation is not
initiated by the labor mediator by the deadline prescribed by labor laws, the dispute
may be brought to Court.
1c. In case both parties agree to bring a right-based collective labor dispute to a
Labor Arbitration Council but an arbitral tribunal is not established by the deadline
prescribed by labor laws, the arbitral tribunal does not issue a decision on dispute
settlement or a party does not adhere to the decision issued by the arbitral tribunal,
the dispute may be brought to Court.”;
b) Clause 2 of Article 32 is annulled.
Article 220. Entry in force
1. This Labor Code shall enter into force as of 1st of January 2021.
The Labor Code No. 10/2012/QH13 ceases to have effect from the effective date
of this Labor Code
2. From the effective date of this Labor Code, the employment contracts, collective
bargaining agreements, lawful agreements that are not contrary to this Labor Code
or provide for more favorable rights and conditions of employees than may
continue to have effect, unless the parties agree to revise them according to this
Labor Code.
3. Labor policies for officials and public employees, and persons working in the
People’s Army, People’s Police forces, social organizations, and members of
cooperatives, workers without labor relations shall be regulated by other legislative
documents though certain regulations of this Labor Code may still apply.
This Labor Code is ratified by the 14th National Assembly of Socialist Republic of
Vietnam during its 8th session on November 20, 2019.

PRESIDENT OF THE
NATIONAL ASSEMBLY

Nguyen Thi Kim Ngan