Issue regarding unilaterally terminating đá bóng trực tiếp contract due to changes in business structure in Vietnam

For your questions, Lawnet would like to answer as follows:

According to đá bóng trực tiếp provisions of Clause 1, Article 42 of Vietnam'sBộ luật xem bóng, changes in structure and technology include:

- Changes in đá bóng trực tiếp organizational structure, personnel rearrangement;

- Changes in processes, technology, equipment associated with đá bóng trực tiếp employer’s business lines;

- Changes in products or product structure.

At đá bóng trực tiếp same time, Clause 1, Article 44 of đá bóng trực tiếp Labor Code 2019 also stipulates that before terminating a contract with an employee due to a change in technology structure, a labor utilization plan must be prepared with basic contents.

Thus, a labor utilization plan shall have đá bóng trực tiếp following contents:

- đá bóng trực tiếp names and number of employees to be retained, employees to be retrained for further employment, and employees to be working on part-time basis;

- đá bóng trực tiếp names and number of employees to retire;

- đá bóng trực tiếp names and number of employees whose employment contracts have to be terminated;

- Rights and obligations of đá bóng trực tiếp employer, employee and relevant parties regarding implementation of đá bóng trực tiếp labor utilization plan;

- đá bóng trực tiếp measure and financial sources to implement đá bóng trực tiếp plan.

During development of đá bóng trực tiếp labor utilization plan, đá bóng trực tiếp employer shall discuss with đá bóng trực tiếp representative organization of employees (if any). đá bóng trực tiếp labor utilization plan shall be made available to đá bóng trực tiếp employees within 15 days from đá bóng trực tiếp day on which it is adopted.

Thus, đá bóng trực tiếp dismissal of employees shall only be implemented after a discussion with đá bóng trực tiếp representative organization of employees (if any) and after giving prior notice of 30 days to đá bóng trực tiếp People’s Committee of đá bóng trực tiếp province and đá bóng trực tiếp employees.

In case đá bóng trực tiếp employer unilaterally terminates đá bóng trực tiếp contract, it must pay allowances to đá bóng trực tiếp employee according to đá bóng trực tiếp provisions of đá bóng trực tiếp Labor Code 2019. Specifically:

- Severance allowance: When đá bóng trực tiếp labor contract is terminated in case of change in technological structure or economic reasons, đá bóng trực tiếp employer is responsible for paying severance allowance to đá bóng trực tiếp employee who has worked on a regular basis for a period of at least 12 months. Each year of work will be worth half a month’s salary.

- Redundancy allowance: Employers are responsible for paying redundancy allowanceas prescribed in Article 47 of đá bóng trực tiếp Labor Code to employees who has worked on a regular basis for đá bóng trực tiếp employer for at least 12 months in case đá bóng trực tiếp labor contract is terminated due to changes in structure, technology or economic reasons or due to merger, consolidation, division or separation of enterprises or cooperatives...

Below are some judgments on termination of employment contracts due to changes in business structure, you can refer to:

1. Judgment on unilateral termination of labor contract No.Bản án về đơn

- Judgment level: Appellate

- Judicial body: People's Court of Ca Mau province

- Quoting đá bóng trực tiếp content: "Although in đá bóng trực tiếp plan and lists of labor contract terminations signed by Ms. Th and stamped by đá bóng trực tiếp Executive Committee of đá bóng trực tiếp Trade Union, there are no records showing when building đá bóng trực tiếp labor use plan with đá bóng trực tiếp participation of đá bóng trực tiếp Executive Committee of đá bóng trực tiếp Trade Union. In đá bóng trực tiếp working minutes dated May 24, 2018 of đá bóng trực tiếp People's Court of Ca Mau province working with đá bóng trực tiếp Trade Union Executive Committee of đá bóng trực tiếp Company, đá bóng trực tiếp members of đá bóng trực tiếp Executive Committee of đá bóng trực tiếp Trade Union all said that when đá bóng trực tiếp Company built đá bóng trực tiếp plan of restructuring đá bóng trực tiếp organization on May 9, 2016, đá bóng trực tiếp Company invited đá bóng trực tiếp Executive Committee of đá bóng trực tiếp Trade Union to discuss and agree on đá bóng trực tiếp number of people allowed to continue working and đá bóng trực tiếp number of people who had to quit, but when đá bóng trực tiếp Company developed đá bóng trực tiếp plan, đá bóng trực tiếp Company did not invite đá bóng trực tiếp Executive Committee to participate, so đá bóng trực tiếp Executive Committee of đá bóng trực tiếp Trade Union did not know which employees were dismissed by đá bóng trực tiếp company.

2. Judgment on unilateral termination of labor contract No.Bản án về

- Judgment level: Appellate

- Judicial body: People's Court of Binh Duong province

- Quoting đá bóng trực tiếp content: "On February 17, 2016, đá bóng trực tiếp company informed Ms. L about đá bóng trực tiếp arrangement of đá bóng trực tiếp personnel structure at đá bóng trực tiếp company. đá bóng trực tiếp company requires Ms. L to write her resignation letter; otherwise, đá bóng trực tiếp company will make a decision to quit her job for đá bóng trực tiếp reason of restructuring or reducing personnel. On February 24, 2016, Ms. L received Notice No. 01 HCNS/T2-2016 from đá bóng trực tiếp human resources department requesting Ms. L to sign and receive đá bóng trực tiếp notice of staff reduction due to restructuring and rearrangement of staff. đá bóng trực tiếp. Therefore, Ms. L will work until đá bóng trực tiếp end of April 25, 2016. However, on February 26, 2016, Ms. L received Notice No. 02/HCS/T2-2016 from đá bóng trực tiếp Human Resources Department. Ms. L was asked to stay at home and still receive her salary until April 25, 2016. On May 1, 2016, đá bóng trực tiếp company issued a decision to unilaterally terminate đá bóng trực tiếp labor contract with Ms. L. Thus, đá bóng trực tiếp decision to unilaterally terminate đá bóng trực tiếp labor contract No. 21/2016/QDTV dated May 1, 2016 of đá bóng trực tiếp company is against đá bóng trực tiếp law, affecting đá bóng trực tiếp interests of Ms.

3. Judgment on unilateral termination of labor contract No.Bản án về

- Judgment level: Appellate

- Judicial body: People's Court of Ba Ria-Vung Tau province

- Quote from đá bóng trực tiếp content: "đá bóng trực tiếp company presented đá bóng trực tiếp reason for terminating đá bóng trực tiếp labor contract as that Hotel B V was inefficient, so it had to sublease đá bóng trực tiếp entire hotel to Company T. At that time, đá bóng trực tiếp economy was difficult and terrible. During đá bóng trực tiếp crisis, đá bóng trực tiếp business results of Hotel B according to đá bóng trực tiếp audited financial statements were poor. In 2014, Hotel B only made a profit of 71 million VND, forcing đá bóng trực tiếp company to recalculate its business efficiency and change its business structure. đá bóng trực tiếp hotel's rental structure is reasonable and not illegal. đá bóng trực tiếp trial panel found that đá bóng trực tiếp law does not prohibit employers from changing đá bóng trực tiếp structure accordingly so that it can bring greater efficiency.

4. Judgment on unilateral termination of labor contract No.Bản án về

- Judgment level: Appellate

- Judicial body: People's Court of Ca Mau province

- Quoting đá bóng trực tiếp content: "Considering đá bóng trực tiếp time of formulating đá bóng trực tiếp organizational restructuring plan, there is no list of people whose labor contracts have been terminated (May 9, 2016). However, on May 16, 2016, đá bóng trực tiếp Board of Directors, Executive Board, and Head of Organizational Department worked with đá bóng trực tiếp Heads of Departments and affiliated units to finalize đá bóng trực tiếp list of employees of departments and units to build đá bóng trực tiếp plan of using labor after restructuring đá bóng trực tiếp organizational apparatus (BL 98) without đá bóng trực tiếp participation of đá bóng trực tiếp representative organization of đá bóng trực tiếp labor collective. Thus, when developing a plan to restructure đá bóng trực tiếp organizational apparatus, đá bóng trực tiếp company followed a strict order to have a meeting of đá bóng trực tiếp Executive Committee of đá bóng trực tiếp Trade Union on May 9, 2016 to approve đá bóng trực tiếp plan. However, when it comes to đá bóng trực tiếp important step of developing a labor use plan, there is no document showing that đá bóng trực tiếp company exchanged with đá bóng trực tiếp representative organization of đá bóng trực tiếp labor collective at đá bóng trực tiếp grassroots. "

Best regards!

Key word: Labor Code 2019 of Vietnam | changes in structure and technology in Vietnam | changes due to economic reasons in Vietnam | unilateral termination of đá bóng trực tiếp contract in Vietnam |

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