Vietnam: Distribution of the remaining of unused reward fund and welfare fund

According to Circular No. 07/2018/TT-BLDTBXH of the Ministry of Labor, War Invalids and Social Affairs of Vietnam:

- Persons who are entitled to distributions of the remaining of the unused reward fund are employees appearing on the list of the equitized enterprise’s employees on the date of enterprise valuation.

The equitized enterprise shall compile a list of persons who are entitled to distributions of the remaining of the unused reward fund by adopting the Form as prescribed.

- Persons who are entitled to distributions of the remaining of the unused reward fund are employees, managers and controllers who are working in the enterprise and appear on the list of the equitized enterprise’s employees on the date of enterprise valuation.

The equitized enterprise shall compile a list of persons who are entitled to distributions of the remaining of the unused reward fund or welfare fund by adopting the Form as prescribed.

- The remaining of unused reward fund and welfare fund must be distributed in an open and transparent manner in the enterprise and participated by the organization providing representation for employees working in the enterprise.

- The date on which the remaining of the unused reward fund or welfare fund is distributed shall be decided by the equitized enterprise and the distribution must be implemented before the date on which the equitized enterprise is converted into a joint-stock company.

More details can be found in Circular No. 07/2018/TT-BLDTBXH of the Ministry of Labor, War Invalids and Social Affairs of Vietnam, which takes effect from September 15, 2018.

-Thao Uyen-

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