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The disputing parties can choose Arbitration for settlement of:

• Disputes arising from commercial activities;
• Disputes in which at least one of parties conducts commercial activities; and
• Other disputes which are stipulated by Vietnamese laws to be settled by Arbitration.

In comparison with Court, Arbitration can be considered a better choice for some following reasons:

• Simpler and clearer procedures with less steps to come to final decisions;
• Time saving for disputing parties to resolve their problem;
• The parties can choose a language other than Vietnamese if there is foreign elements in the dispute; and
• The parties can also mutually agree to choose Arbitration Centers, Arbitrators and venue for dispute settlement.

Yes, there are. The parties whom would like to settle their dispute by Arbitration have to satisfy the requirements as follows:

• The parties have an Arbitration agreement, either before or after a dispute arises;
• The dispute arises from commercial activities or at least involves one party to be a commercial entities;
• The Arbitration agreement must be made in writing or other forms considered as written form by laws; and
• The parties agree to choose an active Arbitration Center along with its set of Arbitration rules.

An Arbitration agreement should be made in the form of an arbitral clause in a contract or separate agreement. According to the law, Arbitration agreement must be in written form, the agreement in following cases can also be acceptable:

• Agreement made through communication between parties by telegram, fax, telex, email or other forms prescribed by laws;
• Agreement made through exchange of written information between parties;
• Agreement recorded in writing by a lawyer, notary or competent institution due to the request of parties;
• In transactions, the parties make reference to a document which contains an Arbitration agreement. This document can be a contract, a receipt or invoice, the company charter or other similar documents; and
• Agreement reflected in exchange of petitions and self-defense statements between disputing parties. While such agreement is proposed by a party, the other do not deny its existence.

An Arbitration agreement is considered as invalid in the following cases:

• Disputes do not belong to the competence of Arbitration;
• The agreement maker has no competence as prescribed by laws;
• The agreement maker has no civil act capacity under the Civil Code;
• The form of the Arbitration agreement is not in writing or other acceptable form under laws;
• A party is deceived, intimidated or compelled in the time of making the Arbitration agreement. This party has to request for a declaration that such Arbitration agreement is invalid; and
• The Arbitration agreement violates prohibitions under laws.

Any Arbitration agreement in the following cases can be unviable:

• The chosen Arbitration center has shut down without any Arbitration center to take over the case. At the same time, the disputing parties fail to reach an agreement on choosing another Arbitration center.
• Due to force majeure events or objective difficulties, the chosen arbitrator cannot participate in the case, or the Arbitration center cannot find a substitute arbitrator. At the same time, the disputing parties also fail to reach an agreement to select the arbitrator.
• Despite of the parties’ appointment before dispute, the chosen arbitrator or the Arbitration center refuses the arbitrator appointment. At the same time, the disputing parties also fail to reach an agreement to select a substitute arbitrator.
• The parties have chosen a specific Arbitration center but with a set of Arbitration rules of another center. The charter of the selected Arbitration center does not allow the application of any Arbitration rules other than of its own. At the same time, the parties also fail to reach an agreement on substitute set of Arbitration rules.
• The seller and consumers have an overall agreement on goods and services which contain Arbitration terms drafted by the seller. However, the consumers refuse to settle the dispute by Arbitration.

No, it’s not. Normally, if there is an Arbitration agreement but one of parties initiates a lawsuit at Court, the Court shall refuse the case. However, the Court may accept such case if that agreement is invalid or unviable under laws.

There are other ways to settle a dispute even if there is an Arbitration agreement between disputing parties. At any stage of the dispute, the parties may freely negotiate and agree with each other on the settlement. Besides, the parties can also request an Arbitration council to conduct conciliation for them to settle such dispute. In case the above agreement is invalid or unviable under laws, any of the parties can take the dispute to Court for settlement.

Language choice in arbitral proceedings shall base on the element of the disputes, which are as follows:

• For disputes involving no foreign element, the language in arbitral proceedings is Vietnamese. If a disputing party cannot use Vietnamese, they may use an interpreter.
• For disputes involving foreign elements or a foreign-invested enterprise, the parties shall reach agreement on the language in arbitral proceedings. If they have no such agreement, the Arbitration council shall decide the suitable language.

No, you mustn’t. If both parties mutually agreed to choose a foreign Arbitration center, this center shall take part in the dispute settlement. Such agreement and proceedings at the foreign Arbitration center are required to follow Vietnamese regulations on Commercial Arbitration.

The dispute involving no foreign element shall apply Vietnamese law.

The dispute involving foreign elements shall apply the law chosen by the parties. If the parties have no agreement on the applicable law, the Arbitration Council shall decide to apply the most appropriate law.

The international custom shall be applied when the dispute contains no specific provisions concerning the dispute. However, such international custom must not contravene the fundamental principles of Vietnamese law.

Arbitration proceedings shall be proceeded as follows:

1. The plaintiff to file the petition, appoint Arbitrator and pay Arbitration fee;
2. The Arbitration Center to notify to the defendant about the petition;
3. The defendant to send the self-defense to the Arbitration Center and appoints the Arbitrators;
4. The Arbitration Council to be established;
5. The Arbitration Council to summon the parties to the hearings of dispute settlement; and
6. The Arbitration Council to makes an arbitral award which is final and enforceable.

The Arbitration fees that disputing parties must pay for including:

1. Remuneration, travel expense and other expenses for arbitrators;
2. Expert consultation and other assistance fee as Arbitration council’s request;
3. Administrative fee;
4. Fee for appointing ad hoc Arbitrators of the Arbitration Center due to disputing parties’ request;
5. Other services fees provided by the Arbitration Center.

A party may bear the Arbitration fee based on its part of request that the Arbitrators did not agree on the case.

You can generally estimate the Arbitration fee through the fee package publicly offered by an Arbitration Center.

Yes, it is.

Yes, they can.

Yes, they can. The parties can bring the dispute to court when:

(i) The Arbitration Center terminated its operations without any other Arbitration Center to take over; and

(ii) The parties cannot agree another Arbitration Center for their case.

The disputing parties may request Arbitration Council to apply interim urgent measures under prevailing laws. Those measures could be:

1. Prohibiting any change in the status of assets under dispute;
2. Prohibiting or forcing any disputing party to commit one or more certain acts to prevent acts which adversely affect the process of arbitral proceedings;
3. Distraining assets under dispute;
4. Requesting preservation, storage, sale or disposal of any asset of one disputing party or all disputing parties;
5. Requesting temporary money payment between the parties; or
6. Prohibiting transfer of the rights to assets under dispute.

Yes, they can. The parties can make an agreement to set time and location for dispute settlement meeting. Without agreement, or rule of proceedings of Arbitration Center, Arbitration Council will decide on time and location.

Yes, it can.

Dispute will be suspended in 5 following cases:

1. The individual plaintiff or defendant is dead without any heir of his/her rights and obligations:
2. The agency, organization plaintiff or defendant under following cases but no agency or organization has accepted rights and obligations of it: (a) Has terminated its operation; (b) Gone bankrupt; (c) Has been dissolved, consolidated, merged, divided, separated or conversed form of enterprise.
3. The plaintiff withdraws petition or is regarded as having withdrawn petition, unless the defendant requests to proceed dispute settlement;
4. The parties agree to terminate the dispute settlement;
5. A court has decided that:

• • The dispute falls beyond Arbitration Council’s jurisdiction; or
  • There is no arbitration agreement, or the arbitration agreement is invalid or impossible.

Yes, they can.

Yes, they can. One party can request Arbitration Council to:

1. Correct obvious spelling errors, figures due to mistake or miscalculation in award; and
2. Explain the details of award.

The requesting party must immediately notify the other party about such correction and explanation request. This request can only be made within 30 days from the date of receiving award, unless otherwise agreed by parties.

The arbitral award is final and takes effect on the date of its signing. Parties do not have right to appeal against this award.

A Court will consider cancelling an arbitral award at the request of one party in 6 following cases:

1. There is no arbitration agreement or the arbitration agreement is invalid;
2. Arbitration Council’s members or arbitral procedures do not comply with the agreement of parties or Law on Commercial Arbitration;
3. Dispute falls beyond the Arbitration Council’s jurisdiction. If an arbitral award contains the details falling beyond the arbitration council’s jurisdiction, such details shall be cancelled;
4. Evidences provided by the parties on which the arbitration council bases to issue the award is counterfeit;
5. Arbitrator receives money, assets or other benefits from one disputing party, thus affecting the objectivity and fairness of the award;
6. The award breaks the basic principles of Vietnamese law.

In principle, arbitration award is final. The award will not be appealed or protested by another agency. This mean the parties cannot file the dispute to the Court after issuance of arbitration award. However, if the award is canceled under law then the parties can begin as a new case. As a result, the parties can bring it to court if satisfying the conditions.

To register a marriage, a man and a woman must satisfy the following conditions:

• The man is 20 years old or above, the woman is 18 years old or above;
• The man and woman decide their marriage voluntarily;
• The man and woman has their own civil act capacity; and
• The marriage is not in any of the following cases:

1. 1. Sham marriage or sham divorce;
   2. Underage marriage, forcing a person into marriage, deceiving a person into marriage, obstructing marriage;
   3. A married person getting married to or cohabitating as husband and wife with another person, and vice versa; and
   4. Getting married or cohabitating as husband and wife between: people with direct blood relationships; relatives within three generations; adoptive parents and adopted children; former adoptive parents and adopted children; fathers in law and daughters in law; mothers in law and sons in law; or stepparents and stepchildren.

No, it doesn’t. However, according to current laws, the State shall not recognize marriage between individuals of the same sex.

The following person has the right to request the Court to annul an illegal marriage:

• The person being forced or deceived into a marriage can request by himself.
• Such person can also propose a person or an organization listed as follows to request the Court:

1. 1. The spouse of a married person who gets married to another person; parent, child, legal guardian or another legal representative of a person who gets married illegally;
   2. The State management authority in charge of family;
   3. The State management authority in charge of children; and
   4. The women’s union.

• Any person, agency or organization if detecting an illegal marriage can request the organization mentioned in (ii), (iii), (iv).

Living together and having a sexual relationship as husband and wife without marriage registration shall lead to certain consequences as follows:

• They have no rights and obligations of husband and wife.
• If registering for marriage later then, their marriage relation shall be established from the time of marriage registration.
• Property relations, obligations and contracts between them shall be settled based on their agreement. In case there is no agreement, the settlement shall comply with provisions of Civil Code and other relevant laws.
• The settlement of property relations must ensure lawful rights and interests of the woman and children. Housework and other related works to maintain the cohabitation shall be regarded as income-generating work.

A wife shall share responsibilities for certain transactions made by her husband as follows:

• Transactions serving their family’s essential needs.
• Transactions arising from representative relations between them.

There are two kinds of property regimes between husband and wife which are: regime under law and regime under agreement. Law on Marriage and Family gives husband and wife the right to freely choose the suitable regime for them.

Yes, they should. In accordance with Law on Marriage and Family, spouses should agree with each other before disposing of their common property.

Spouses must reach a written agreement on the disposition of certain types of common property as follows:

• Real estate;
• Movable property which need ownership registration according to provisions of law; and
• Property which is the major income-generating source for the family.

It depends on what property you are mentioning. One kind of common property which needs registration for both names is land use rights. Besides, if there are any provisions require the property registration for common use or ownership, you have to follow those.

For a common property which needs registration for ownership under law, both spouses shall be named in the Certificate, unless otherwise agreed by the spouses.

Husband and wife must share the common property obligations as follows:

• Obligation arising from transactions established under their agreement;
• Obligation to pay damages under their joint liability as prescribed by law;
• Obligation performed by a spouse in order to meet the family’s essential needs;
• Obligation arising from the possession, use and disposition of common property;
• Obligation arising from the use of private property to maintain and develope common property or create major incomes for the family;
• Obligation to pay damages caused by their children as prescribed by the Civil Code; and
• Other obligations as prescribed by relevant laws, if any.

Yes, they can.

Division of common property during the marriage period shall be invalid when:

• It seriously does harm to:

1. 1. The family’s interests;
   2. Lawful rights and interests of minor children;
   3. Lawful rights and interests of adolescent children who have lost civil act capacity or have no working capacity and no property to support themselves.

• It aims to avoid the obligations of:

1. 1. Raising and supporting;
   2. Compensating damages;
   3. Repaying when being declared bankrupt by a court;
   4. Repaying debt for individuals or organizations;
   5. Paying tax or other financial obligations toward the State;
   6. Other property obligations as prescribed by Law on Marriage and Family, Civil Code and other relevant laws.

Yes, you can. In that case, you must make a written with your spouse to record the agreement. Our lawyers can help you prepare such agreement and make in a form as requested by law to be valid for using.

Yes, it could, if you and your spouse agree to merge them to your common properties.

Under the prevailing law of Vietnam, a couple establishes a pre-marriage agreement (or a prenuptial agreement/ a prenup/ an antenuptial agreement/ a premarital agreement) to determine their property regime before registering marriage. Such document must have some main contents as follows:

(i) Properties determined as common property and private property of the husband and wife;

(ii) Their rights and obligations toward common and separate properties and related transactions. Properties to meet the family’s essential needs;

(iii) Conditions, procedures and principles of property division upon terminating the property regime; and

(iv) Other related contents.

Of note, a pre-marriage agreement must be made in a required form to be valid. Let our attorneys help you on this document.

Yes, you should. Pre-marriage agreement (or a prenuptial agreement/ a prenup/ an antenuptial agreement/ a premarital agreement) is a very important document to determine common property and private property of the husband and wife. In case of divorce, a court shall consider such document to settle your demand on private properties.

Of note, after marriage registration, you and your spouse have right to change or add terms of the established pre-marriage agreement.

A pre-marriage agreement (or a prenuptial agreement/ a prenup/ an antenuptial agreement/ a premarital agreement) is considered as invalid if:

(i) Not complying with conditions on effect of transactions prescribed the Civil Code and other relevant laws.

(ii) Violating the regulations on:

• • General principles of property regime of spouses;
  • Rights and obligations of spouses to meet family’s essential needs;
  • Transactions related to the home being the sole domicile of spouses; or
  • Transactions with third parties in good faith related to bank accounts, securities accounts and other movable assets without registration for ownership or use.

(iii) Seriously violating the rights to be supported and inherit and lawful rights of parents, children and other family members.

Followings are subjects have right to request Court to settle for divorce:

1. Husband, wife, or both of them;
2. Parents and other relatives can request when the husband or the wife is:

• • Unable to perceive and control his/her acts due to a mental disease or another disease; and
  • Concurrently a victim of domestic violence caused by his/her spouse which seriously harms his/her life, health or spirit.

No, (s)he cannot. The reason is a husband cannot request for divorce in case of his wife is in 03 following cases:

1. Pregnant;
2. Giving birth; or
3. Nursing an under-12-month child.

Court will recognize a consent divorce in case of:

1. Both husband and wife request for divorce;
2. They are willing to divorce; and
3. They reached an agreement on the following matters based on ensuring the legitimate interest of the wife and children:

• • Property division; and
  • Obligations on looking after, raising, caring and educating children.

Yes, (s)he can. A Court shall resolve for divorce in the following cases:

(i) In case the husband or wife requests for divorce:

• The Court already hold a mediation to reunite the couple but is failed; and

• There is any evidence showing that a spouse commits domestic violence or seriously violates rights and obligations of husband or wife. These acts lead the marriage in serious conditions, the common life no longer impossible and marriage purposes unachievable.

(ii) A spouse of the missing person to request for divorce.

The marriage terminates when:

1. Date of divorce judgement or decision of Court takes legally effective.
2. Death time of a spouse or the death date stated in judgement or decision of Court.

Generally, property division depends on agreement of the spouses. If there is no agreement, or agreement is not complete or clear, Court shall divide property pursuant to following principles:

(i) Private property shall be under husband or wife ownership, except for private property already merged into common property.

(ii) Common property of husband and wife is divided into 2 equal parts. Of note, the following factors must be considered:

• Family circumstance of the husband and wife;

• Contributions of each spouse to the creation, maintenance and development of common property. The housework in the family by a spouse shall be considered as labor generates income;

• Protecting legitimate interests of each spouse in their production, business and career for continuing working to make incomes;

• Faults of each spouse in violations of spousal rights and obligations.

Common properties of husband and wife shall be divided in kind. If it is impossible to be divided in kind, common properties shall be divided based on its value. A spouse who receives property in kind with a value greater than the part (s)he receives shall pay value difference to the other.

(iii) Protecting lawful rights and interests of these following subjects:

• Wife;

• Minor children; or

• Adult children who have lost their civil act capacity or have no working capacity and no property to support themselves.

The division of land use rights being common properties of spouses upon divorce as follows:

(i) For agricultural land under annual crops or aquaculture:

• If both spouses have need and conditions to directly use land, the division shall follow their agreement. If they fail to reach agreement, they may request Court to settle basing on regulations of property division principles.

• In case only a party has need and conditions to directly use the land, (s)he can continue to use the land. Then, such party shall pay to the other the value of the land use right they enjoy.

• If the spouses’ land use right together with their household, their portions shall be separated and divided as above.

(ii) Land use rights for agricultural lands planted with perennial crops, forestry land and residential land shall be divided under property division principles.

(iii) The division of land use right for other land types must comply with the land law.

The spouse carrying out business activities related to common property can receive that property. Then (s)he shall pay the other the property value that (s)he enjoys, unless otherwise prescribed by business law.

• For the person not directly raising the child: (S)he can visit the child without any obstruction. However, (s)he cannot abuse this right to interfere with or adversely affect the care, nurturing and education of the child. In addition, (s)he is responsible for the support obligation to the child.
• Rights and obligations of the person directly raising the child to the other: (S)he can request the person not directly raising their child to fulfill the obligations as above. On the other hand, (s)he cannot obstruct the rights of visiting, caring for and educating the child of the other.

Unless otherwise regulated by a law, Court will settle the common property in this case as follows:

1. The surviving person shall manage common property. Another person can manage this property if he is pointed by the will or agreement of the heirs.
2. In case there is a request for dividing property, the common property shall be divided into 2 equal parts. If they have agreement on property regime, the division depends on such agreement. Court shall divide the property portion of the dead according to the inheritance law.

If the property division seriously affects life of the surviving spouse and his/her family, (s)he can request Court to restrict division pursuant to the prevailing Civil Code.

When a spouse who was declared to be dead returns, the relationship and property will be resolved as follows:

(i) Regarding personal relation:

• If his/her spouse has not got married to another person, their marriage shall be restored from the marriage time.

• In case there is Court’s decision permitting divorce at the request of a spouse, such decision remains legally valid. In case that person has got married to another person, the marriage relation established later is legally effective.

(ii) Regarding property relation:

• In case the marriage is restored: Property relation shall be restored on the effective date of decision canceling death of spouse declaration. Properties that a person creates during period of his/her spouse was declared as death by Court are his/her own.

• In case the marriage is not restored: Properties created before the death declaration takes effect and has not been divided shall be settled as property division upon divorce.

Yes, they can. Children can own separate properties including:

1. Properties inherited or given separately;
2. Income from work;
3. Yield and income arising from separate properties;
4. Properties created from separate properties; and
5. Other lawful income.

Yes, they do. In principle, a child who is 15 years old or older can manage separate properties by himself. However, parents can manage such properties in the following cases:

1. A child who is 15 years old or older asks his parents to manage his own properties; or
2. Properties of a child who is under 15 years old or a child who has lost civil act capacity.

However, the law also regulates some cases that parents cannot manage separate properties of their children.

(i) Parents or legal guardians can dispose of properties of a child when:

• • The child is under 15 years old or a child has lost civil act capacity;
  • Disposing of based on the child’s benefits; and
  • Having a consideration on the child’s wish (for a 9-year-old child or older).

(ii) A child from 15 years old to under 18 years old can dispose of their own property. The following properties must have a written consent of parents or legal guardians:

• • Real estates;
  • Movable property with ownership registration; or
  • Properties serving business activities.

(iii) Guardians can dispose of properties of adult child who has lost their civil act capacity.

– After divorce, parents still have rights and obligations to look after, care for, nurture and educate their child who is:

(i) Minor child; or

(ii) Adult child who has lost civil act capacity or has no working capacity and no property to support himself.

– Husband and wife can agree on the person who directly raises their child. If they fail to reach an agreement, a competent court will base on the child’s rights to decide. In case the child is 7 years old or older, they must consider his opinion.

– A child under 36 months of age shall be directly raised by the mother. Except for:

(i) The mother is not eligible to look after, care for, nurture and educate her child; or

(ii) The parents have other agreement which is suitable for the child’s interests.

• For the person not directly raising the child: (S)he can visit the child without any obstruction. However, (s)he cannot abuse this right to interfere with or adversely affect the care, nurturing and education of the child. In addition, (s)he is responsible for the support obligation to the child.
• Rights and obligations of the person directly raising the child to the other: (S)he can request the person not directly raising their child to fulfill the obligations as above. On the other hand, (s)he cannot obstruct the rights of visiting, caring for and educating the child of the other.

– Vietnamese civil status registration agencies are competent to settle the identification of parents and children in the following cases:

(i) Between Vietnamese citizen and foreigner without any disputes;

(ii) Between Vietnamese citizens and at least one of whom resides abroad; or

(iii) Between foreigners and at least of one of whom permanently resides in Vietnam.

– Vietnamese competent courts settle the identification of parents and children in cases:

(i) Identifying parents in case a parent does not recognize his child;

(ii) Identifying children: A person requests the court to recognize another person is as his child or not;

(iii) Performing the right to recognize parents of children;

(iv) The party asking for surrogacy refuses to accept the child;

(v) The surrogate mother refused to deliver the child;

(vi) Disputes related to giving birth with assisted reproductive technology and altruistic gestational surrogacy.

A Vietnamese and a foreigner need to pay attention to the following issues:

1. Each party shall comply with his/her country’s law on marriage conditions.
2. The foreigner shall also comply with marriage conditions of Vietnamese law.
3. Documents established, granted or certified by foreign competent agencies for the procedure should be legalized.
4. In this case, the district-level People’s Committee where the Vietnamese resides is competent to register the marriage.

The following individuals and organizations have the right to request the performance of the support obligation:

1. 1. The supported person, his/her parent or legal guardian;
   2. Relatives;
   3. State management agencies in charge of family;
   4. State management agencies in charge of children; or
   5. Women’s union.

Support obligations arise in some certain relationships. There are 2 subjects receiving support: (i) minors; and (ii) adults who have no working capacity and no property to support themselves. Specifically, relationships that may give rise to a support obligation include:

(i) Parents and children:

• Parents not living with their child or violating obligation to nurture to the child must support them.

• Adult children not living with their parents must support them. Such obligation only arises when parents have no working capacity and no property to support themselves.

(ii) Among siblings:

Siblings must support other only when parents are no longer or they have no working capacity and no property to support.

(iii) Paternal grandparents, maternal grandparents and grandchildren:

• Grandparents have obligation to support their grandchildren when they do not live with the children having no parents or siblings support.

• When there is no one support grandparents, their grandchildren not living with are responsible for supporting them.

(iv) Aunts, uncles and nieces, nephews:

Aunts or uncles support their nieces or nephews and vice versa when they are subject to be supported and no one supports them.

(v) Husband and wife when divorce:

A spouse facing difficulties can request support for reasonable reasons, the other party has obligation to support according to his/her ability.

A child is determined as a common child of spouses in the following cases:

1. Being born or conceived by the wife during the marriage period;
2. A child who is born within 300 days from the time of termination of the marriage; or
3. A child who is born before the date of marriage registration and recognized by parents as a common child.

Yes, it can.

Yes, it is. The court shall decide the person directly raising the child if the parents or other individuals or organizations request. The change will be settled in one of the following cases:

1. The parents have an agreement based on the child’s interests; or
2. The person directly raising the child no longer has sufficient conditions to perform his/her obligations.

The court must consider the child’s wishes if (s)he is 7 years old or older. If the parents are not eligible for directly raise the child, the court shall assign for the legal guardian.

Followings are subjects that have rights to request for change of the person directly raising the child:

1. Relatives;
2. State management agencies in charge of family;
3. State management agencies in charge of children;
4. Women’s union.

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An employee has the rights to:

• Work; freely choose job, workplace, occupation, occupational training, occupational development; suffer no discrimination, forced labor and sexual harassment in the workplace;
• Receive a salary commensurate which is commensurate with their occupational skills and knowledge on the basis of an agreement reached with the employer; have personal protective equipment and work in an safe and healthy working environment; take leaves, annual paid leaves and receive collective welfare benefits;
• Establish, participate and operate in representative organization of employees, occupational organization and other organizations prescribed by laws; request and participate in labor dialogues, implementation of democracy policies and collective bargaining with the employer, receive consultancy at the workplace to protect their legitimate rights and benefits; participate in management activities according to the employer’s regulations;
• Refuse to work if there are chances directly threatening their life or health while working;
• Unilaterally terminate the labor contract;
• Strike; and
• Other rights prescribed by laws.

An employee has the obligations to:

• Perform the labor contract, collective bargaining agreement and other lawful agreements;
• Obey labor disciplinary regulations, internal labor regulations; comply with the management, administration and supervision by the employer; and
• Implement regulations of laws on labor and related laws.

Yes, (s)he can.

The employee must provide their truthful information about educational level, occupational skills and qualifications, health and other issues directly related to requirements set out in the labor contracts by the employer.

A labor contract can be signed in hard copies or electronics form. Only labor contract with the term less than 01-month can be made verbally.

There are 2 types of contract, including indefinite-term labor contract and definite-term labor contract with the maximum of 36-month-period from the date of labor contract.

A labor contract is an agreement between an employee and an employer on a paid job, salary, working conditions, and the rights and obligations of each party in the labor relations.

An employer has the rights to:

• Recruit, arrange, manage, administrate and supervise employees; to reward and deal with breaches of labor disciplines;
• Establish, participate and operate in representative organization of employers, occupational organization and other organizations prescribed by laws;
• Request the representative organization of employees to negotiate for the purpose of signing the collective bargaining agreement; participate in settlement of labor disputes and strikes; discuss with the representative organization of employees about issues related to labor relations and improvement of the material and spiritual lives of employees;
• Temporarily close the workplace; and
• Other rights prescribed by laws.

An employer has the obligations to:

• Perform the labor contract, collective bargaining agreement and other lawful agreements;
• Respect the honor and dignity of employees;
• Establish a mechanism for and hold dialogue with the employees and the representative organization of employees; implement the regulations on democracy;
• Train, re-train, develop the occupational profession and skills to maintain, convert the work and job for employees;
• Implement regulations of laws on labor and related laws; and
• Participate in development of the national occupational standards; evaluate and recognize of employees’ professional skills.

Acts are illegal when entering a labor contract:

• To keep the employee’s original identification documents, degrees and certificates;
• To request the employee to make a deposit in cash or asset to guarantee his/her compliance with the employment contract; and
• To force the employee to perform the labor contract for paying debt to the employer.

A labor contract shall have the following major contents:

• Personal information for employers and employees;
• Work, the place and time of work;
• Duration of the employment contract;
• Payroll and related issues;
• Working conditions and protection;
• Social and others insurance.

A labor contract takes effect from the date the parties sign in the contract if there is no other agreement by both parties or prescribed by laws.

No, it is not.

The parties shall negotiate the salary during probationary period, but such salary must not be lower than 85% of the salary for the official job.

The probation period shall be negotiated by the parties. Such period is only applicable for once per job and shall not exceed:

• 180 days for manager positions;
• 60 days for the position required the college degree and upper;
• 30 days for the position of vocational degree, technical workers, professional employees;
• 6 working days for the other jobs.

At the end of the probation period, the employer shall inform the employee of the probation result:

• In case the result is satisfied with the job requirements, the parties shall:

1. 1. Sign a labor contract if there is only probation contract before; or
   2. Continue to perform the labor contract if the probation is agreed in such contract.

• If the result is not satisfied with the job requirements, the employer may terminate the signed labor contract or the probation contract.

Yes, it can.

The employer can temporarily assign the employee to another job in some special case as following but not exceeding 60 cumulative working days in 01 year:

1. Sudden difficulties such as natural disasters, fire, epidemics;
2. Implement of preventive and remedial measures for occupational accidents or diseases, electricity and water supply failures; or
3. For reasons of business and production demands.

Of note, before assigning the employee, the employer must send a prior notice to the employee at least 03 working days.

A labor contract shall be suspended in 8 following circumstances:

1. The employee is conscripted into the army or militia;
2. The employee is held in custody or detention in accordance with the criminal procedure law;
3. The employee is sent to a reformatory school, drug rehabilitation center or correctional facility;
4. The pregnant employee has confirmation from a competent health facility that if she continues to work, it may adversely affect her pregnancy;
5. The employee is promoted as the executive of a wholly state-owned single-member limited liability company;
6. The employee is authorized to perform rights and obligations of the state owner representative for state capital in enterprise;
7. The employee is authorized to perform rights and obligations for contributed capital of the enterprise invested in another enterprise;
8. Other circumstances as agreed by both parties.

During the performance of labor contract, if a party wants to amend or supplement contract, such the party must notify the other party at least 03 working days in advance on amending or supplement contents. In case both parties agreed with such contents, signing an appendix or new labor contract shall represent for amendment or supplement. Otherwise, both parties continue the signed labor contract.

By law, there are 13 cases that a labor contract terminates:

1. Labor contract expires, except for case the labor contract with a member of the management board representative organizations of employees at facility expires before the end of his/her term of office, the contract shall be extended until the end of the term of office;
2. Tasks stated in labor contract have been completed;
3. Both parties agree to terminate labor contract;
4. The employee is sentenced to imprisonment without being eligible for suspension sentence or release as prescribed by the Criminal Procedure Code, death sentence, or is prohibited from performing the work stated in the labor contract by an effective verdict or judgment of the Court;
5. The foreign employee working in Vietnam is expelled by an effective verdict or judgment of the Court or a decision of a competent authority;
6. The employee dies; or being declared by the court as has lost the capacity of civil acts, missing or dead;
7. The employer dies, or being declared by the court as has lost the capacity of civil acts, missing or dead for individual; or terminates operation, does not have a legal representative or a person authorized to exercise the legal representative’s rights and obligations for organization;
8. The employee is dismissed for disciplinary reasons;
9. The employee unilaterally terminates the labor contract in accordance with law;
10. The employer unilaterally terminates the labor contract in accordance with law;
11. The employer allows the employee to resign in case of changing in structure, technology or for economic reasons, or restructure the enterprise;
12. The work permit or a foreign employee expires; or
13. The employee fails to perform his/her tasks during the probationary period under the labor contract or a party cancels the probation agreement.

Yes, (s)he will. The employee has not taken or not entirely taken up his/her annual leave shall be paid for the untaken leave days due to employment termination, redundancy.

Employees will be able to leave job but still receive their full salary in 02 circumstances:

1. Annual leave: Employees who have been working for an employer for 12 months shall have annual leave as follows:
   • 12 working days (in normal working conditions);
   • 14 working days for employees that are minors, the disabled, employees who do hard, toxic or dangerous work;
   • 16 working days for employees who do highly hard, toxic or dangerous work.
2. Holidays: Vietnam has 12 holidays that employees will be entitled to fully paid days off. Moreover, foreign employees can leave job with full salary 01 day in their traditional public holiday and 01 day in their National Day.

No, (s)he cannot. The employer can request employees work overtime if they agree to work.

Normal working hours shall not exceed 08 hours per day and 48 hours per week. The employer regulates working time by day or week and must notify employees. In case of determining working time by week, it shall not exceed 10 hours per day and 48 hours per week.

Bonus is a amount that the employer will pay based on result of production and business, and work completion of employees. The employer should decide and make a bonus regulation publicly announced at the workplace.

The Government shall regulate the wage unit depending on each period that are the minimum salary that an employer can pay, and now it is (under Decree No. 90/2019/ND-CP):

1. VND4,420,000 per month for enterprise located in region I;
2. VND3,920,000 per month for enterprise located in region II;
3. VND3,430,000 per month for enterprise located in region III; and
4. VND3,070,000 per month for enterprise located in region IV.

Of note, above minimum salary applies for employee who works under normal working conditions, ensure the required monthly working hours and has fulfilled the predetermined labor productivity norm or agreed-upon duties. In case work requires employee has been training, or apprenticed, he/ she will be paid at least 7% higher than region-based minimum salary.

Overtime payment bases on the wage unit or actual salary of work as follows:

1. At least 150% on normal days;
2. At least 200% on weekly days off; and
3. At least 300% on public holidays or paid leave, not including the daily salary during the public holidays or paid leave for employees receiving daily salaries.

In addition, in case of working overtime at night, employee is also paid 20% of the salary calculated according to the wage unit or the salary according to the work on a normal working days, weekly days off, public holidays, or New Year holidays.

Yes, (s)he is. Salary for employee during the vocational training period depends on agreement between employee and employer and this is a compulsory content in vocational training contract. In case an apprentice or trainee directly performs or participates in performance of the work, (s)he can be paid a salary.

The costs of vocational training include:

1. Payments for trainers, training materials, training locations, equipment, practice materials;
2. Other supportive expenses for the trainee; and
3. Salary, social insurance, health insurance and unemployment insurance paid for the trainee during the training period.

In case the employee receives the training overseas, the training costs also include the travelling and living expenses during the training period.

The vocational training contract has following main contents:

1. The occupation in which training is provided;
2. Location, time of training and salary for the training period;
3. The work commitment period after training;
4. The training costs and responsibility for reimbursement such costs;
5. Responsibilities of the employer; and
6. Responsibilities of the employee.

The maximum duration of apprenticeship is 03 months.

Vocational training contract shall be made in writing in case employee is provided with advanced training or retraining in country or abroad from fund of employer, including sponsorship from the employer’s partner. Such contract must be into 02 copies, each party kept one.

Employee’s termination of labor contract is illegal when (s)he informs about the termination of contract not in accordance with period prescribed by law. In this case, the employer has right to ask the employee pays a half of month’s salary in accordance with labor contract plus an amount equal to salary for not prior notice days, and repayment of training fee for compensation. Also, the employee shall not be paid severance allowance in this case.

Employer terminates labor contract illegally when employer terminates without prior notice or notifies not compliance with regulations and reasons of termination is not in cases allowed by law; or terminates in prohibited cases. Suffering an illegal termination, the employee shall be reinstated; paid salary, social and health insurance for not working time; at least 02 months’ salary; other allowances depending on specific case or an amount equal to salary for not prior notice days (if the employer violates this obligation).

There are 03 cases that employer cannot terminate labor contract, including:

1. The employee is suffering from an illness or work accident, occupational disease and is being treated or nursed under the decision of a competent health institution;
2. The employee is on annual leave, personal leave, or any other types of leave permitted by the employer; and
3. The employee is pregnant; on maternal leave or raising a child under 12 months of age.

Yes, (s)he can, but in some specific cases as allowed by the law.

Yes, it does. Both parties in labor contract have right to unilaterally terminate the labor contract in specific cases.

Employee can terminate contract without any reason as long as he/she notify employer in advance as prescribed by law, or in some special cases he/ she does not need to send a prior notice.

Employer must meet the following conditions when unilaterally terminating labor contract:

(i) Having a specific reason in accordance with law;

(ii) Not in cases not allowed by law; and

(iii) Notifying employee in advance as prescribed.

When terminate labor contract, both parties must take responsibility for pay full of amount related to each party within 14-30days from terminating date. The employee has responsibility for:

1. Completing confirmation procedure of contributing period for social insurance, unemployment insurance, and returning original of other documents of employee, if any; and
2. Providing copies of documents related to working process at the request of employee.

There are 04 forms/measures of disciplinary according to Labor Code 2019, which are:

1. Reprimand.
2. Deferment of pay rise time for up to 6 months.
3. Demotion.
4. Dismissal.

No, (s)he cannot.

An employee can be applied a labor discipline disciplined when committing an act violating against internal labor regulations or labor laws and the following conditions are satisfied:

1. The employer is able to prove the employee’s fault;
2. There is the participation of the representative organization of employees which the employee is a member of;
3. The employee is physically present and has the right to defend himself, request a lawyer or the representative organization of employees to defend him; if the employee is under 15 years of age, his legal representative must participate in; and
4. The disciplinary process is recorded in writing.

An employee shall be dismissed in these following circumstances:

1. Comitting an act of theft, embezzlement, gambling, deliberate infliction of injury or using drug at the workplace;
2. Disclosing technological or business secrets, or infringing the intellectual property rights of the employer, or committing acts which are seriously detrimental or posing seriously detrimental threat to the assets or interests of the employer, or commiting sexual harassment in the workplace against the internal labor regulations;
3. Repeating a violation when he/she is being disciplined by deferring pay rise time or demotion and has not been absolved; or
4. Arbitrarily quitting work for an accumulated period of 05 days in 30 days or 20 days in 365 days from the first day he/she not going to work without reasonable excuses.

Reasonable excuses as prescribed include natural disasters, fires, the employee or his/her family member sufferring from illness with a certification by a competent health facility, and other reasons as stipulated in the internal labor regulations.

The procedure for applying labor discipline to employees shall be implemented strictly as follows:

1. Time limit a disciplinary process is 06 months, or 12 months if the violation is directly related to finance, assets, technological or business secrets of the employer;
2. The employer is able to prove the employee’s fault;
3. There is the participation of the representative organization of employees which the employee is a member of;
4. The employee is physically present and has the right to defend himself, request a lawyer or the representative organization of employees to defend him; if the employee is under 15 years of age, his legal representative must participate in; and
5. The disciplinary process is recorded in writing.

To employ a foreign employee, the employer has to apply for a work permit for such foreigner and ensure to satisfy these following requirements:

1. Only employ foreigners to hold positions of managers, executive directors, specialists and technical workers the professional requirements for which cannot be met by Vietnamese workers; and
2. Explain the recruitment of such foreign employee to get a written approval from competent authorities.

To work in Vietnam, a foreign employee must fully satisfy the conditions as follows:

1. Being at least 18 years old and has full legal capacity;
2. Having qualifications, occupational skills, practical experience and adequate health as prescribed by the Minister of Health;
3. Not presently serving a sentence, having an unspent conviction, undergoing criminal prosecution under laws of his/her home country or of Vietnam;
4. Having a work permit granted by a competent authority of Vietnam, except for cases not to have work permits of Labor Code.

A foreigner can work in Vietnam without a work permit if (s)he:

1. Being the owner or capital contributor of a limited liability company with a capital contribution value conformable with regulations of the Government.
2. Being the Chairman or a member of the Board of Directors of a joint-stock company with a capital contribution value conformable with regulations of the Government.
3. Being the Chief of a representative office, project or the person in charge of the operation of an international organization or a foreign non-governmental organization in Vietnam.
4. Entering Vietnam for a period of less than 03 months to do marketing of a service.
5. Entering Vietnam for a period of less than 03 months to resolve complicated technical or technological issues. Such issues must be considered to affect or threaten to affect business operation and impossible to be resolved by Vietnamese experts or other foreign experts currently in Vietnam.
6. Being a foreign lawyer who has been granted a lawyer’s practising certificate in Vietnam.
7. Being one of the cases specified in an international treaty to which Vietnam is a member.
8. Getting married with a Vietnamese citizen and wishes to reside in Vietnam.
9. Other circumstances specified by the Government.

A work permit is valid for maximum 02 years. In addition, the duration of it can be extended but only one time for no more than 02 years.

When a dispute arises, an employee can protect his rights by:

1. Participating in labor dispute mediation by a labor mediator;
2. Requesting the Labor Arbitration Council to settle the dispute; or
3. Requesting the People’s Court to settle the dispute.

Mediation is a priority method when settling labor disputes between two parties. However, it is not a must that every dispute settlement have to go through a mediation according to Labor Code. In these following cases, mediation is not mandatory:

1. Disputes over dismissal for disciplinary reasons or unilateral termination of employment contracts;
2. Disputes over damages and allowances upon termination of employment contracts;
3. Disputes between a domestic worker and his employer;
4. Disputes over social insurance, health insurance, unemployment insurance, insurance for occupational accidents and occupational disease in accordance with laws;
5. Disputes over damages between an employee and organization sending the employee to work overseas under a contract; and
6. Disputes between the leased employee and the employer’s client.

Depending on the type of disputes, the following agencies, organizations and individuals have the competence to settle labor disputes:

(i) Labor mediators;

(ii) Labor Arbitration Councils;

(iii) The People’s Court.

A trade union is an internal representative organization of employees which is voluntarily established by employees of an employer. The main purpose of it is to protect the employees’ legitimate rights and interests in labor relations.

Establishment of a trade union is based on the voluntary, wishes and rights of employees. Thus, it is not compulsory to establish a trade union in every enterprise or organization.

The obligations of the employer to the grassroot trade union are as follows:

(i) Not obstructing the employees from lawfully establishing, joining and participate in activities of the trade union.

(ii) Recognizing and respecting the rights of the lawfully established trade union.

(iii) Entering into a written agreement with the management board of the trade union when unilaterally terminating the labor contract, reassigning or dismissing as a disciplinary to an employee who is a member of the management board.

(iv) Deferring the employment contract with a member of the management board which expires before the end of his/her term of office, the contract shall be extended until the end of his/her term of office.

(v) Other obligations prescribed by law.

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