In which cases are public employees entitled to severance in Vietnam?

 In which cases are public employees entitled to severance in Vietnam? (Internet image)

Regarding this issue, LawNet would like to answer as follows:

1. In which cases are public employees entitled to severance in Vietnam?

According to Clause 1, Article 57 of Decree 115/2020/ND-CP, public employees are entitled to severance in the following cases:

- The official unilaterally terminates the working contract:

+ Public employees working under indefinite-term contracts have the right to unilaterally terminate the contract but must notify in writing the head of the public non-business unit at least 45 days in advance; In case an employee is sick or has an accident that has been treated for 6 consecutive months, at least 3 days' notice must be given.

Public employees working under fixed-term work contracts have the right to unilaterally terminate the contract in the following cases:

++ Not being arranged according to the correct working position or working location or not ensuring the working conditions agreed in the working contract;

++ Not being paid in full or not being paid on time according to the working contract;

++ Being mistreated; forced labor;

++ They and their family are really in difficult circumstances and cannot continue to perform the contract.

++ Pregnant female employees must take leave of absence as indicated by the medical facility;

++ The public employee is sick or has had an accident and has been treated for 3 consecutive months but has not yet recovered his working capacity.

The public employee must notify the head of the public non-business unit in writing of the unilateral termination of the working contract at least 3 days in advance for the cases specified in Clause 5, Article 29 of the Law on Public Employees 2010; at least 30 days for the case specified in Clause 5, Article 29 of the Law on Public Employees 2010.

- The public non-business unit unilaterally terminates the working contract with the public employee in one of the following cases:

+ An employee working under an indefinite working contract is sick and has been treated for 12 consecutive months; public employees working under definite-term work contracts have been sick for 6 consecutive months and have not yet recovered their working capacity. When the public employee's health recovers, he/she will be considered to continue to sign a working contract;

+ Due to natural disaster, fire, or other force majeure reasons prescribed by the Government, the public non-business unit is forced to downsize, making the job position that the public employee is taking no longer;

+ When a public non-business unit terminates its operation under the decision of a competent authority.

+ Unsatisfactory public employees after the probationary period.

- The public non-business unit does not renew the working contract with the public employee upon the end of the definite-term working contract.

2. Unresolved cases in Vietnam

Specifically, Clause 2, Article 57 of Decree 115/2020/ND-CP stipulates that public employees have not been terminated if they fall into one of the following cases:

- Being within the time limit for disciplinary action, being investigated, prosecuted, or tried;

- Having not worked for the full commitment period with the public non-business unit when being sent for training;

- The payment of money and property under the responsibility of the public employee has not been completed yet;

- Due to work requirements, no replacement has been arranged.

3. Procedures for severance settlements with public employees in Vietnam

Procedures for severance settlement with public employees are specified in Clause 3, Article 57 of Decree 115/2020/ND-CP as follows:

- In case the public employee unilaterally terminates the working contract, a written notice must be sent to the head of the public non-business unit as prescribed in Clause 6, Article 29 of the Law on Public Employees 2010:

The public employee must notify in writing the unilateral termination of the working contract to the head of the public non-business unit at least 03 days in advance for the cases specified at Points a, b, c, dd and e, Clause 5, Article 29 of the Law on Public Employees 2010; at least 30 days for the case specified at Point d, Clause 5, Article 29 of the Law on Public Employees 2010.

Within 05 working days from the date of receiving the official's written request, if the employee agrees to resign, the Heads of public non-business units terminate working contracts and settle employee severance regimes according to regulations. In case of disapproval of the employee's resignation, he/she must reply to the employee in writing and clearly state the reason as prescribed.

- In case the public non-business unit unilaterally terminates the working contract or does not renew the working contract with the public employee, it must simultaneously settle the severance regime for the public employee according to regulations.

4. Cases in which the employee severance regime is not implemented in Vietnam

Pursuant to Clause 4, Article 57 of Decree 115/2020/ND-CP, the severance regime will not be applied in the following cases:

- Public employees who are approved by competent agencies or units to move to work at other agencies, organizations, or units in the political system;

- Public employees who have announced their retirement or are subject to downsizing according to the provisions of law;

- Public employees who are not entitled to severance pay as prescribed in Clause 2, Article 29 of the Law on Public Employees 2010.

Ho Quoc Tuan

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