Vietnam: Do enterprises employing under 10 employees have to register internal labor regulations?

"Do enterprises employing under 10 employees in Vietnam have to register internal labor regulations?" - asked Mr. Hung (Dong Nai)

What is the fine for failing to register internal labor regulations in Vietnam?

Pursuant to Clause 2, Article 19 of Decree 12/2022/ND-CP stipulating as follows:

Violations against regulations on labor discipline and material responsibility
...
2. A fine ranging from VND 5.000.000 to VND 10.000.000 shall be imposed upon an employer for commission of one of the following violations:
a) Failing to apply written internal labour regulations when employing 10 employees or more;
b) Failing to follow procedures for registration of internal labour regulations as prescribed by law;
c) Failing to consult with the internal representative organization of employees (if any) before issuing or revising the internal labour regulations;
d) Applying the internal labour regulations which have not been yet in effect or have become null and void;
dd) Failing to follow processes, procedures and time limits set out in law when implementing disciplinary measures at work or paying compensation for damage;
e) Suspending employees from work for a duration exceeding the maximum suspension period prescribed by law;
g) Before suspending employees from work, failing to consult with the internal representative organization of employees to which the employee is a member.

According to the above provisions, in case the employer fails to register the internal labor regulations, it will be administratively sanctioned from 5 million to 10 million VND.

Note, the above fine only applies to individual violators. For organizations, the fine shall be doubled.

Do enterprises employing under 10 employees in Vietnam have to register internal labor regulations?

Pursuant to Article 118 of the Labor Code 2019 as follows:

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.

Accordingly, the above regulation only mentions that the employer must promulgate internal labor regulations. An employer that has at least 10 employees shall have written internal labor regulations.

In addition, Article 119 of the Labor Code 2019 stipulates as follows:

Registration of internal labor regulations
1. An employer that has at least 10 employees shall register the internal labor regulations at the labor authority of the province where business registration is applied for.
2. Within 10 days from the date of issuance of the internal labor regulations, the employer must submit the application for registration of the internal labor regulations.
3. If any of the contents of the internal labor regulations is found contrary to the law, within 07 working days from the date of receipt of the application, the provincial labor authority shall notify and instruct the employer to revise it and re-submit the application.
4. An employer whose branches, units or business locations in different provinces shall send the registered internal labor regulations to the labor authority of those provinces.
5. The provincial labor authority may authorize a district-level labor authority to process an application for registration of internal labor regulations in accordance with this Article.

Accordingly, employers only have to register internal labor regulations when employing 10 or more.

Therefore, enterprises employing under 10 employees in Vietnam shall not have to register internal labor regulations. Failure to register the internal labor regulations will face penalties in accordance with the law.

What does the application for registering internal labor regulations in Vietnam include?

Pursuant to Article 120 of the Labor Code 2019, the application for registering internal labor regulations in Vietnam includes:

- The application form;

- A copy of the internal labor regulations;

- Comments of the representative organization of employees (if any);

- Documents of the employer that are relevant to labor discipline and material responsibility (if any).

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