How will the employer be penalized for suspension not in accordance with the law in Vietnam?

In Vietnam, when an employee violates labor discipline but there are many complicated circumstances that require clarification, the employer may suspend the employee's work. In case the temporary suspension is not in accordance with the law, how will the employer be penalized?

According to Decree 12/2022/ND-CP, violations related to suspension of work will be handled as follows:

1. Fines for failing to make advance payments or to pay full salaries to employees who are not disciplined for their work suspension period in Vietnam.

The following fines shall be imposed upon an employer for commission of one of the following violations: failing to make or insufficiently making advance payments to employees who temporarily leave their works in accordance with regulations of law; failing to pay full salaries to employees who are not disciplined for their work suspension period:

- A fine ranging from VND 3.000.000 to VND 5.000.000 shall be imposed if the violation involves 01 - 10 employees;

- A fine ranging from VND 5.000.000 to VND 8.000.000 shall be imposed if the violation involves 11 - 50 employees;

- A fine ranging from VND 8.000.000 to VND 12.000.000 shall be imposed if the violation involves 51 - 100 employees;

- A fine ranging from VND 12.000.000 to VND 15.000.000 shall be imposed if the violation involves 101 - 300 employees;

- A fine ranging from VND 15.000.000 to VND 20.000.000 shall be imposed if the violation involves 301 employees or more.

How will the employer be penalized for suspension not in accordance with the law in Vietnam? 

2. Fines for suspending employees for a duration exceeding the maximum suspension period in Vietnam:

According to Clause Article 19 of Decree 12/2022/NĐ-CP, a fine range from 3.000.000 VND to 5.000.000 VND shall be applied for employers suspending employees from work for a duration exceeding the maximum suspension period prescribed by law.

3. Fines for temporarily suspending the employee's work without consulting the representative organization of the employee

Point e, Clause 2, Article 19 of Decree 12/2022/ND-CP also stipulates a fine of between VND 5,000,000 and 10,000,000 in the case that before the termination of work of the employee, the employer does not consult with the representative organization of employees at the facility to which the employee is being considered for temporary suspension from work as a member.

Note: According to Clause 1, Article 6 of Decree 12/2022/ND-CP, the fine level for the above violations applies to individuals. The fine level is 2 times the fine level for individuals.

In addition, a remedial measure can be applied by forcing the employer to pay full wages for the days of suspension of work for the employee.

Nhu Mai

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