A fine up to VND 10,000,000 shall be imposed for failing to make pay record books in Vietnam

This is a notable content regulated in Decree 28/2020/ND-CP on administrative penalties for violations arising from labor, social insurance and sending Vietnamese workers abroad under contracts, effective from April 15, 2020.

not  maintaining  payroll  records

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This Decree prescribes that in cases where the employer does not maintain pay record books and present them upon the request of the competent authorities, they will be fined from 2,000,000 VND to 5,000,000 VND. Specifically, Clause 1, Article 16 of Decree 28 stipulates the penalties for violations related to wages and salaries as follows:

Article 16. Violations of regulations on wages and salaries

1. A fine ranging from 2,000,000 VND to 5,000,000 VND shall be imposed on the employer for any of the following acts:

a) Failing to publicly announce at the workplace the wage scale, payroll, labor norms, or bonus regulations;

b) Failing to maintain pay record books and present them upon the request of the competent authorities;

c) When changing the method of wage payment, the employer fails to notify the employee at least 10 days in advance before implementation;

d) Failing to establish the wage scale, payroll, and labor norms;

đ) Using the wage scale, payroll, and labor norms that are non-conformable when there have been opinions on amendment or supplementation by the state management agency for labor at the district level;

e) Failing to consult with the representative organization of the labor collective at the grassroots level when establishing the wage scale, payroll, labor norms, and bonus regulations.

It is noted that the above-mentioned fine level is applied to employers who are individuals. In the case of employers who are organizations, the fine level will be double that of individuals, i.e., from 4,000,000 VND to 10,000,000 VND.

Accordingly, from April 15, 2020, if an enterprise commits the act of not maintaining pay record books and presenting them upon the request of the competent authorities, it will be fined from 4,000,000 VND to 10,000,000 VND. This is a newly supplemented provision in Decree 28/2020/ND-CP, which previous decrees Decree 95/2013/ND-CP and Decree 88/2015/ND-CP did not specify.

See more related contents HERE.

Nguyen Trinh

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