During and after the Covid-19 pandemic, the financial health of
enterprises have been negatively impacted leading to management’s decision to
reduce cost through termination of labour contract with employee. The illegal
termination of labour contract could lead to disputes between employer and
employee which sometime would cost the employer more than it gains. It is important
for the employer to engage with labour lawyers to consult before taking the
decision to consider factors that would involve. After disputes arise, mediator or labour arbitration
councils could be used for resolving disputes.
Arbitration Law Firm in Vietnam
Individual labor disputes shall be settled through mediation by
labor mediators before being brought to the Labor arbitration council or the
Court, except for the following labor disputes which mediation is not
mandatory: disputes over disciplining under dismissal or unilateral termination
of employment contracts; disputes over damages and allowances upon termination
of employment contracts; disputes between a domestic worker and his/her
employer; disputes over social insurance in accordance with social insurance
laws, disputes over health insurance in accordance with health insurance laws,
disputes over unemployment insurance in accordance with employment laws;
disputes over insurance for occupational accidents and occupational disease in
accordance with occupational safety and hygiene laws; disputes over damages
between an employee and enterprises, organization that dispatches the employee
to work overseas under a contract; disputes between the outsourcing employee
and the employer using outsourcing employee.
The mediator shall complete the mediation process within 05
working days from the receipt of the request from the requesting parties or the
authority. Both disputing parties must be present at the mediation meeting. The
disputing parties may authorize another person to attend the mediation meeting.
In case the two parties reach an agreement, the labor mediator
shall make a written record of successful mediation which bears the signatures
of the disputing parties and the labor mediator. In case the two parties do not
reach an agreement, the labor mediator shall recommend a mediation option for
the disputing parties to consider. Where the two parties do not agree with the
recommended mediation option or where one of the disputing parties is absent
for the second time without a valid reason after having been legitimately
summoned, the labor mediator shall make a record of unsuccessful mediation
which bears the signatures of the present disputing parties and the labor
mediator.
The disputing parties shall be entitled to request the settlement
from Labor arbitration councils in the following cases: a disputing party fails
to perform the agreements specified in the record of successful mediation;
mediation is not mandatory; the labor mediator fails to initiate the mediation
by the deadline; the mediation is unsuccessful.
After the Labor arbitration council has been requested to settle a
dispute, the parties must not simultaneously request the Court to settle the
same dispute. If within 07 working days from the receipt of the request,
an arbitral tribunal is not established; or within 30 working days from the
establishment of the arbitral tribunal, it fails to issue a decision on
the settlement of the labor dispute,
parties shall be entitled to request the settlement from the Court. In case a
disputing party fails to comply with the decision of the arbitral tribunal, the
parties are entitled to bring the case to Court.
ANT Lawyers - a Law firm in Vietnam with
international standard, local expertise and strong international network. We
focus on customers’ needs and provide clients with a high quality legal advice
and services. For advice or service request, please contact us via email
ant@antlawyers.vn, or call us +84 24 730 86 529.
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