What are cases ineligible to conclude employment contract with an elderly employee in Vietnam?

What are cases ineligible to conclude employment contract with an elderly employee in Vietnam? (Internet image)

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

1. Regulations on employment contracts for elderly employees in Vietnam

Pursuant to Article 148 of the Labor Code 2019, elderly employees are regulated as follows:

- An elderly employee is a person who continues working after the retirement age.

Based on Clause 2, Article 169 of the Labor Code 2019, retirement ages of employees in normal working conditions shall be gradually increased to 62 for males by 2028 and 60 for females in 2035.

- Elderly employees are entitled to negotiate with their employer on reduction of reduce their daily working hours or to work on a part-time basis.

- Employers are encouraged by the State to assign works that are suitable for elderly employees in order to uphold their right to work and ensure efficient utilization of human resources.

2. What are cases ineligible to conclude employment contract with an elderly employee in Vietnam?

According to Article 149 of the Labor Code 2019, the regulations for employment of elderly people are as follows:

- When an elderly person is employed, both parties may agree on conclusion of multiple fixed-term employment contracts.

- In case a person who is receiving retirement pension under the Law on Social Insurance enters into a new employment contract, he/she shall receive salary and other benefits prescribed by law and the employment contract in addition to the benefits to which they are entitled under the pension scheme.

- Employer must not assign elderly employees to do laborious, toxic or dangerous works, or highly laborious, toxic or dangerous works that are harmful to their health, unless safety is ensured.

- Employers are responsible for taking care of the health of elderly employees at the workplace.

Thus, according to the above regulations, employers are not allowed to employ elderly employees to do arduous, hazardous and dangerous works or jobs, or extremely arduous, hazardous and dangerous works or jobs, which are harmful to their health, unless safe working conditions are ensured.

3. What are the penalties for using elderly employeees for hazardous jobs in Vietnam?

Clause 2, Article 31 of Decree 12/2022/ND-CP stipulates fines for using elderly workers to do heavy, hazardous and dangerous work as follows:

A fine ranging from VND 10.000.000 to VND 15.000.000 shall be imposed upon an employer for hiring elderly employees to perform arduous, hazardous and dangerous works or jobs, or extremely arduous, hazardous and dangerous works or jobs, which are harmful to their health, unless safe working conditions are ensured.

Note: According to the provisions of Clause 1, Article 6 of Decree 12/2022/ND-CP, the above fine applies to employers who are individuals in violation. In case an organization violates, the fine will be doubled.

Thus, in case a company uses elderly workers to do heavy work without ensuring safe conditions for the workers, they will be fined from 20,000,000 VND to 30,000,000 VND.

Nguyen Ngoc Que Anh

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