When is it necessary to develop a labor utilization plan? What must be included in the labor utilization plan in Vietnam?

I would like to ask when it is necessary to develop a labor utilization plan. - Question from Mr. Khanh (Binh Dinh)

When to develop a labor utilization plan in Vietnam?

In Clause 3, Article 42 of the 2019 Labor Code of Vietnam, Clause 4, Article 42 of the 2019 Labor Code of Vietnam and Clause 1, Article 43 of the 2019 Labor Code of Vietnam, there are three cases where it is necessary to develop a labor utilization plan as follows:

- If changes in structure and technology affect the employment of a large number of employees.

- If a change due to economic reasons threatens to cause a large number of employees to lose their jobs.

- 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.When is it necessary to develop a labor utilization plan? What must be included in the labor utilization plan in Vietnam?

When is it necessary to develop a labor utilization plan? What must be included in the labor utilization plan in Vietnam? (Image from the Internet)

What must be included in the labor utilization plan in Vietnam?

Pursuant to Clause 1, Article 44 of the 2019 Labor Code of Vietnam, a labor utilization plan shall have the following contents:

- 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;

- The names and number of employees to retire;

- The names and number of employees whose employment contracts have to be terminated;

- Rights and obligations of the employer, employee and relevant parties regarding implementation of the labor utilization plan;

- The measure and financial sources to implement the plan.

What is the order to hold dialogue between the employer and the employee representative organization when developing the labor utilization plan in Vietnam?

Pursuant to Clause 2, Article 44 of the 2019 Labor Code of Vietnam and Article 41 of Decree No. 145/2020/ND-CP stipulating the order to hold dialogue between the employer and the employee representative organization when developing the labor utilization plan as follows:

- The employer shall send a document specifying the issues that need discussing to the employees’ representatives;

- The employees’ representatives shall collect opinions from the employees whom they represent; compile them into a document and send it to each internal employee representative organization and representative group for sending to the employer; female employees’ opinions must be collected if the dialog topics are relevant to their rights and interests;

- On the basis of collected opinions, the employer shall hold the dialogue to discuss the topics and share information about the issues raised by the employer;

- Both parties shall determine the composition and quantity of participants, time and location of dialogue in accordance with the internal workplace democracy regulations;

- Minutes of the dialogue shall be taken. The minutes shall bear signatures of the parties’ representatives in accordance with Clause 4 Article 39 of this Decree;

- Within 03 working days from the end of the dialogue, the employer shall announce the main contents of the dialogue at the workplace; the employee representative organization (if any) or representative group (if any) shall disseminate these contents to employees that are their members.

What are the rights and obligations of employers?

Pursuant to Article 6 of the 2019 Labor Code of Vietnam stipulating the rights and obligations of employers as follows:

- An employer has the rights to:

+ recruit, arrange and manage and supervise employees; give commendation and take actions against violations of internal labor regulations;

+ establish, join and operate in employer representative organization, occupational associations and other organizations in accordance with law;

+ 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;

+ temporarily close the workplace;

+ exercise other rights prescribed by law.

- An employer has the obligations to:

+ implement the employment contracts, collective bargaining agreement and other lawful agreements with employees; respect the honor and dignity of employees;

+ establish a mechanism for and hold dialogue with the employees and the representative organization of employees; implement the regulations on grassroots-level democracy;

+ Provide basic training and advanced training in order to help employees improve their professional skills or change their occupations;

+ 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;

+ Participate in development of the national occupational standards, assessment and recognition of employees’ professional skills.

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