After the transfer of rights to represent state capital owner in wholly state-owned enterprises in Vietnam, shall the employees be allowed to continue employment?
- After the transfer of rights to represent state capital owner in wholly state-owned enterprises in Vietnam, shall the employees be allowed to continue employment?
- What are the rules for organizing transfer of rights to represent state capital owner in enterprises in Vietnam?
- What are the procedures for the transfer of rights to represent state capital owner in enterprises in Vietnam?
After the transfer of rights to represent state capital owner in wholly state-owned enterprises in Vietnam, shall the employees be allowed to continue employment?
Pursuant to Article 53 of Decree 23/2022/ND-CP stipulating policies for employees when carrying out transfer as follows:
Policies for employees when carrying out transfer
1. The transferred enterprise shall make the list of existing employees, the list of employees who continue employment after transfer, the list of employees to be trained for continuing employment after transfer, the list of employees receiving retirement policies, and the list of employees who are required to terminate employment contracts.
2. Employees whose employment contracts are terminated shall be provided with redundancy or severance allowances in accordance with regulations on labour.
3. Employees who are eligible for retirement benefits shall be treated in accordance with regulations of the Law on social insurance and provided with other benefits in accordance with regulations of the Labour Code.
Accordingly, the transferred enterprise shall make the list of existing employees.
It is also required to make the list of employees who continue employment after transfer, the list of employees to be trained for continuing employment after transfer, the list of employees receiving retirement policies, and the list of employees who are required to terminate employment contracts.
- Employees whose employment contracts are terminated shall be provided with redundancy or severance allowances in accordance with regulations on labour.
- Employees who are eligible for retirement benefits shall be treated in accordance with regulations of the Law on social insurance and provided with other benefits in accordance with regulations of the Labour Code.
Thus, according to the above provisions, after transferring the right to represent the owner of state capital in the enterprise, the employees can continue employment after transfer
After the transfer of rights to represent state capital owner in wholly state-owned enterprises in Vietnam, shall the employees be allowed to continue employment?
What are the rules for organizing transfer of rights to represent state capital owner in enterprises in Vietnam?
Pursuant to Clauses 2 and 3, Article 50 of Decree 23/2022/ND-CP stipulating the rule for organizing transfer of rights to represent state capital owner in enterprises as follows:
Rules for organizing transfer of rights to represent state capital owner in enterprises
1. The transfer of rights to represent state capital owner in enterprises must adhere to the principle of preserving the status quo.
2. In case of changes in data after the transfer, relevant parties shall jointly find out reasons and take measures for settling and correcting data to be officially transferred.
3. Data transferred is those on the latest annual or quarterly financial statements which have been prepared and audited in accordance with regulations.
If the audited annual or quarterly financial statements are unavailable, data transferred shall be those on the enterprise’s latest financial statements. The owner’s representative agency or enterprise that receives transfer shall hire an independent audit organization to conduct audit of the received financial statements and correct transferred data (if any) according to Clause 2 of this Article.
As such, data transferred is those on the latest annual or quarterly financial statements which have been prepared and audited in accordance with regulations.
If the audited annual or quarterly financial statements are unavailable, data transferred shall be those on the enterprise’s latest financial statements.
In case of changes in data after the transfer, relevant parties shall jointly find out reasons and take measures for settling and correcting data to be officially transferred.
What are the procedures for the transfer of rights to represent state capital owner in enterprises in Vietnam?
Pursuant to Article 51 of Decree 23/2022/ND-CPm the procedures for transfer of rights to represent state capital owner in enterprises shall be carried out according to the following steps:
Step 1. The enterprise shall prepare adequate documents, legal documents, ongoing contracts, certificates of ownership and rights to use assets and land or capital and assets to be transferred and the latest audited annual or quarterly financial statements, and submit reports to the owner’s representative agency.
Step 2. In case of transfer between owner’s representative agencies, these agencies shall cooperate together in appraising and reaching agreement on documents and data; transfer method; conditions and commitments to transfer and receive the enterprise, commitments to pay debts; sending written notifications to creditors, debtors and relevant parties.
In case of transfer of partial capital and/or assets between enterprises, the owner’s representative agencies shall direct relevant enterprises to cooperate together in appraising and reaching agreement on documents and data; transfer method; conditions and commitments to transfer and receive the capital and/or assets, commitments to pay debts; sending written notifications to creditors, debtors and relevant parties.
Step 3. A record of transfer of rights to represent state capital owner in enterprise shall be signed. This record shall be posted at the enterprise’s headquarters, and published on at least 03 issues of a printed newspaper or electronic newspaper.
Step 4. After completing the transfer between owner’s representative agencies, the transferred enterprise shall follow procedures for registration of change of owner’s representative agency with the business registration office. The registration application shall be prepared in accordance with the Government’s regulations on enterprise registration and must be accompanied by the record of transfer of rights to represent state capital owner in enterprise.
The legal representative of the transferred enterprise shall publish the transfer of rights to represent state capital owner in enterprise, change of name (if any) and enterprise’s owner on mass media within 30 working days from the issue date of its enterprise registration certificate.
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