Additional cases of exemption, reduction, temporary suspension of trade union fees in Vietnam

Additional cases of exemption, reduction, temporary suspension of trade union fees in Vietnam
Tran Thanh Rin

On November 27, 2024, the National Assembly of Vietnam passed the Trade Union Law 2024, in which this Law added provisions for cases of exemption, reduction, and temporary suspension of trade union contributions.

Additional cases of exemption, reduction, temporary suspension of trade union fees in Vietnam

The exemption, reduction, and suspension of trade union fees in Vietnam will be stipulated in Article 30 of the Trade Union Law 2024 as follows:

- Enterprises, cooperatives, unions of cooperatives undergoing dissolution or bankruptcy according to legal regulations shall be considered for exemption from unpaid trade union fees.

- Enterprises, cooperatives, unions of cooperatives facing economic difficulties or force majeure shall be considered for a reduction in trade union fees.

- In cases where enterprises, cooperatives, unions of cooperatives are facing difficulties requiring the suspension of production and business, leading to an inability to pay trade union fees, they shall be considered for a suspension of trade union fees for a period not exceeding 12 months.

After the suspension period ends, enterprises, cooperatives, unions of cooperatives must resume paying trade union fees and make supplementary payments for the period of suspension. The deadline for supplementary payments is the last day of the month following the month in which the suspension ends. The supplementary payment amount equals the fees required for the months of suspension.

- The Government of Vietnam, in agreement with the Vietnam General Confederation of Labor, shall stipulate the exemption, reduction, and suspension of trade union fees and detail other contents of this Article.

The Trade Union Law 2024 regulates the functions, duties, rights, and responsibilities of the Vietnam Trade Union; the rights to establish, join, and operate trade unions of employees; the joining of the Vietnam Trade Union by organizations of employees at enterprises; the rights and responsibilities of trade union members; the responsibilities of the State, agencies, organizations, units, enterprises, and employers towards the Trade Union; ensuring the activities of the Trade Union; resolving disputes and handling legal violations concerning trade unions.

More details can be found in the Trade Union Law 2024 which takes effect from July 1, 2025, and replaces the Trade Union Law 2012.

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