The Labor Code 2019 will take effect on 1 January 2021 and revises and supplements several provisions across all chapters of the currently in force Labor Code 2012. This includes the recommendation for all Vietnam-established companies to have internal labor regulations (“ILRs”) in place on 1 January 2021.

What includes in IRLs?

ILRs include provisions relating to:

(i)    Working hours and rest breaks;

(ii)    Rules and regulations applicable in the workplace;

(iii)    Occupational safety and hygiene in the workplace;

(iv)    Prevention of sexual harassment in the workplace, procedures on dealing with sexual harassment behavior;

(v)    Protection of assets and confidentiality of the technology and business secrets of the employer;

(vi)    the possibility for the employer to temporarily assign an employee to another work or job position.

(vii)    Conducts which are in breach of the employee’s duties, as well as the penalties imposed for such breaches; and

(viii)    Liability in case of damage;

(ix)      Persons competent to handle labor discipline

When to register IRLs?

All employers should have ILRs, regardless of their number of employees, more detail:

• The employer has less than ten employees, such ILRs are not required to be in writing format (the ILRs can simply be posted on the company’s intranet for example) and do not need to be registered with the competent Department of Labour, War Invalids and Social Affairs;
• The employers with ten or more employees shall have written ILRs which must be registered with the competent labor authority (i.e. the Department of Labour, War Invalids and Social Affairs or a district-level labor authority if the latter has been duly authorized in accordance with the Labor Code 2019).

How important to have well drafted IRLs?

ILRs which are appropriately registered are regarded as one of the most important documents regulating certain labor matters including disputes, especially dismissal, discipline, compensation, responsibility for damage, and various others.  In case of dispute, the ILRs would not only provide established procedures to address such situations in a predictable manner, but would also provide a legal platform for the employer to enforce the procedures contained in the law.  For instance, dismissal of an employee is possible only for reasons provided both at law and under the employer’s registered ILRs.

Welcome to Apolo Lawyers Law Firm

Apolo Lawyers is welcomed to help the client to draft the internal labour regulations. By our team of experienced lawyers, we believe that our clients will be satisfied with the quality of our service. For further information, please contact:

Apolo Lawyers Law Firm

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