Legal News

[Human Resources and Labor Affairs] Key Points of the Revised Labor Union Law

2024/12/26

On November 27, 2024, the Vietnamese National Assembly passed the “Amendment to the Labor Union Law” (hereinafter referred to as the “Amendment”). The two main points of the Amendment are as follows.

1. Right of foreign workers to join labor unions
Under Article 5 of the 2024 Labor Union Law, foreign workers employed in Vietnam under fixed-term labor contracts of 12 months or longer are explicitly granted the right to join labor unions, in addition to Vietnamese workers. Under this provision, foreign workers may freely choose whether to join a labor union, and if they do join, they are obligated to pay union dues in accordance with the regulations.

2. Employer’s burden for labor union dues
The proportion of labor union dues borne by employers remains unchanged under the current law, continuing to be 2% of the total wage amount, which serves as the basis for calculating social insurance premiums for workers.

The amended law does not significantly alter the legal structure of the current law. It primarily focuses on granting new rights to workers, particularly foreign workers, and clarifying provisions related to labor union financial management.

The amended law is scheduled to take effect on July 1, 2025.

References
・Labor Union Law of 2024