If collective bargaining fails, can a lawsuit be filed in Vietnam? What are collective bargaining procedures in Vietnam?

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Question date: 06/12/2022

If collective bargaining fails, can a lawsuit be filed in Vietnam? What are collective bargaining procedures in Vietnam? 

At my company, there is currently a conflict between the employees and the company, the collective bargaining will be conducted in the near future. Please ask, if collective bargaining fails, can the employee's representative file a lawsuit?

    • 1. If collective bargaining fails, can a lawsuit be filed in Vietnam?

      Pursuant to Article 71 of the 2019 Labor Code, there are provisions on failed collective bargaining as follows:

      1. A collective bargaining is considered failed in any of the following circumstances:

      a) A party refuses to participate in the collective bargaining or the collective bargaining is not held within the time limit specified in Clause 1 Article 70 of this Labor Code;

      b) An agreement cannot be reached within the time limit specified in Clause 2 Article 70 of this Labor Code;

      c) The parties declare that the collective bargaining has failed before expiration of the time limit specified in Clause 2 Article 70 of this Labor Code.

      2. In case the bargaining fails, the parties may initiate labor dispute settlement procedures as prescribed in this Labor Code. During the labor dispute settlement, the representative organization of employees must not call a strike.

      Thus, according to the above provisions, when the parties fail to reach collective bargaining, they must carry out procedures for labor dispute settlement that cannot yet initiate a lawsuit in Vietnam.

      2. What are collective bargaining procedures in Vietnam?

      According to Article 70 of the Labor Code 2019, collective bargaining procedures are as follows:

      1. Whenever collective bargaining is requested by a representative organization of employees in accordance with Article 68 of this Labor Code, the requested party must not refuse to hold the collective bargaining.

      Within 07 working days from the day on which the request and the agenda are received, the parties shall agree upon the location and starting time for the bargaining.

      The employer shall prepare time, location and other conditions for holding collective bargaining meetings.

      The collective bargaining must be held within 30 days from the day on which the request is received.

      2. The duration of a collective bargaining must not exceed 90 days from its starting day, unless otherwise agreed by the parties.

      The employees’ representatives shall be fully paid for the time spent participating in the collective bargaining meetings. The time a member of the representative organization of employees spends participating in the collective bargaining meetings shall not be included in the time specified in Clause 2 Article 176 of this Labor Code.

      3. During the course of collective bargaining, if the employee’s party requests the employer’s party to provide information on the business performance and other information relevant to the collective bargaining issues, with the exception of business secrets, technological know-how of the employer, such information must be provided within 10 days from the day on which such request is received.

      4. Other representative organizations of employees may discuss with the employees about the contents, methods and results of the collective bargaining.

      The representative organization of employees may decide the time, location and method of discussion or survey as long as it does not affect the enterprise’s normal business operation.

      The employer must not obstruct or interfere with the discussion or survey held by the representative organization of employees.

      5. Minutes of the bargaining meeting must be taken and it must specify the issues which have been agreed upon by the parties and issues that remain controversial. The minutes shall bear the signatures of the parties and the record maker. The representative organization of employees shall make the minutes of the collective bargaining available to all employees.

      According to this Article, the collective bargaining will be carried out according to the above process in Vietnam

      Best Regards!

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    "This English translation is for reference purposes only and not a definitive translation of the original Vietnamese texts"

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