Labor Training Material

1. Slide 1
LABOR TRAINING:
TECHNICAL KNOWLEDGE ENHANCEMENT ON
SPECIAL LABOR PART
Updating : September 2021

2. Slide 2
TRAINING OBJECTIVE
To have clear understanding on some grey points of Vietnam Labor
Law on Labor parts of a social assessment
To ensure the consistency in practice and be aligned within Vietnam
assessment team
To provide tips for assessors to verify & raise the findings and find-
out inconsistency during a social assessment

3. Slide 3
TRAINING OVERVIEW
PART 1: RECRUITMENT- EMPLOYMENT CONTRACT
PART 2: WORKING HOUR- WAGE & BENEFIT- SPECIAL WORKERS
PART 3: SOCIAL INSURANCE
PART 4: TRADE UNION- CBA- DISCIPLINES- STRIKES
Table of contents

4. Slide 4
PART I:
RECRUITMENT- EMPLOYMENT CONTRACT

5. Slide 5
PART 1: RECRUITMENT- EMPLOYMENT CONTRACT
Recruitment
Contract
Occupational training

6. Slide 6
RECRUITMENTS
Law reference: Labor law No. 45/2019/QH14 Article 8 and Article 3.
Q1. How to
verify Risk of
discrimination
through HCG
test results in
health check
Interview
recruitment
staff
Check
recruitment
procedure
What is
purpose
of HCG
test?
Check
profile of
current
pregnant
workers
Interview
workers
Rule of
recruitment: No
discrimination, force
labor (withholding
docs, deception,..),
Recruitment fee,
Child labor, etc.

7. Slide 7
CONTRACT
Law reference: Labor law No. 45/2019/QH14 Article 25
Q2
30-days probation
for sample
sewing worker
Continue 30-days
probation for
Sewing worker at
production site
Not accepted. Same
Sewing job, “Only
one probationary
period is allowed for
a job”. (No.44/2019.
Art 25)
Q3
30 days
probation for
packing position
Job description +
involved worker and
salary for this position.
If packing job requires
skilled employee and
salary plus 7% 
Accepted

8. Slide 8
CONTRACT
Law Reference: Labor law No. 45/2019/QH14 Point 2 Article 35, Article 37.
• Worker-A was absent without reason total 6 days/month (4 consecutive days of 1st
week and 2 days of 3rd week in month), so the factory decided to terminate labor
contract with A. => Not accepted. This case should be applied by Dismissal
disciplinary action (Termination only applied for more than 5 consecutive days)
Q4
• Worker-B (man or women) nursing bay under 12 months and absent consecutive 5
days without reason. The factory terminate contract with B=> Not Accepted. A has
children under 12 months, employer is prohibited from unilaterally terminating
labor contract with them currently.
Q5
• Worker A has indefinite term contract and is old enough to retire. Could he terminate
the contract without notifying 45 days in advance=> Accepted, because the
employee enough retirement age can terminate without notice period.
Q6

9. Slide 9
CONTRACT
Law Reference: Labor law No. 45/2019/QH14. Article 6 and Article 30.
Accepted
Clearly
process
agreement
with
workers
Leader/
worker
understand
the process
Evidence:
calling, text
with
worker’s
confirmation
-Records
well
maintained
-SI payment
notice with
decreasing
list
Q7: Factory signed agreement on
suspension of labor contract with
employee representative instead of
each worker due to social distance –
COVID-19. Is this accepted?

10. Slide 10
CONTRACT
Tips to verify discrimination risk in this case:
 Check factory’s process and standards related to suspending
contract
 Interview leaders to verify if they understand and follow the
process.
 Interview employee who still work now to get more information
about suspend contract.
 Require the factory to provide evidence such as productivity
assessment checklist, attitude assessment etc.
 Double check docs/evidence from suspend contract list to verify
that the workers were chosen based on the provided standards
and process or not
Q8: 50% workers
were suspended
labor contract
based on the
productivity and
attitude standard.

11. Slide 11
CONTRACT
Suspend contract steps
• Verify to determine
properly the cases
that can be
suspended contract
Reason for
suspend contract
Choose employee for
suspend
Get agreed from
suspend
Inform to government
Process to
suspend contract • Crosscheck benefit that
was agreed by 2
parties during suspend
time
• Document maintain of
suspend labor contract
Benefit in suspend
contract/ agreement
Law Reference: Labor law No. 45/2019/QH14. Article 30.

12. Slide 12
Law Reference: Labor law No. 45/2019/QH14 Article 52
Rule for labor lease:
 Use labor lease for
regulated job and to
lease in the regulated
case
 Lease agency has labor
lease permit and enter
into contracts and take
responsibility for
employees
LABOR LEASE CONTRACT
Outsource or
labor lease
worker
signal/
sources
Meal
records,
parking
cards/
visitor logs
Different
uniform/ ID
badges
Interview
security
gate/line
leaders etc
Other
source:
Refer to
Ads on
internet,
etc

13. Slide 13
Q9: The factory (A) use packing service provided by Party-B. Party-B will provide 5 workers to work at
factory- A. How to verify NC related to labor lease in this case?
Law Reference: Labor law No. 45/2019/QH14 Article 52
LABOR LEASE CONTRACT
Raise NC: Job not regulated/
allowed in Labor lease list:
Get more information to
remark in NC:
- Profile/ ID maintained to
check if having any Child/minor
labor
- PPE provided or not
- Time and payment record
keep or not.
Raise NC: Do not have permit
and Job not regulated/
allowed in Labor lease list:
Get more information to
remark in NC:
- Profile/ ID maintained to
check if having any Child/minor
labor
- PPE provided or not
- Time and payment record
keep or not.
Having
permit
Do
not
have
permit

14. Slide 14
OCCUPATIONAL TRAINING
Tips to recognize
apprentice worker
 Observation: Uniform/
employee badge,
performance in line,
 Interview: verify
Apprentice/occupational
training condition, payment
if having
 Document review: check
apprentice contract content
• Q10: Factory signed the
occupational training contract
with 2 months for sewing
apprentice
Apprentice
time
Probation
time
Not accepted
practice
After 2 months of training time, the factory
continue to applied 1 month of sewing
position for probation time
Corrected practice: After
apprentice/training time, the
factory should sign labor contract
with worker.
Law Reference: Labor law No. 45/2019/QH14 Article 61.6

15. Slide 15
PART II:
WORKING HOUR- WAGE & BENEFIT- SPECIAL WORKERS

16. Slide 16
PART II: WORKING HOUR- WAGE & BENEFIT
- SPECIAL WORKERS
 Wage calculation
 Wage in downtime period
 Overtime wage calculation
 Buffering time
 Annual leave and untaken annual leave
 Rest day
 Severance allowance
 Inconsistency find-out tips
 Female and maternity protection
 Minor workers

17. Slide 17
WAGE CALCULATION
Based on the
actual
working days
(24/25/26/27)
Based on the
actual
working days
(24/25/26 –
not excessive
26)
New
Labor
Law
Old
Labor
Law
For example: NEW Law
Worker-X has wage A, 27
days in July and worker had
worked 26 days.
Wage = A/27*26 =>
Accepted.
Law Reference: Labor Law No 45/2019/QH14, Article 98 and Decree 145/2020, Article 55

18. Slide 18
Conclusion for this Scenario:
Q1: Is this formula accepted for
Feb’s salary?
=> Accepted
WAGE CALCULATION
The wage formular:
A/26*24 for full attendance
Factory
fixed 26
for
division
Feb has
24
working
days
Wage =
A
Law Reference: Labor Law No 45/2019/QH14, Article 96 and Decree 145/2020/ND-CP, Article
54.1.a

19. Slide 19
PIECE-RATE WAGE
*** Un-production time: Training, menstruation time, evacuation drill….
Law Reference: Labor Law No.45/2019/QH14, Article 98 and Decree 145/2020, Article 54.1.b,
55.2

20. Slide 20
DOWNTIME PERIOD PRACTICE
Downtime without payment from 15th day
50% employees
disagreed
Reached another
employee
agreement
50% employee
agreed
Practice as the
agreement
Law Reference: Labor Law No 45/2019/QH14, Article 99
Q2: 50% agree, 50% not agree
with downtime without payment
from 15th day:
Case 1: If the factory applied no
payment for 100% employees, the
findings shall be raised because
there are still 50% of employee not
agree with this solution.
Case 2: 50% were not paid
because they already agreed with
the factory’s solution. And the rest
50% of workers, the factory
continue to negotiate and reach
another agreement (such as pay
10% salary) => The finding shall
not be raised.

21. Slide 21
DOWNTIME PERIOD PRACTICE
Conclusion for below Scenario:
Q3: Is this practice accepted?
=> Accepted
Law Reference: Labor Law No 45/2019/QH14, Article 30.1.1 and Official dispatch 1064/LĐTBXH-
QHLĐTL
Tough finance
situation
Planning with 14 days with
minimum wage payment
Labor contract suspending
with employees from 11th
day.
First 10 days paid by
minimum wage

22. Slide 22
Conclusion for below Scenario:
DOWNTIME PERIOD PRACTICE
Conclusion for this Scenario:
Q4: Is this practice accepted?
=> Accepted
Law Reference: Labor Law No 45/2019/QH14, Article 99

23. Slide 23
Conclusion for below Scenario:
DOWNTIME PERIOD PRACTICE
Payment of
first 14 days
< min wage
or un-paid
leave
Due to Covid
affection,
Employees
accepted
Conclusion for this Scenario:
Q5: Is this practice accepted?
=> Not Accepted
Law Reference: Labor Law No 45/2019/QH14, Article 99 and The official dispatch 264/QHLĐTL-
TL, official dispatch 2858/SLDTBXH-LDVL, Official dispatch 420/LĐLĐ-CSPL

24. Slide 24
Conclusion for below Scenario:
DOWNTIME PERIOD PRACTICE
Labor
contract
suspending
with
employees
Due to COVID-
19 pandemic
affection
Conclusion for this Scenario:
Q6: Is this practice accepted?
Accepted
- Employment relationship invalid during
suspending time, no benefits must be
provided unless benefits was agreed in
Labor contract suspending agreement.
Law Reference: Labor Law No 45/2019/QH14, Article 30.1.1. and Official dispatch
1064/LĐTBXH-QHLĐTL

25. Slide 25
OVERTIME WAGE CALCULATION
Conclusion for this Scenario:
Q7: Is this practice accepted?
=> Accepted
Not
including
OT
calculation
Captain
allowance
Vice-
Captain
allowance
OHS
allowance
(G6)
Seniority
allowance
Law Reference: Labor Law No 45/2019/QH14, Article 98 and Decree 145/2020, Article 55
.

26. Slide 26
OVERTIME WAGE CALCULATION
Including:
Skill,
Position,
Environment,
Heavy/Harmf
ul jobs,
Translation…
Including:
Seniority,
Skill,
Position,
Environment,
Heavy/Harmf
ul jobs,
Translation…
New
Labor
Law
Old
Labor
Law
Law Reference: Labor Law No 45/2019/QH14, Article 98 and Decree 145/2020, Article 55
.

27. Slide 27
BUFFERING TIME
Q: Any tips for raising the
buffering time as OT-related
finding?
Time in/out
excessive 30
mins
Employee
interview
Camera
recording
Management
requested
Law Reference: Labor Law No 45/2019/QH14, Article 98, Article 105 and Decree 145/2020,
Article 55, 56, 57

28. Slide 28
ANNUAL LEAVE (ROUNDING/CALCULATION)
Decimal
part of AL
days(A)
0<A<0.5 0.5<=A<1 Acceptance
Rounding 0 1 Yes
No change 0<A<0.5 0.5<=A<1 Yes
Working
days
Paid leave
days
At least 50%
of the normal
working days
of the month
Count 1
working
month
For example: Worker A started
working since Sep 10, 2021. Total of
working days + Paid leave days are
18 days. It is more than 50% of the
normal working days of Sep 2021
(26 days) => Count AL from this
month.
Law Reference: Labor Law No 45/2019/QH14, Article 113 and Decree 145/2020, Article 66.

29. Slide 29
ANNUAL LEAVE (UNTAKEN LEAVE DAYS)
Worker has 14 AL days
Factory has AL schedule
(Factory arranges 9
days, worker arranges 5
days)
Worker don’t use 5 AL
days
Factory has policy for
neither reserve AL nor
payment by money for
the untaken AL.
Correct or
Incorrect?
Law Reference: Labor Law No 45/2019/QH14, Article 113. Point 3.4 and Decree 145/2020, Article
67
Conclusion for this Scenario:
Q8: Is this practice accepted?
Not Accepted . The finding shall be
raised:
The policy don’t the meet legal
requirement “Combining annual leave
over a maximum period of up to 03
years”.

30. Slide 30
ANNUAL LEAVE PAYMENT
Ex: Worker A has 26 working days in Aug
2021, no use AL in this month. Worker get
the salary payment of 26 working days and
1 more AL day payment.
AL
payment
monthly
with
salary
There is the agreement between employee
and employer for this practice.
Agreemen
t with
employee
s
Employees understand about this practice.
Employee
s
Interview
Conclusion for this Scenario:
Q9: Is this practice accepted?
=> Accepted
Law Reference: Labor Law No 45/2019/QH14, Article 113.1, 113.4 and Decree 145/2020,
Article 66.1.

31. Slide 31
SEVERANCE ALLOWANCE
1/ Apprenticeship period don’t include in the time to calculate the severance
allowance.
2/ If factory paid 21.5% for employees during probation period=> No severance
allowance for this time.
3/ Severance allowance calculated based on these months which no contribution
of un-employment insurance.
Law Reference: Decree 145/2020, Article 8.3.a.

32. Slide 32
REST DAY (24 HOURS PER WEEK)
Law Reference: Labor Law No 45/2019/QH14, Article 111.
Conclusion for this Scenario:
Q10: Is this practice accepted?
=> Ensure 24h-break but not
ensure 1 day of in 7 days, Raise
NC not ensure 1 day off in 7 days
following Client requirement.

33. Slide 33
INCONSISTENCY
Signal and Sources
Bank SMS,
Employee's
interview, Ads on
Facebook
Camera/ No
camera record,
Refer recruitment
ads on media, etc
Packing/ QC/
Security/ Meal,
Wastewater,
Electrical record,
Planning records,
etc
Mismatch of
Wage and WH
Hiding the
production
records
Paid by cash but
the records are
new and the
similar signature
Q: Any tips to
find out
inconsistency?

34. Slide 34
FEMALE/ MATERNITY PROTECTION
Q11: Worker can work OT in this case? And How is payment for OT?
Law Reference: Labor law No. 45/2019/QH14. Article 137.
Circular 10/2020/TT-BLĐTBXH, art 11
Pregnancy/Raising child under
12 months workers OT
8th hour: 200%
9th hour onward:
150% and following law.
Well-informed by the employer
about hazards, dangerous or
harmful factors to reproductive
function and children raising
Agreement

35. Slide 35
FEMALE/ MATERNITY PROTECTION Conclusion for this Scenario:
Q12: Is this practice accepted?
Raise NC about the Female
policy. The factory does not have
adequate process to align among
their management system when
female workers must submit one
doc many times to different dept

36. Slide 36
JUVENILES WORKERS
Conclusion for this Scenario:
Q13: Is this practice accepted?
 Accepted if no harmful factors in
working environment inspection result
exceed legal standards .
Note: new law did not mention about
“heavy, toxic and dangerous jobs” in
prohibited jobs for juvenile workers
He is arranged
to work as
sewing worker
in
Sewing line-1
Worker-A is 17
years and 11
months.
Law Reference: Labor law No. 45/2019/QH14. Article 144. 145 and 147. Circular 09/2020/ TT-
BLĐTBXH

37. Slide 37
PART III:
SOCIAL INSURANCE

38. Slide 38
PART III: SOCIAL INSURANCE
 Subjects to the compulsory SI
payment
 Salary basis for compulsory SI
payment
 Payment time of compulsory SI
contributions
 SI contribution during period of
COVID-19 Pandemic

39. Slide 39
SUBJECTS TO THE COMPULSORY SI CONTRIBUTION
Law Reference: Social Insurance Law No 58/2014/QH13, Article 2. Labor Law No 45/2019/QH14,
Article 168.
Worker-A retired since
Aug 2020
Continue to work
under define contract
from March 02 to
June 01, 2021 (3
months)
No SI contribution due to
employee is receiving
retirement pension, not
paid 21.5% for employee
Q1: Conclusion for this Scenario: Is this practice accepted?
=> Not Accepted. Factory should pay 21.5% additionally for this employee.

40. Slide 40
SUBJECTS TO THE COMPULSORY SI CONTRIBUTION
Law Reference: The Official Dispatch 2447/LDTBXH-BHXH.
Factory
contributed
SI since
Jun 2021
Labor contract
period: May 02,
2021 - Jul 01,
2022
Probationary
period (May 02-
Jun 01, 2021)
also wrote in the
labor contract
Effective of labor
contract:
probation day
(May 02, 2021)
Q2: Conclusion for this
Scenario: Is this practice
accepted?
=> Not Accepted. SI should
contribute from May 2021.

41. Slide 41
SALARY BASIS FOR COMPULSORY SI CONTRIBUTION
Salary basis Normal
working
condition
Job or position
requires training/skill
Heavy & Harmful
conditions
Extremely Heavy
& Harmful
conditions
Minimum
monthly salary
X ≥7% * X No requirement
from 2021
No requirement
from 2021
Monthly salary
for SI payment
X ≥7% * X ≥5% * X ≥7% * X
Law Reference: Decree 90/2019/ND-CP, Article 5. Decision 595/QD-BHXH, Article 6, point 2.6.
** X: region based minimum wage

42. Slide 42
SALARY BASIS FOR COMPULSORY SI CONTRIBUTION
Law Reference: Decree 90/2019/ND-CP, Article 5. Decision 595/QD-BHXH, Article 6, point 2.6.
Q3: Sewing - worker A had
monthly basic wage as well
as amount of wage for SI
payment is 107% of
minimum wage. Any
violated?
2020: 2
violations
Wage: Lack of 5% of
heavy & harmful
allowance
SI contribution: Lack of
5% heavy & harmful
allowance
2021: 1 violation
Wage: No violation
SI contribution: Lack of
5% of heavy & harmful
allowance

43. Slide 43
PAYMENT TIME OF COMPULSORY SI CONTRIBUTIONS
SI payment
late
Before monthly
wage payment date
Accepted
After monthly wage
payment date
No Accepted
Having the waiver
from GOV
No Accepted, but
remark detail in the
NC description

44. Slide 44
SI CONTRIBUTION DURING PERIOD OF COVID-19 PANDEMIC
Law Reference: Resolution 68/NQ-CP & Resolution 116/NQ-CP
Social Insurance: 17%
Health insurance: 3%
Unemployment: 1%
(Before Oct 01, 2021)
Occupational accidents
and diseases: 0.5
(Before Jul 01, 2021)
Employer:
Total: 21.5%
Social Insurance:
17%
Health insurance: 3%
Unemployment : 0%
(From Oct 01, 2021 to
Sep 30, 2022)
Occupational accidents
and diseases : 0% ( Jul
01, 2021 to Jun 30,
2022)
Employer:
Total: 20%

45. Slide 45
TIPS FOR DETECTING NC REGARDING SOCIAL INSURANCE
Potential of
unproper
probation time/SI
joining or hidden
workers
New/current
workers list
Monthly
salary
accumulatio
n
Tracking log
of leaves
(pregnant/ra
ise child
workers)
Severance
pay
document
Resigned
workers list
SI payment
notice and
increase/de
crease
workers list

46. Slide 46
TIPS FOR DETECTING NC REGARDING SOCIAL INSURANCE
Potential of falsified
invoices/notice of SI
payment due to
insufficient/late SI
payment, wrongly
counted monthly
salary
List of
applicants for
sickness,
maternity and
convalescence
benefits.
Bank
statement of
SI payment
and workers
joining SI list
SI payment
notice data:
code of
invoices (UNC),
SI payment
amount, interest
amount)
Interview
worker/ related
staff
The types of
leaves
displayed in the
attendance
records.
Application for
occupational
accident/
disease
benefits.

47. Slide 47
PART IV:
TRADE UNION- CBA- DISCIPLINES-STRIKE

48. Slide 48
PART IV: UNION - CBA- DISCIPLINES- STRIKES
• Trade Union
• Collective Bargaining Agreements
• Labor Discipline And Material
Responsibility
• Settlement Of Labor Disputes ; Strike

49. Slide 49
COLLECTIVE BARGAINING AGREEMENTS (CBA)
Rule: The content of CBA shall not
be contrary to local law.
Q2: Is it compulsory to have the
CBA in place or renew CBA when it
is expired?
Answer: Not compulsory
Law Reference: Labor Law No. 45/2019/QH14, Art. 75 . Art 78. Art. 83
An
agreement
Requests
CBA

50. Slide 50
Q3: During checking provided payrolls OR notices found in workshop, it is noted that disciplinary
violation shall be deducted into Bonus. Is this accepted?
Answer:
 After reviewing Deduction Policy to make sure No deducting the employee’s salary wage,
Raise finding if the violation deduction is higher than the additional allowance (Bonus) provided
by employer.
LABOR DISCIPLINE
Deduction
Policy
No deducting
the employee’s
salary wage.
Comparison
Law Reference: Labor Law No. 45/2019/QH14, Art. 127

51. Slide 51
LABOR DISCIPLINE
Law Reference: Labor Law No. 45/2019/QH14, Art.124, 125
Disciplinary measure of
Prolonged period for
wage increase in 6
months on Aug 1, 2021
Increase salary yearly on
Jan 1
Delay the increase
salary until Jul 1, 2022
Repeat the violation ->
Prolonged period for
wage increase before
the previous disciplinary
finished
Dismiss an employee for
this disciplinary reasons
Q4: When will Worker-A get wage increasing if he receives a wage disciplinary measures of
prolonged period for wage increase ?

52. Slide 52
LABOR DISCIPLINE
Law Reference: Labor Law No. 45/2019/QH14, Art.122
Delay
disciplinary
Worker raising a
child of 6 months
Disciplinary
decision on Nov
1, 2020
Prolonged period for
wage increase in 6
months
Disciplinary
action after May
1, 2021
Until her child
enough 12 months
Q5: Is it accepted to take disciplinary action immediately on female nursing child under 12
months?

53. Slide 53
MATERIAL RESPONSIBILITY
Q6: The workers who lost employee card because of his/ her own fault had to pay fee to get new one.
The factory deducted these employees VND 80,000 in cash. Is it accepted?
Answer:
Interview employees
and management.
Card Deduction
logbook, Receipts from
employees, supplier
receipts, the internal
labor regulations or the
responsibility contract
Raise Finding: Excessive
deduction compared to
supplier receipt
Raise finding if lacking
supplier receipt to define
amount of deduction.
Law Reference: Labor Law No. 45/2019/QH14, Art.129

54. Slide 54
SETTLEMENT OF LABOR DISPUTES ; STRIKE
Q7: The facility did not increase wage level as its Wage level increment policy. Therefore,
the whole employees in Workshop-1 did not agree on this and had decided to stop working
for 1 day (8h) without following the strike procedure. Is that workers will be paid for the
time they participate in strikes?
Law Reference: Labor Law No. 45/2019/QH14, Art. 207
Illegal
strike
Legal
strike
No
payment
Paid work
suspension
allowance
Employees who
do not take part
in the strike but
have to
temporarily stop
working due to
the strike

55. Slide 55
SETTLEMENT OF LABOR DISPUTES ; STRIKE
Q8: After the strike, the facility decided to dismiss as a disciplinary action employees who took
part in the strike. Is this accepted?
Answer:
Law Reference: Labor Law No. 45/2019/QH14, Art. 125. Art 208
Illegal strike
Acceptable
Applied the Disciplinary measures as
the defined in internal company
regulations.
Legal strike
No acceptable
Prohibited acts:
Terminating employment contracts,
disciplining or reassigning employees
or strike leaders

56. Slide 56