Regulations on the management and use of trade union finances in Vietnam from July 1, 2025

Regulations on the management and use of trade union finances in Vietnam from July 1, 2025​ (Image from the internet)

On November 27, 2024, the National Assembly of Vietnam passed the Trade Union Law 2024 replacing the Trade Union Law 2012.

Regulations on the management and use of trade union finances in Vietnam from July 1, 2025

(1) Trade union finances in Vietnam are used to serve trade union activities and ensure the following principles:

- The management and use of trade union finances must ensure the principles of centralization, publicity, transparency, thrift, effectiveness, with assignment, management decentralization, linking the authority and responsibilities of trade unions at all levels;

- Trade union organizations at all levels carry out accounting, statistics, reporting, and financial settlement of trade unions in accordance with the law on accounting and statistics;

- Trade unions shall manage and use trade union finances as per the laws and regulations of the Vietnam General Confederation of Labour.

(2) Trade union finances are used for the following tasks:

- Representing and protecting the legitimate rights and interests of trade union members and employees; participating in building progressive, harmonious, and stable labor relations;

- Propagating, disseminating, and educating the guidelines and policies of the Communist Party, the policies and laws of the State; improving skills, professional development, and working style for trade union members and employees;

- Visiting and providing allowances to trade union members and employees during illness, maternity, hardship, or accidents; organizing other care activities for trade union members and employees;

- Developing trade union memberships, establishing grassroots trade unions, and unions at the grassroots level, and building strong trade unions;

- Training and fostering trade union officials; training and fostering excellent workers to provide a source of personnel for the Communist Party, State, and trade union organizations;

- Organizing emulation movements led or coordinated by the trade union;

- Organizing cultural, sports, sightseeing, and tourism activities for trade union members and employees;

- Rewarding and motivating employees and their children for their achievements in study and work;

- Investing in building social housing for trade union members and employees to rent; cultural works, sports, technical infrastructure related to serving trade union members and employees as prescribed by law;

- Ensuring gender equality activities suitable to the functions and tasks of trade union organizations;

- Scientific research, technology, creative innovation, and digital transformation of trade union organizations;

- Management and administrative expenses to serve the activities of trade union organizations at all levels, international cooperation activities of the trade union;

- Paying salaries, allowances, and mandatory salary-related contributions for full-time trade union officials, activity allowances for non-professional trade union officials;

- Supporting non-professional trade union officials during periods of employment interruption, unable to return to the previous job due to unlawful termination of labor contracts, forced resignation, or illegal dismissal;

- Supporting grassroots trade unions exempted, reduced, or temporarily suspended from paying union fees as stipulated in Article 30 of the Trade Union Law 2024 to take care of trade union members and employees;

- Social activities led or coordinated by the trade union;

- Other expenses as stipulated by law.

(3) The preparation and implementation of budgets, accounting, settlement, and transparency of state budget funding follow the legal provisions on state budget and accounting, statistics.

(4) The Vietnam General Confederation of Labour shall implement the decentralization of revenue, distribution of trade union funds. In places with labor organizations within enterprises, the portion of trade union funds allocated to the grassroots level is distributed to the labor organization in the enterprise based on the number of its members participating in mandatory social insurance, the amount contributed, and the total number of employees in the enterprise participating in mandatory social insurance.

(5) After consensus with the Government of Vietnam, the Vietnam General Confederation of Labour issues standards, norms, expenditure policies, and management and use of trade union finances suitable to the duties of the trade union.

(6) The Government of Vietnam provides detailed regulations on the management and use of trade union expenses by labor organizations in enterprises.

(Article 31 of the Trade Union Law 2024)

View detailed content in the Trade Union Law 2024 effective from July 1, 2025.

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