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On January 16, Vietnam General Confederation of Labor issued the Resolution on supporting the trade unionists and employees whose working hours are reduced or labor contracts are terminated because the enterprises are cut and reduced orders.

The Resolution was issued by Vietnam General Confederation of Labor in the context that from September 2022 up to now, many enterprises have met with difficulties due to the cut or reduced orders, leading to a large number of trade unionists, employees have their working hours reduced, their labor contracts terminated, seriously affecting jobs, incomes and the life of many trade unionists, employees and their families.

The trade unionists and employees at the enterprises, co-operatives who paid the trade union fees before September 30, 2022, whose working hours are reduced or labor contracts are terminated are eligible for support.

Accordingly, the employees who are trade unionists working under the labor contract regime, are reduced their daily working hours, reduced the number of working days in a week or a month (except for the case of reduction of overtime hours), or are suspended from work for 14 days or more during the period from October 1, 2022 until March 31, 2023, have income in any one month equal to or lower than the regional minimum wage as regulated in the Decree No. 38/2022/ND-CP, are supported once with an amount of 1,000,000 VND/person.

The employees who suspend the performance of the labor contract or take unpaid leave within the term of the labor contract from 30 consecutive days or more (except for the case where the employees suspend the performance of the labor contract, take unpaid leave due to personal reasons), from October 1, 2022 until March 31, 2023 and the time to start suspending the performance of labor contract, taking unpaid leave from October 1 2022 until March 31, 2023, are supported once with an amount of 2,000,000 VND/person.

In the case that the employees who are the trade unionists terminate the labor contract from October 1, 2022 until March 31, 2023 (unless the employees unilaterally terminate the labor contract illegally, are disciplined for dismissal, agreeing on the probation content stated in the labor contract but the probation fails to meet the requirements or one party cancels the probation agreement, gets pension, monthly incapacitation allowance) but are not eligible for unemployment allowances, are supported once with an amount of 3,000,000 VND/person.

Vietnam General Confederation of Labor stated that the support ensures the right beneficiaries, publicity and transparency, so that no exploitation or profiteering occurs during the implementation. Each trade unionists and employee is entitled to a one-time support in cash.

In the case that the trade unionists and employees are eligible for many different support policies under this Resolution, they will only be entitled to the policy with the highest level of support.

The trade unionists and employees who have been entitled to a low level of support, then changed to the beneficiary of a higher level of support, will continue to get the difference between the two levels of support.

In the case that the trade unionists and employees are eligible for support under this Resolution but have received similar support from the trade union levels before the effective date of this Resolution with a lower rate under this Resolution, continue to get the difference between the two support policies.

The employees who are not trade unionists are entitled to a support level equal to 70% of the support level for the employees who are trade unionists.

The employees who are not the trade unionists but are female employees from full 35 years old or older, pregnant female employees, employees who are feeding biological or adopted children or taking care of children under 6 years old (support for only 1 person who is mother or father or substitute care person) are entitled to the same level of support as trade unionists.

The expenditures for supporting the trade unionists and employees are paid from the financial sources of the grassroots superior trade union. Specifically, assign the grassroots superior trade union to make expenditures from the reserve fund and use the existing regular operation fund.

If the grassroots superior trade union can not balance the source, the Labor Confederation of the province, city; Central Sector Trade Union and equivalent; The Trade Union of the Corporation directly under Vietnam General Confederation of Labor shall make compensation for the grassroots superior trade union.

The Labor Confederation of the province, city; Central Sector Trade Union and equivalent; The Trade Union of the Corporation directly under Vietnam General Confederation of Labor has a regular operating fund balance at level 2 and level 3 up to the time of support payment less than 15 billion VND, report to the Standing Committee of the Presidium of Vietnam General Confederation of Labor for consideration and support.

The deadline for receiving dossiers is March 31, 2023 at the latest, completing the support procedures for the trade unionists and employees on May 30, 2023 at the latest.