05 New Decrees Effective from January 01, 2019

Effective from January 01, 2019, many new Decrees come into force. Thu Ky Luat respectfully introduces some of the notable points of these Decrees as follows:

From January 1, 2019, New Regional Minimum Wage Applied

On November 16, 2018, the Government of Vietnam issued Decree 157/2018/ND-CP stipulating new regional minimum wages for employees working under labor contracts, specifically:

- Region I: 4,180,000 VND/month;- Region II: 3,710,000 VND/month;- Region III: 3,250,000 VND/month;- Region IV: 2,920,000 VND/month.

In addition, some localities in provinces and cities such as Tien Giang, Bac Ninh, Hai Phong, Thanh Hoa, Quang Binh, and Binh Duong also have adjustments when applying the new regional minimum wage.

Details can be found in Decree 157/2018/ND-CP, effective January 1, 2019.

Employees Can Give Opinions on Amendment and Supplementation of Wage Scales

This is among the contents that employees have the right to participate in opinions to ensure democracy at the workplace as stipulated in Decree 149/2018/ND-CP, effective from January 1, 2019.

Decree 149 clearly states the right of employees to participate in opinions on contents such as:

- Formulation, amendment, supplementation of internal regulations, rules and other documents of the enterprise related to the obligations, rights, and legitimate interests of employees;- Development, amendment, supplementation of wage scales, wage tables, labor norms; proposing collective bargaining contents;- Proposing and implementing cost-saving solutions, improving labor productivity, working conditions, environmental protection, and fire prevention measures;- Other issues related to the rights and obligations of employees as per the law.

No Requirement for English Language Proficiency for Motor Vehicle Inspectors

This is a notable new regulation in Decree 139/2018/ND-CP regulating the business of motor vehicle inspection services.

It abolishes 02 conditions for issuing Motor Vehicle Inspector Certificates, specifically the requirements for English proficiency and specialized training for motor vehicle inspectors. Thus, motor vehicle inspectors only need to meet the following 04 conditions to be granted the Certificate:

- Graduated from a university majoring in Mechanical Engineering;- Have at least 12 months of internship in motor vehicle inspection;- Have satisfactory results in the evaluation of motor vehicle inspector skills;- Hold a valid car driving license.

Details can be found in Decree 139/2018/ND-CP, effective January 1, 2019, replacing Decree 63/2016/ND-CP dated July 1, 2016.

Decree 156 Repeals a Series of Documents on Forest Protection and Development

The Government of Vietnam issued Decree 156/2018/ND-CP detailing the implementation of certain articles of the Forestry Law.

It repeals a series of documents (including 07 Decrees, 10 Decisions, 20 Circulars, and Inter-ministerial Circulars) on forest protection and development, such as:

- Decree 09/2006/ND-CP on forest fire prevention and fighting;- Decree 23/2006/ND-CP on the implementation of the Law on Forest Protection and Development;- Decree 48/2007/ND-CP on principles and methods of determining forest prices;- Decision 178/2001/QD-TTg on the benefits and obligations of households and individuals assigned, leased, or contracted forests and forest land;- Circular 38/2007/TT-BNN guiding the procedures for transferring, leasing, and recovering forests for organizations, households, individuals, and village communities;- Circular 05/2008/TT-BNN guiding the formulation of forest protection and development plans;

Details can be found in the appendix attached to Decree 156/2018/ND-CP, effective January 1, 2019.

Exemption of Import and Export Tax for Disaster Relief Goods

On November 29, 2018, the Government of Vietnam approved Decree 160/2018/ND-CP guiding the implementation of certain articles of the Law on Natural Disaster Prevention and Control, effective from January 1, 2019. Accordingly, it stipulates:

- Exemption of import and export taxes for foreign organizations, individuals, and international organizations participating in activities responding to and overcoming the consequences of natural disasters in Vietnam, importing and re-exporting means, equipment, and goods to serve the emergency relief, search and rescue, and disaster relief.

In cases where the amount of goods left in Vietnam is used for other purposes, it must be subject to taxes according to Vietnamese law;- For those allowed to enter Vietnam to respond to and overcome natural disaster consequences: Priority entry and exit procedures at border gates; in emergency response cases, if no visa has been obtained, a visa will be issued at the border gate.- For permitted means, equipment, and goods to be imported and re-exported after completing search and rescue, disaster relief operations, priority customs clearance procedures will be provided at border gates.

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