Doing Business In... 2025

VIETNAM Law and Practice Contributed by: Thang Nguyen, Minh Nguyen and Nguyet Le, ACSV Legal

Unilateral Termination by Employee An employee may unilaterally terminate the labour contract prior to its expiry by sending a prior notice of at least 45 days for indefinite- term labour contracts, 30 days for definite-term contracts with a duration between 12 and 36 months, or three working days for definite-term contracts with a duration of less than 12 months. The prior notice is, however, not required in the following cases: • the employee is not assigned to the job or workplace, or is not provided the work - ing conditions as agreed upon in the labour contract, except for extraordinary cases where the employer is permitted under laws to assign jobs other than those agreed in the labour contract; • the employee is not paid in full or on time, except for force majeure cases where the payment is delayed as permitted under law; • the employee is maltreated or is subject to forced labour or other behaviour affecting his/ her health, dignity or honour, including sexual harassment at the workplace; • a female employee is pregnant and must quit the job as prescribed by a competent health establishment; • the employee reaches retirement age; or • the employer provides untruthful information affecting the implementation of the labour contract. Collective Labour Agreements Vietnam also recognises the concept of col - lective labour agreements. These are written agreements which have been agreed between the employer and the labour collective follow - ing a collective bargaining session. The labour collective only needs a simple majority to vote in favour of the collective labour agreement. It is

• substantiate the grounds for retrenchment and establish its correlation with the need for layoffs; • develop a comprehensive labour usage plan; • engage in consultation with employee rep - resentatives through a workplace dialogue process; • provide affected employees with offers for new positions (if available), and only after their rejection, include them in the list of employees to be laid off in the labour usage plan; • publicly inform employees about the labour usage plan within 15 days of its approval; and • provide a 30-day advance notice to the pro - vincial People’s Committee and the affected employees. Termination of multiple employees due to a change of control Below are the significant procedures and requirements that must be satisfied to validate the termination. The employer must: • substantiate the grounds for termination and establish its connection to the need for layoffs; • develop a comprehensive labour usage plan; • engage in consultation with employee rep - resentatives through a workplace dialogue process; • provide affected employees with offers for new positions (if available), and only after their rejection, include them in the list of employees to be laid off in the labour usage plan; • publicly inform employees about the labour usage plan within 15 days of its approval; and • provide a 30-day advance notice to the pro - vincial People’s Committee and the affected employees.

909 CHAMBERS.COM

Powered by