Guidance on policies to support employees whose working hours are reduced or labor contracts are terminated in HCMC, Vietnam

Vo Ngoc Nhi

15:46, 16/02/2023

What are the guidance on the procedure to receive support for employees whose working hours are reduced or labor contracts are terminated in HCMC, Vietnam? - Minh Nhat (HCMC, Vietnam)

Hướng dẫn chính sách hỗ trợ NLĐ bị giảm thời gian làm việc, chấm dứt hợp đồng lao động tại TPHCM

Guidance on policies to support employees whose working hours are reduced or labor contracts are terminated in HCMC, Vietnam (Internet image)

Official Dispatch 82/LDLD-TC dated 08/02/2023 guiding the implementation of Decision 6696/QD-TLD issued by the Ho Chi Minh City Confederation of Labor.

Specifically, guiding policies to support employees whose working time is reduced or whose labor contracts are terminated in Ho Chi Minh City are as follows:

1. Subjects of employees whose working hours have been reduced or their labor contracts terminated in Ho Chi Minh City, Vietnam

- Assigning the grassroots direct superior trade union to pay for the subjects specified in Articles 5, 10, and 15 of Decision 6696/QD-TLD under its management.

- The Ho Chi Minh City Confederation of Labor pays for the subjects specified in Articles 5, 10, and 15 of Decision 6696/QD-TLD that belong to grassroots trade unions under the comprehensive Ho Chi Minh City Confederation of Labor.

Article 5 of Decision 6696/QD-TLD in 2023 stipulates the beneficiaries of support as follows:

Union members and employees working under labor contracts at enterprises that have paid union dues before September 30, 2022, will have their working hours reduced or stopped due to the business being cut or having fewer orders.

Article 10 of Decision 6696/QD-TLD in 2023 stipulates the beneficiaries of support as follows:

Union members and employees working under labor contracts at enterprises that pay trade union fees before September 30, 2022, must suspend the performance of labor contracts and take unpaid leave due to businesses being cut or having reduced orders.

Article 15 of Decision 6696/QD-TLD in 2023 stipulates the beneficiaries of support as follows:

Union members and employees working under labor contracts at enterprises with union dues paid before September 30, 2022, have their labor contracts terminated due to the business being cut or having reduced orders but are not eligible for unemployment benefits.

2. Conditions for supporting employees whose working time is reduced or whose labor contracts are terminated in Ho Chi Minh City, Vietnam

Comply with Articles 6, 11, and 16 of Decision 6696/QD-TLD in 2023.

Article 6 of Decision 6696/QD-TLD in 2023 stipulates the following support conditions:

Union members and employees specified in Article 5 are supported when they fully meet the following conditions:

- Having reduced daily working time or the number of working days in a week or month (except in the case of overtime reduction), or being suspended from work and imprisoned for 14 days or more under Clause 3 of Article 99 of the Labor Code.

- The monthly income is equal to or less than the regional minimum wage as specified in Decree 38/2022/ND-CP, which establishes the minimum wage for employees working under labor contracts.

- The period of reduction of working hours or cessation of work is from October 1, 2022 to the end of March 31, 2023.

Article 11 of Decision 6696/QD-TLD in 2023 stipulating support conditions

Union members and employees specified in Article 10 are supported when they fully meet the following conditions:

- Suspend labor contract performance and take unpaid leave for 30 days or more during the term of the labor contract due to business being cut or orders being reduced (except for union members and employees who temporarily suspend labor contract performance or take unpaid leave for personal reasons).

- The period of suspension of labor contract performance, unpaid leave, from October 1, 2022, to the end of March 31, 2023.

- The time to start suspending the performance of labor contracts, taking unpaid leave from October 1, 2022 to the end of March 31, 2023.

Article 16 of Decision 6696/QD-TLD in 2023 stipulates the following support conditions:

Union members and employees specified in Article 15 are supported when they fully meet the following conditions:

- Terminate the labor contract from October 1, 2022, to the end of March 31, 2023, unless the employee unilaterally terminates the labor contract illegally;

Disciplinary dismissal; agreement on the content of probation stated in the labor contract but the probationary period fails to meet the requirements or one party cancels the probation agreement;

Enjoy monthly pension and allowance for loss of working capacity.

- Not eligible for unemployment benefits.

3. Level and payment method of support for employees whose working hours are reduced or their labor contracts terminated in Ho Chi Minh City, Vietnam

To comply with Article 7, Article 12, Article 17 of Decision 6696/QD-TLD in 2023.

4. Procedures for employees whose working time is reduced or their labor contracts terminated in Ho Chi Minh City, Vietnam

To comply with Article 9, Article 14, and Article 19 of Decision 6696/QD-TLD in 2023. In which case, it is necessary to note the following contents:

- Deadline for applications: no later than March 31, 2023.

- Time limit for completing support procedures for trade union members and employees: no later than May 30, 2023.

- Regarding the application file (according to Article 8, Article 13, and Article 18 of Decision 6696/QD-TLD 2023) sent to the Ho Chi Minh City Confederation of Labor for approval:

+ For trade unions that are directly superior to the grassroots:

In accordance with the regulations of the Ho Chi Minh City Confederation of Labor, the proposal letter of the unit (original) is enclosed with all appraised documents (photocopy with a hang seal of the superior trade union)(via the Department of Policy and Law).

+ For grassroots trade unions fully affiliated with the Confederation of Labor of Ho Chi Minh City:

The unit's proposal letter is attached with all supporting documents (original documents) in accordance with the provisions of the Ho Chi Minh City Confederation of Labor (via the Department of Policy and Law).

- Regarding the method of support payment and record keeping:

Based on the decision approving the list and the support funding approved by the Ho Minh City Labor Confederation, the immediate superior trade union at the grassroots level is responsible for implementing:

+ Spending directly to approved subjects by cash or bank transfer (do not transfer funds to lower-level trade unions to make expenditures).

+ Store documents according to regulations (including: application documents under Article 8, Article 13, Article 18 of DDecision 6696/QD-TLD 2023, the appraisal document of the unit, the decision to approve the list and support funding of the Ho Minh City Confederation of Labor, documents proving that the support money has been transferred or a signed list of beneficiaries when receiving cash, etc.).

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