Legal News

[Labor] Proposed amendments to the Labor Union Act

2024/10/20

The current draft amendment to the Labor Union Law is based on the 2012 Labor Union Law, with revisions made to reflect current social conditions. The two key points of this amendment are as follows.
・Employer contribution to labor union dues: Although there have been many calls to reduce the burden on employers, the amendment maintains the current law, which stipulates that union dues shall be calculated at 2% of the total wages of workers, based on the social insurance calculation standard.
・Union membership rights for foreign workers: Under the current law, the right to establish, join, or engage in union activities is limited to Vietnamese workers. However, the proposed amendments suggest extending these rights to foreign workers employed in Vietnam.

This is likely aimed at aligning with international standards amid the increasing number of foreign workers in Vietnam.
If this proposal is approved, foreign workers will be able to choose whether to join a labor union, and if they do join, they will be required to pay union dues in accordance with the regulations.

The new Labor Union Law is scheduled to take effect on July 1, 2025, and detailed revisions are currently underway. It is expected to be submitted to the 8th National Assembly meeting to be held from October to November this year, and we will provide updates in future newsletters as new information is released.