EnglishInstead of every three months as at present, the revised Labor Code has increased the time for holding periodical dialogues at the workplace to once a year, and at the same time allowed to add some cases of employers must hold dialogues such as because of economic reasons that many workers are at risk of losing their jobs and have to quit their jobs, develop wage scales, wage tables, labor norms, etc. Labor Code 2019 is also approved and takes effect from January 01, 2021, will replace the current Labor Code 2012.
SOME HIGHLIGHTS FOR NOTE:
1. Expand the scope and object of adjustment
The Labor Code 2019 expands the objects who are workers without labor relations and a number of separate standards.
2. Increase retirement age to 62 years for men, 60 years for women
Article 169 of the new Labor Code stipulates that the retirement ages of employees in normal working conditions shall be gradually increased to 62 for males by 2028 and 60 for females in 2035.
3. National Day is off for 2 days
The revised Labor Code also adds 01 day off in the year on the day adjacent to the National Day, which can be September 01 or September 03 calendar depending on each year. Thus, the total number of annual holidays and New Year's holidays will increase to 11 days, of which: New Year's Day: 01 day; Lunar New Year: 05 days; Victory Day (the 30th of April of the Gregorian calendar): 01 day; International Labor Day (the 1st of May of the Gregorian calendar): 01 day; National Day: 02 days; Hung Kings Commemoration Day (the 10th of the third month of the Lunar calendar): 01 day.
4. No more seasonal labor contracts
The revised Labor Code has removed the content of a seasonal contract or a job with a term of less than 12 months, and replaced it with two types of contracts, which are an indefinite-term labor contracts and definite-term labor contracts.
5. Recognition on the form of electronic labor contract
The new Labor Code has further recognized the form of entering into an electronic labor contract with the same value as a written labor contract.
6. To be able to sign multiple definite-term contracts with the elderly
The Labor Code allows employers to enter into multiple definite-term labor contracts with the elderly instead of extending the term of labor contracts or entering into labor contracts as before.
7. Increase monthly overtime working hours to 40 hours
The number of overtime working hours of an employee must not exceed 50% of the normal working hours in 01 day; if weekly working hours are applied, the total number of normal working hours and overtime working hours shall not exceed 12 hours/day; no more than 40 hours/month; no more than 200 hours/year, except for some special cases where overtime work is not more than 300 hours/year.
8. More cases of personal leave on full salary
In addition to the cases of personal leave with full salary as previous (marriage: 3 days off; marriage of child: 1 day off; death of his/her parent, death of his/her spouse’s parent: 3 days off, etc.), Article 115 of the new Labor Code has added the case where the death of adoptive parent.
9.The employee is entitled to unilaterally terminate the contract without reason
The Labor Code 2019 allows employees to have the right to unilaterally terminate the contract without reason, with just gives 30 days' notice for definite-term contracts and 45 days for indefinite-term contracts.
10. Being able to authorize others to receive salary
In case the employee cannot receive the salary directly, the employer can pay the salary to the person legally authorized by the employee.
11. Paying salary via bank
Employer must pay account opening fees: The new Labor Code stipulates that payment of fees related to account opening and remittance fees is a mandatory responsibility of the employer.
12. It is forbidden to force employees to spend their salaries on goods and services of the company
The new code stipulates that employers must not restrict or interfere their employers’ spending of their salaries.
13. Employees can be entitled to "bonus" not only in money:
The concept of "Bonus" for employees is also expanded, which can be money or property or in other forms based on production and business results, the level of work completion of employees.
14. The State does not directly interfere in the salaries of enterprises
Enterprises are allowed to take the initiative in formulating salary scales, wage tables and labor norms on the basis of negotiations and agreements with employees.
15. When paying salary, enterprises must send detailed statements to employees
This Code requires that every time salary is paid, the employer shall provide the employee with a note specifying the salary, overtime pay, nightshift pay and deductions.
16. Periodic dialogue at the workplace once a year
* Please refer to the Labor Code 2019 (Full version) here.
