The work seniority for which severance pay has been offered previously (if any) shall be no longer used as the basis for calculation of redundancy pay later on (Clause 5 Article 1).
In addition, with regard to severance pay, these periods for which redundancy pay shall be no longer offered: probation, internship and apprenticeship periods; period during which an employee is detained or jailed away from work and after which he/she is permitted to come back to work on account of the competent authority’s reaching the conclusion that he/she is not guilty.
With regard to the period of participation in unemployment insurance which is subtracted upon calculation of severance pay, redundancy pay, according to the supplements at this Decree, the period which is considered to be the period of unemployment insurance premium payment as prescribed by law shall be also subtracted.
However, there are some additional periods for which severance pay shall be offered such as: the period for treatment and rehabilitation of ability to work after suffering from occupational accident and disease and the period an employee left his/her work to perform duties of a citizen.
Regarding time limit for settlement of benefits of employer and employee upon termination of the labor contract, Clause 8 Article 1 of this Decree allowed enterprises to extend the time limit for payment to 30 days in some special cases such as: merger, consolidation, division, separation of enterprise, cooperative, ownership transfer or property use right transfer as prescribed in Article 45 of the Labor Code."
In addition, salary which is used as the basis for compensation upon illegal unilateral termination of the labor contract is specified that it is the salary under the labor contract at the time when the employer or the employee illegally unilaterally terminates the labor contract (Clause 10 Article 1).
This Decree takes effect from December 15th, 2018.
Clause 7 and Clause 1, Clause 3 Article 10 of Circular No. 47/2015/TT-BLDTBXH dated November 16th, 2002 shall be abolished.
However, Clause 5 Article 2 of this Decree specifies that during employees taking parental leaves with childbirth and adoption benefits, their contributions to health insurance shall be paid by social insurance agencies, enterprises shall be exempt from appropriating money to contribute to health insurance.
Regarding health insurance contribution rate, it is still 4.5% of the employee’s monthly pay. In addition, this Decree specifies that when an employee enters into multiple employment contracts, he/she shall be bound to pay the health insurance contribution rate determined on the basis of the employment contract under which the highest pay is agreed upon.
Regarding the payment of health insurance benefits, according to Clause 3 Article 14 of this Decree, in case where a health insurance card holder visits an inappropriate-level healthcare establishment at his/her discretion, and then is referred to another healthcare establishment by the receiving healthcare establishment, he/she shall be paid the health insurance fund’s coverage at the coverage rate specified in clause 3 of Article 22 in the Law on Health Insurance.
This Decree takes effect from December 1st, 2018.
This replaces Decree No. 105/2014/ND-CP dated 15th, 2014; Joint Circular No. 41/2014/TTLT-BYT-BTC dated November 24th, 2014; Joint Circular No. 16/2015/TTLT-BYT-BTC dated July 2nd, 2015; Article 8 and Clause 2 Article 9 of Decree No. 151/2016/ND-CP dated November 11th, 2016; Clause 6 Article 11, point c Clause 1 and Clause 2 Article 12 Circular No. 40/2015/TT-BYT dated November 16th, 2015.
One of the noticeable amendments of this Decree is to allow enterprises to use “alternative financial plan” in order to prove that they have minimum financial source (equivalent to SDR 80,000) when they apply for an international multimodal transport business license (Clause 2 Article 1).
The international multimodal transport business license shall be issued by the Ministry of Transport.
In addition, duration for grant of the international multimodal transport business license is reduced from 7 working days to 5 working days or 3 working days (for the case of re-grant) (Clause 3 Article 1).
This Decree takes effect from the date of promulgation. To abolish Chapter 3 of Decree No. 87/2009/ND-CP dated October 19th, 2009 and Decree No. 89/2011/ND-CP dated October 10th, 2011.
In addition, according to Clause 2 Article 2 of this Decree, foreign workers shall be also exempt from participation in compulsory SI in Vietnam when they are "intra-company transferees” as stipulated in Clause 1 Article 3 of Decree No. 11/2016/ND-CP or they “reach retirement age”.
SI contribution rates and benefits with regard to foreign workers are basically similar to those applied to Vietnamese workers. However, firstly, employers shall make a SI contribution in proportion to 3% of each foreign worker’s payroll, on which the social insurance payment is based, to pay into the sickness and parental insurance benefit fund and 0.5% of the payroll to pay into the occupational accident and disease benefit fund.
With regard to 22% paid into the retirement and death insurance benefit fund (employers pay 14% and foreign workers pay 8%) shall be only carried out from January 1st, 2022 (Article 13).
In case a foreign worker enters into multiple employment contracts, both the employee and the employer shall only have to pay SI contributions as agreed upon in the first employment contract. If wishing to participate in the occupational accident and disease insurance fund, the employee shall be required to pay SI contributions per each employment contract (Clause 4 Article 13)
Because foreign workers shall pay to retirement fund by 2022, thereby the retirement benefit shall be only calculated from 2022. Entitlement conditions and rates are similar to those given to Vietnamese workers. Particularly, with regard to one-off SI benefit entitlement, foreign workers must not wait for 1 year but they may receive one-off SI benefit entitlement right after their employment contracts are terminated (Article 9).
This Decree takes effect from December 1st, 2018.
The regulations provided in Article 9 (retirement benefit) and Article 10 (death benefit) of this Decree shall enter into force from January 1st, 2022.
5. Decree No. 168/2017/ND-CP on business of hotels and tourist accommodation establishments.
6. Decree No. 79/2012/ND-CP (which has been amended at Decree No. 15/2016/ND-CP) on performances; production of audio and video recordings of art performances.
7. Decree No. 103/2009/ND-CP on dancing - hall and karaoke bar activities, electronic games
Accordingly, with regard to film production business, the legal capital shall be reduced from VND 1 billion (Article 11 of Decree No. 54/2010/ND-CP) to VND 200 million (Article 3).
With the business of hotels and tourist accommodation establishments, some conditions are also removed such as having electricity and clean water supply system; having manager and staff that must be provided with training in tourism, etc.(Article 5).
With regard to dancing-hall and karaoke bar activities, some conditions relating to planning, light, volume of sound, business location, etc. are removed (Article 7).
This Decree takes effect from the date of its signing.
Accordingly, this Decree increased the minimum fine level between VND 60,000,000 to VND 80,000,000 imposed on any enterprise that has the acts: Requesting a prospective participant to deposit or pay a certain amount of money in any way to be eligible to enter into a multi-level marketing contract; paying money or other economic benefits to a participant in compensation for his/her recruitment of new distributors without consideration of his/her sale of products to recruited distributors, etc.
If an individual operating the multi-level marketing network commits the aforesaid acts, a fine is between VND 15,000,000 to VND 20,000,000 shall be imposed. The fine under the earlier regulations was between VND 3,000,000 to VND 5,000,000.
The organization of conferences, introduction of multi-level marketing network without obtaining the multi-level marketing network registration certificate, on which the fine shall be also increased to between VND 30,000,000 to VND 40,000,000.
Especially, this Decree also adds regulations on imposing a fine from VND 40,000,000 to VND 50,000,000 on the act of maintaining more than a multi-level marketing contract, position for a participant and implementing sales promotion program using multi-level network in which a participant has more than a position.
This Decree takes effect from November 25th, 2018.
Similar to the earlier regulations, under this Decree only holders of certificates of eligibility are eligible to provide motor vehicle inspection services.
In addition, under the new regulations, organizations performing motor vehicle inspection services must be legally and financially independent from providers of auto transport services, services of motor vehicle care and repairs.
The legal and financial independence shall be interpreted as follows:
+ not affiliated to a superior body;
+ the provider of auto transport services, services of motor vehicle care and repairs does not hold more than 10% of shares or stakes of the inspection organization.
This Decree takes effect from January 1st, 2019 and replaces Decree No. 63/2016/ND-CP dated July 1st, 2016.
5. Decree No. 18/2015/ND-CP regarding environmental protection requirements for used ship breaking facilities.
6. Decree No. 38/2015/ND-CP regarding requirements pertaining to storage warehouses of imported discarded materials, storage area of imported discarded materials.
7. Decree No. 60/2016/ND-CP regarding licensing requirements for groundwater drilling; requirements regarding the professional personnel of the organizations getting involved in implementation of basic water resource investigation or planning programs or projects.
8. Decree No. 104/2009/ND-CP regarding competence to formulate and provide additional regulations on petrol, oil, gas, hazardous chemicals and dangerously toxic chemicals.
9. Decree No. 201/2013/ND-CP regarding requirements pertaining to organizations or individuals executing groundwater exploration projects.
10. Decree No. 45/2015/ND-CP regarding requirements pertaining to organizations that provide topographic and cartographic services.
11. Decree No. 38/2016/ND-CP regarding conditions for an organization to carry out hydro-meteorolosical forecast and warning activities.
This Decree takes effect from the date of its signing.
In addition, the time limits for issuance of licenses to establish and operate education and training institutions are also reduced. Accordingly, the time limit for issuance license for establishment of a kindergarten is reduced from 15 days to 5 days; the time limit for issuance license for establishment of primary school or secondary school is reduced from 20 days to 5 days (from the day on which assessment results are given).
This Decree takes effect from November 20th, 2018.