The Government has issued a decree detailing the implementation of a new regulation in the Labour Code that recognises the practice of labour dispatch.
The Government has issued a decree detailing the implementation of a new regulation in the Labour Code that recognises the practice of labour dispatch.
The decree came after the Labour Code officially became effective on May 1.
It stipulates that labour subleasing is limited to 17 types of jobs, such as interpreters, administrative staff, reception, tour guides, sale assistants, project assistants, security guards, domestic workers, editors, drivers to interior designers.
The decree also defines that labour subleasing is only to be used to meet temporary labour demands, such as when full-time employees have to take maternity leave or suffer from labour accidents or the need to use high-skilled labour over a short-time period.
Labour subleasing cannot exceed 12 months, according to the decree.
Experts said the restriction to 17 occupation groups was a cautious move by the Government in what was the first regulation related to labour subleasing. The practice had been unregulated in the country for at least 10 years.
The decree also defines four situations that prevent a company participating in labour subleasing.
They are companies that are currently involved in labour disputes or want to replace workers who are on strike; companies that do not clarify the responsibilities of compensation and other health issues with labour leasing companies; companies that want to replace workers due to restructuring or merging; companies that want to use sublease workers to work in extreme conditions.
The new regulation also provides guidelines for establishing and operating labour dispatch businesses, allowing only companies with a starting capital of VND2 billion ($95,200) and a VND1 billion in deposit.
(Source: VNS)
