03 new contents specified in the Law on Vietnamese Guest Workers 2020

At the 10th meeting of the 14th National Assembly, the Law on Vietnamese Guest Workers 2020 was adopted. The 03 new contents specified in the Law on Vietnamese Guest Workers 2020 include:

Vietnamese  Workers  Law  on  Overseas  Employment  by  Contract

03 new contents specified in the Law on Vietnamese Guest Workers 2020 (Illustration)

1. Vietnamese guest workers abused or facing sexual harassment have the right to unilaterally terminate the contract

According to the Law on Vietnamese Guest Workers 2020 stipulating the rights of Vietnamese guest workers:

- be provided with Vietnamese regulations and law on Vietnamese guest workers; policies, laws, customs and traditions of host countries related to the workers; rights and obligations of parties when working abroad;

- be advised and assisted to execute rights, obligations and receive benefits under employment contracts and vocational training contracts;

- benefit from salary, wages, medical examination and treatment policies, social insurance, occupational accident insurance, other policies according to employment contracts; inward transfer of salary, wages, income and other legal assets of individuals according to regulations and law of Vietnam and host countries;

- be protected in terms of legal rights and benefits during period of working abroad under contracts conforming to regulations and law of Vietnam and host countries and international practices;

- unilaterally terminate employment contracts if workers are bused, exploited by employers, facing life-threatening risks or sexual harassment during period of working abroad;

- benefits from policies assisting labor, occupation and rights from Fund for overseas employment as per the law;

- not pay social insurance or person income tax twice in Vietnam and host countries if Vietnam and the host countries have entered into agreements on social insurance or double taxation agreements;

...

Thus, under the Law on Vietnamese Guest Workers 2020, workers may unilaterally terminate employment contracts if workers are bused, exploited by employers, facing life-threatening risks or sexual harassment during the period of working abroad. This is a completely new provision compared to the current regulations.

2. Employment format for Vietnamese guest workers

Clause 1, Article 5 of the Draft Law has proposed two options specifying the employment format for Vietnamese guest workers as follows:

Option 1: According to the contracts for bringing Vietnamese workers to work abroad signed with public service providers for implementation of international treaties, and international agreements, including:

- Public service providers under Ministries, ministerial-level agencies, and Government-attached agencies;

- Employment service centers established by the Chairman of the Provincial/Municipal People's Committee as prescribed by the Employment Law.

Option 2: According to the contracts for bringing Vietnamese workers to work abroad signed with public service providers under Ministries, ministerial-level agencies, and Government-attached agencies for implementation of international treaties and international agreements.

The National Assembly of Vietnam has agreed that the Law on Vietnamese guest workers will be officially implemented according to Option 2. Thus, the employment format for Vietnamese guest workers will include:

- According to the contracts for bringing Vietnamese workers to work abroad signed with public service providers under Ministries, ministerial-level agencies, and Government-attached agencies for implementation of international treaties and international agreements.

- According to contracts or written agreements regarding bringing Vietnamese workers to work abroad signed with any of following enterprises, organizations and individuals:

+ Vietnamese enterprises providing guest worker service;

+ Vietnamese enterprises awarded with contracts for foreign constructions and/or projects;

+ Vietnamese enterprises bringing Vietnamese workers abroad for training, improvement and enhancement;

+ Vietnamese organizations and individuals making outward investment.

- Employment contracts between Vietnamese workers and foreign employers.

3. Workers still have to pay some service fees when working abroad

During the discussion on the Draft Law on Vietnamese Guest Workers 2020, many opinions agreed on the provision that workers should not pay service fees to work abroad (under the spirit of the International Labour Organization). However, in the Law on Vietnamese Guest Workers 2020, the National Assembly of Vietnam has agreed to stipulate that if the receiving country has already paid the service fee, the service company only collects the difference from the worker compared to the agreed service fee.

Additionally, the new law also specifies the top limit of service fees collected from workers. To be specific:

- The top limit of service fee must not exceed 1 month’s worth of salary of workers and shall be collected once every 12 months of working; not exceed 1.5 month’s worth of salary of officers and crew members working on cargo ships and shall be collected once every 12 months of working;

- In case of contracts for the provision of Vietnamese guest service last for at least 36 months, the service fee under such contracts must not exceed 3 months’ worth of salary of workers;

- In case service fees for extended period of contracts for provision of Vietnamese guest service are agreed upon, the top limit of the service fees for every 12 extended months of working must not exceed 0.5 month’s worth of salary of workers;

- For specific markets, fields of operation and professions, the Minister of Labor - War Invalids and Social Affairs shall elaborate the top limit of service fee below the amounts specified above.

This provision essentially inherits the current regulations. At the same time, the National Assembly of Vietnam has also made stricter regulations on the principle of collecting service fees compared to previously to ensure transparency and fairness.

>>> See more: The National Assembly of Vietnam official agrees not to increase the applicable statutory pay rate in 2021

Le Vy

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