MANAGINGCHANGELABOUR LAW IN VIETNAM

Vietnam is in a robust transition to be-coming a true market economy – its openness to international trade and extraordinary economic growth in recent decades has made the country a highly interesting invest-ment destination. We stand by your side with international know-how and local knowled-ge, all from a single source, allowing you to take advantage of this unique opportunity and reap the rewards in this growing and at-tractive market.

Rödl & Partner

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MANAGINGCHANGELABOUR LAW IN VIETNAM

Content1. Introduction 6

2. Law on Labour Contracts 62.1. Labour Contract 7

2.2. Terms of Labour Contracts 8

2.3. Foreign employees 8

2.3.1. Visa 9

2.3.2 Temporary Redidence Card (TRC) 10

2.3.3. Foreigners requiring a work permit 10

2.3.4. Application process for a work permit 11

2.3.5. Exemptions for foreigners 12

2.3.6.The30 / 90Ruleandthe3-monthcategory 13

2.4. Probation 14

2.5. Working hours, rest hours, holidays, overtime 14

2.6. Minimum wages 15

2.7.Salaryduringsicknessandmaternity / paternityleave 16

2.8. Potential bonus schemes 16

3. Internal Labour Rules (ILR’s) 16

4. Labour discipline 174.1. Health and safety obligations 17

5. Trade Union 18

6. Strikes 18

7. Termination of Employment 197.1 Unilateral termination 20

7.2 Bilateral termination 21

8. Taxes and duties 218.1 Personal income tax (PIT) 21

8.2 Compulsory social insurance, health insurance, unemployment insurance, and trade union fees 22

9. Penalties 239.1 Work permit violations 23

9.2 Penalties for employers for violations in Trade Union Contributions 23

About us 24

Contact 26

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1. Introduction The following provides a short overview over the regulatory and prac-tical requirements on labour laws of Vietnam.

Vietnam’s population is over 91 million and expected to grow at an annualrateof1.3  %.Around60 %ofthepopulationisunder23yearsofage.Approximately15 %ofthepopulationisconsideredtobetrai-ned or skilled.

As one might expect, the position of employees is rather well protec-ted compared to other countries. Protectionwise there is no distinc-tion between foreigners with a local labour contract and Vietnamese employees. The Labour Code, however, grants certain protections to particular groups of employees (women, disabled, elderly, etc.)

Vietnam’s labour legislation and its implementation in practice are well developed. It covers almost all aspects of labour relations in the work place from the right to work to the right to organize of workers, from labour contracts to collective bargaining agreements, from mini-mum working ages to minimum wages, etc.

The new Law on social security has introduced some wide-ranging changes which are considered to be good for international investors. As a member of the WTO and FTA’s being initiated, Vietnam is in ur-gent domestic and international demand for the incorporation and implementation of international labour standards. Vietnam will recei-velegal,politicalandeconomicbenefitsfromtheimplementationofFTA’s with the region and beyond. Those agreements will increase trust,legalcertaintyandthereforebebeneficialforforeigninvestorsin Vietnam.

2. Law on Labour ContractsThe main law regulating employment relationships in Vietnam is the 2012 Labour Code. For foreign nationals, there is also a set of im-plementingregulations,includingDecree11/2016/ND-CP(Decree11),which mainly provides guidance on matters related to work permits for foreign workers in Vietnam.

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Although, strictly speaking, this is not required by law, it is recommended to use the standard labour contract issued by MOLISA as a template in or-der to avoid possible problems. This applies also to multinational companies that prefer to have their own standard contracts for all jurisdictions they do business in.

The Vietnamese Labour regulations provide the legal options of probation, seasonal,indefiniteanddefinitelabourcontracts.

2.1.LABOURCONTRACT

The labour contract must be written in Vietnamese. If one of the parties is a foreigner (this includes foreign-invested enterprises), the contract may be bilingual (Vietnamese, followed by a translation into the foreign language), but the Vietnamese version prevails in case of inconsistencies between the 2 versions.

As a general rule, an employment contract is effective from the date stated inthecontractandtherearenofilingrequirementstoeffectuatethelabourrelationship. An employer has to declare its use of employees to the labour authority within 30 days from the date of its commencement of operation. Further reports on changes have to be made every 6 months.

Salary paid to Vietnamese employees must be paid in Vietnamese Dong (VND). Within the territory of Vietnam all transactions in contracts and ag-reements are required to be conducted in foreign currency. The law provides several exceptions to this general rule. Foreign employees (whether they are residents or non-resident) are permitted to receive salaries, bonuses and all-owances in a foreign currency. Therefore, the salary may be stated and paid in any tradable currency.

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2.2.TERMSOFLABOURCONTRACTS

Probation Period Probation in Vietnam can be 6 to 60 days depending on thequalificationandeductionofthenewemployee.

DefiniteTerm Labour Contract

Definitelabourcontractscanbeagreeduponfor12to36 months and twice in a row. 12 months is common after probation.

IndefiniteTerm Labour Contracts

After2definitetermcontracts,thelabourcontractwillautomaticallybecomeanindefinitetermcontract.

Seasonal and Project Contracts

For seasonal works as well as on project base, a labour contract can be for less than 12 months.

Foreigner Locally employed foreigner will in pracitce always have a maximum of 24 months contracts due to work permit reduglations.

2.3.FOREIGNEMPLOYEES

The Labour Code explicitly states that it applies to foreign nationals working in Vietnam, and the general rule is, that foreigners working in Vietnam must comply with the Vietnamese Labour laws, unless an international treaty to which Vietnam is a party objects. Foreigners can either have a local employment contract or be seconded from the parent company (internal transfer). If an employment contract is signed with a Vietnam-based entity, the law of Vietnam must apply regardless of the choice of law by the parties.In Vietnam, a visa and a work permit are 2 separate documents that are used for different purposes. A visa is an official endorsementallowing a foreigner to enter and to remain within Vietnam, while a work permit is the permission for a foreign worker to take a job in Vietnam. A visa can be replaced by a temporary residence card (TRC) which grants a foreign worker the right to stay in Vietnam for a certain length of time. If a foreigner wants to stay and to work in Vietnam, a work permit and a visa or a TRC will be required.

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2.3.1. Visa

The following visas are relevant in terms of employment and business activities:

Forms of visa

Object Recipient

Business visa

This type of visa is for foreigners at-tempting to enter Vietnam for business purpose. The common validity of a mul-tiple-entry business visa is 3 months.

Overseas Vietnamese embassy / consulate

Family visa – This type of visa is for direct family member of a foreigner working in Viet-nam. The family members must have the adequate evidence of dependency.

– The maximum validity of a multiple-en-try family visa is 12 months on a case by case basis.

Overseas Vietnamese embassies or overseas Vietnamese consulate

Working visa

– This type of visa is issued when an foreigner obtains a work permit.

– The validity of a multiple- entry working visa is the same as the validity of the work permit (maximum 2 years on a case by case basis).

Overseas Vietnamese embassy / consulate

Investment visa

– This type of visa is for foreign inves-tors mentioned in the Enterprise Re-gistrationCertificateandtheInvest-mentRegistrationCertificate,orforlawyers having the Foreign Regis-tered Lawyer Licenses.

– The maximum validity of a multi-ple-entry investment visa is 5 years on a case by case basis.

Overseas Vietnamese embassy / consulate

For the Visa application (except for tourist visa) the following points have to be considered:

Required documents Timeline Application Result

– Application forms

– Enterprise Re-gistration Cer-tificate

– Copy of pass-port

5 working days

A Visa approval for employee to receive the visa at overseas Vi-etnameseembassy / consulate

Note: In practice, the authorities only issue visas with the maximum validity of 1 year. To stay in Vietnam for

more than 1 year, a foreigner must have a TRC.

2.3.2 Temporary Residence Card

The Temporary Residence Card (TRC) replace a visa and it can be issued if a foreigner has a work permit, a Law Practice Registration or an Investment Certificate.ThefamilycangettheTRCalongwwiththeemployeeaslongasthey have dependency evidence.

TheTRCcanberenewediftheforeignerandhis / herfamilydonotneedtoleave Vietnam provided that the foreigner must work for the same company sponsoringhis/hervisaatthefirsttime.

2.3.3 Foreigners requiring a work permit

The initial principle is, that all foreign individuals (i.e. non-Vietnamese Ci-tizens) require a Work Permit issued by the Department of Labour, Invalids and Social Affairs (DOLISA) before they commence and undertake any emp-loyment in Vietnam, exceptions apply.

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Manager / CEOs Specialists Technicians

– Managerial position that is entitled to en-ter into the compa-ny‘s transactions which is mentioned in the company‘s license / Charter.

– CEO‘s appointed (if registered in the li-cense,managerdefi-nition above applies).

– Confirmationasaspecialist in writing by a foreign organiza-tion (Guidance on this to be expected)

– Bachelor‘s degree (or higher) and at least 3 years of work expe-rience in area rele-vant with proposed position.

Technical training or ot-her specialized training at least 1 year and at least 3 years of work ex-perienceintrainedfield.

Work permits are issued by the local DOLISA where the foreign employee is working. They are issued for a maximum period of 2 years and may be renewed. Before employing a foreigner on the basis of a local employment contract, the employer must apply for a need of foreign labour at the local labour authorities. In case of internal transfer the parent company has to confirmthattheemployeeworkedfortheparentcompanyforatleast1year.

2.3.4. Application process for a work permit

For the application process the following points have to be considered:

Application process Required documents Timeline Result

Step 1 Registration of the need of using foreig-ner

Report on the need of using foreigner

10 working days

Approval on the need of using foreigner

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Step 2Application for work permit

Application form Approval on the need of using foreig-nerCriminal record from overseas / ORinVietnamHealth check from overseas/ORinVietnamExperienceconfirma-tion/ANDEducatio-nalQualification

7 working days

Work permit with the limitation of 2 years

Step 3Submission of labor contract (recruitment case)

Copy of signed labor contract

The signed labor contract must be submitted to the labor authority within 5 working days upon the date of signing the labor contract

2.3.5. Exemptions for foreigners

There are various Exemption Categories available for foreign individuals see-king to undertake employment in Vietnam without a Work Permit.

Short term assignment 30 / 90Rule

– <= 30 days per time – <= 90 days per year – Exemptedfromapplyingaconfirmationonwork

permit exemption

Internal transfer in 11 service industries

– Working for the mother company at least 12 – CPC code detail stipulated in the relevant guidance – RequiredtoapplyforConfirmationonworkpermit

exemption

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Investor / memberofBoard of Directors

– Individual Investor (mentioned in the License) – Member of the BoD in the Vietnamese entity – Requiredtoapplyforconfirmationonworkpermit

exemption

Lawyer – Foreign Registered Lawyer License – Requiredtoapplyforconfirmationonworkpermit

exemption

Traineeship – Currently studying overseas – Previous limitation 3 months, currently waiting for

guidance – Exemptedfromapplyingaconfirmationonworkper-

mit exemption

EachoftheExemptionCategoriesrequiresanExemptionCertificateissuedin advance by DOLISA before a foreign individual can commence employ-ment in Vietnam.

2.3.6. The 30 / 90 Rule and the 3-month category

The30 / 90Ruleandthe3-monthcategorydonotrequireanExemptionCer-tificateandareavailabletoemployers/foreignindividualswithoutpriorap-proval from authorities. Provisions require the foreign individual to come to Vietnam for a period of less than 3 months to offer services. That provision is not available to a foreign individual if it: – Is intending to work for longer than 3 months in Vietnam without leaving. – Is already in Vietnam providing services (either under a work permit, or a

previous 3-month Rule), and therefore has not come to Vietnam to offer services for less than 3 months.

– If not entering Vietnam prima facie to offer services, but for tourism pur-poses

Therearenospecificguidelinesindicatingwhetherthis3-monthtimeperiodfor working commences immediately when someone arrives to Vietnam or ifthe3monthsarestartingwhenfirstprovidingservices;itisalsounclearhow long a foreigner has to stay outside of Vietnam before being allowed to re-enterunderthe30 / 90rule.

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2.4.PROBATION

It is common practice to arrange a probation period in Vietnam when enga-ging new employees. The parties may agree on the following probationary periods: – upto60daysforjobsrequiringprofessionalortechnicalcollegequalifi-cationorabove;

– upto30daysforjobsrequiringanintermediate-levelqualification,orfortrainedstaff;

– up to 6 days for any other position that require no training.

Presently, a probationary period can be included in either the labour contract orinaseparateofferletter.Theofferletterisanotificationbytheemployerto the employee stating that the employer wishes the employee to commen-ce a job and specifying the conditions under which the employee is to work. If the probationary period is included in the offer letter, there is no obligation to pay social security contributions during the probationary period.

During the probationary period, the employer must pay a salary that corre-spondstoatleast85 %oftheordinarysalaryforthejob.Eitherpartymayterminate the employment relationship during the probationary period wit-hout observing a notice period or paying compensation.

2.5.WORKINGHOURS,RESTHOURS,HOLIDAYS,OVERTIME

The following is an overview over working hours, leave and overtime regula-tions in Vietnam.

Maximum Wor-king Hours

– 8hoursaday(including30minutesbreak;45minutesbreak during night time)

– 48 hours per week

Paid Leave (an-nual leave)

– 12dayspaidleave;1additionaldayforevery5yearsofem-ployment

– 10publicholidays;foreignemployeesareadditionallyent-itled to a day off with pay on 1 traditional holiday

– additional days off to special occasions (marriage, death, etc.)

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Overtime Notmorethan12hourswork / day,30hoursovertime / monthand200hoursovertime / year(insomesectors300hours / yearor with permission from DOLISA)

Overtime pay-ment

Theovertimepayisatleast150 %ofactualhourlywageonanormalworkingday,atleast200 %onaweeklydayoffandatleast300 %onapublicholidayorpaiddaysoff(exclusiveofwages of public holidays and paid days off prescribed by the Labour Code).

2.6.MINIMUMWAGES

Vietnam’sNationalWageCouncilhasdecideduponamodest6.5 %averageincrease in monthly regional minimum wages across the country for 2018. From January, workers must be compensated between minimums of 2.76 million VND (121 US-Dollar) to 3.98 million VND (175 US-Dollar), graded in 4 regions:

Region Cities Minimum Wage

Region I Parts of Hanoi and HCMC, Dong Nai Pro-vince, Vung Tau Province, Binh Duong Pro-vince, …*

3.980.000VND / month

Region II Remaining districts of Hanoi and HCMC, DaNang, Hung Yen Province, Hue pro-vince, Can Tho, Rach Gia, …*

3.530.000VND / month

Region III The remaining provincial cities, …* 3.090.000VND / month

Region IV Covers the remaining administrative di-visions

2.760.000VND / month

*Formoredetailedinformationcf.appendixDecreeNo.141/2017/ND-CP;definedasperDecember7th2017

The so called common minimum wage is at 1.390.000 VND (2018) and is the base for the calculation for the cap of Social Insurance and Health Insurance.

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2.7.SALARYDURINGSICKNESSANDMATERNITY / PATERNITYLEAVE

An employer is not required to pay salary to an employee who is ill or on ma-ternity leave. Salary during this period is paid by the compulsory social insu-rance. Maternity leave is 6 months. A female employee who is pregnant, on maternity leave or has a child below 12 months of age can only be dismissed iftheenter-priseceasesoperation;noothercausesfordismissalarerecog-nized. Paternity leave is also statured with 5 – 14 working days, depending on the number of children born and the circumstances of the birth.

2.8.POTENTIALBONUSSCHEMES

It is common to pay a 13th month salary (Tet bonus). Such bonus can be de-pendingontheperformanceoftheemployeeand / ortheenterprise.

International Investors commonly provide an additional private health insu-rance. Team outings and company trips are commonly expected by the emp-loyeesandareconsideredabonus.Inacountrywithhighstafffluctuation,such team events shall be considered important.

3. Internal Labour Rules (ILR’s)An enterprise with 10 employees or more must have written internal labour rules covering all important items of the working environment. The ILR’s come into effect through registration. The employer must consult the em-ployees’ representative, namely the internal labour union. If the company has no such union, the grassroots union has to be involved in the decision process.

Carefully worded internal labour rules are important in order for the employ-er to be able to take disciplinary action against an employee, or to terminate alabourcontractincaseofpoorperformance.Itisdifficultforanenterprisetodismissanemployeeforanoffenseifthisoffenseisnotspecifiedintheinternal labour rules, or if the enterprise does not have duly registered inter-nal labour rules.

An employee who breaches labour rules may, depending on the serious-ness of the breach, be disciplined. Disciplinary actions should be performed promptly as they are time-barred after 3 months (6 months in special cases).

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4. Labour discipline There are various types of labor disciplinary measures which depend on the seriousness of the breach of labor rules committed by an employee, which are: – reprimand, – extension of the period for wage increase or transfer to another position

with a lower wage (both for a maximum period of 6 months), – removal from position or demotion, – dismissal (special procedures with different steps must be followed)

The procedures for handling a violation of labour discipline are: – A meeting must be organized, wherein the employer will bear the burden

of proving fault of the employee. – Representatives from grassroots unions have to attend. – The employee must be present for defending himself or ask for a defense

lawyer.

It is prohibited to impose more than one form of labour discipline for a single violation. For an employee who simultaneously commits more than one vio-lation of labour discipline, only the strongest form of discipline correspon-ding to the most serious violation can be applied. Exemptions of the appli-cation of labour discipline apply to employees that are sick, pregnant or on maternityand / orarementallydisordered.

Prohibited acts when handling violations of labour discipline include: – Infringinguponthebodyordignityoftheemployee; – Applyingafineorwagereduction,insteadofadisciplinarymeasure; – Disciplininganemployeewhohascommittedaviolationthatisnotdefi-

ned in the internal working regulations.

4.1.HEALTHANDSAFETYOBLIGATIONS

An employer must comply with the law on occupational safety and hygie-ne. The employer must rely on standards, national technical regulations and local technical regulations on occupational safety and hygiene in order to formulate their own internal rules and working procedures to ensure occupa-tional safety and hygiene as appropriate for each type of machinery, equip-ment and workplace. The Labour Code also regulates in detail the employ-er‘s obliga- tions for work-related accidents and occupational diseases and the prevention of these.

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Employers provide health insurance by law for their employees, and must provide regular annual health checks. It is common in international compa-nies to provide an additional private health insurance in order to cover the employee better than the compulsory health insurance.

5. Trade UnionThere is a multilevel system of trade unions in Vietnam, which ranges from the Vietnam General Confederation of Labor (VGCL) as an umbrella organi-zation to the unions at enterprise level. Apart from collective negotiations, tradeunionsfulfillsuchtasksatcompanylevel,whicharetakenoverbytheworks council in other countries. Unlike in some European countries, unions are not entitled to participate in management decisions and presently have no right to be informed about the economic performance of the enterprise.

Employers are not obliged to establish a trade union, but they are supposed to create a favorable environment for their establishment. In order for a trade unionatenterpriseleveltobeestablished,fiveormoreemployeeshavetounite and request recognition by the grassroots union. An employer cannot hinder representatives from grassroots unions from visiting the enterprise in order to persuade employees to establish a union. Employers must provide the union in their enterprise with a suitable workplace and adequate facili-ties.Unionofficersareentitledtocertaintimeoffwithpayinordertofulfilltheir functions.

ThecompulsoryTradeUnionfeeequals2 %oftotalSocialInsurancesalaryof all employees per month and has to be paid to the grassroots union. If the-reisaunionwithintheenterprise,65 %ofthedeductedfeetothegrassrootsunion will be returned by the grassroots union directly to the union within the enterprise.

6. StrikesIf there is a strike, this is presently usually a wildcat strike, i.e. a strike that is not initiated by any union. Reasons for strikes to occur include the desire onthepartoftheemployeestonegotiateahighersalary,orbenefits.Suchstrikes are illegal as the law provides that strikes must be led by a union and are allowed only after dispute resolution mechanisms have failed. The best precaution against illegal strikes is the creation of a friendly atmosphere at the workplace and to treat the employee in a fair and reasonable manner.

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7. Termination of EmploymentThe rights employees have when their employment contract is terminated depend upon the reason of dismissal and the employment contract. This has effects on the notice period and possible severance payments. The Vi-etnamese labor law is largely oriented to the needs of the workforce and, in particular in the case of labor disputes, is usually interpreted in favor of the employer.

The employment relationship ends in the following cases:

Reason for Termination Prior notice Payments to employee

Expiry of the labour contract

No notice requirement Severance allowance of 1/2months’worthof salary for each year of employment (*)

Tasks stated in the labour contract have been completed

Both parties agree to terminate the labour

Employee is sentenced to serve a prison term or is prevented from perfor-minghis / herformerjobby a judgment or decision of a court

Employee dies or is declared missing by a court

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Lawful unilateral termination by the employee

Definite term labour contract: 3 or 30 wor-king days, depending on the reasons for ter-mination Indefinite term la-bour contract: 45 working days. If termi-nation due to prolon-ged illness: 3 working days

Severanceallowanceof1/2months’ worth of salary for each year of employment (*)

unilateral termi-nation by the employer

Only possible in very few cases after a long an burdensome process of termination that includes the different grass roots unions.

*No severance allowance or job-loss allowance has to be paid for years in which contributions to compulso-ry unemployment insurance were made. Compulsory unemployment insurance was introduced with effect as from 1 January 2009 and applies to businesses with 10 or more employees.

7.1.UNILATERALTERMINATION

An employer can unilaterally terminate a labour contract (independent of whetheritstermisdefiniteorindefinite)onlyforthefollowingreasons:

Reason for unilateral termination by the employer Consent of trade union /notifica-tion to DOLISA?

The employee repeatedly fails to perform the work in ac-cordance with the terms of the labour contract (2 warning letters within one month required)

Yes

Disciplinary dismissal (see "Labour Discipline") Yes

Prolongedillness(12monthsormoreincaseofanindefi-nitetermcontract;6monthsormoreincaseofadefiniteterm contract)

Yes

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Production is reduced due to force majeure No

Organizational restructuring or technological changes Yes

Termination due to merger, consolidation, division, separa-tion, transfer of ownership of assets

Yes

Enterprise ceases operation No

7.2.BILATERALTERMINATION

The employment relationship can be terminated by a termination agreement. In contrast to dismissal, the termination contract is the most common and most viable option for terminating the employment relationship.

In practice, termination is often not easy. A mutual termination agreement bet-ween the employer and the employee is often used. This helps to avoid any dispute that may arise or any shortcoming of the termination procedure. The employer and employees may reach agreements on the date of termination, severance payments, etc. The time required to comply with termination proce-duresisreducedsignificantlywhenresolvedthroughmutualagreement.

8. Taxes and duties

8.1.PERSONALINCOMETAX(PIT)

Vietnamese and foreigners working in Vietnam are subject to pay personal income tax (PIT) on their salary. The duration of a foreign employees stay determines his tax status.

Tax residents are those individuals meeting one of the following criteria: – Residing in Vietnam for 183 days or more in either the calendar year or

the period of 12 consecutivemonthsfromthedateoffirstarrival

– Having a permanent residence in Vietnam and are unable to prove tax residence in another country

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Tax residents are subject to Vietnamese PIT on their world income at a pro-gressivetaxrateof0-35%.

Individuals not meeting the conditions for being tax resident are considered taxnon-residents.Taxnon-residentsaresubjecttoPITataflattaxrateof20 %ontheirVietnamrelatedemploymentincome.

8.2.COMPULSORY SOCIAL INSURANCE, HEALTH INSURANCE, UNEMPLOYMENTINSURANCE, AND TRADE UNION FEES

Vietnam has a compulsory social, health and unemployment insurance scheme. Contributions are to be borne by both the employer and the employee. The basis for calculating the contributions is the monthly salary as stipulated in the labour contract(cappedat20timescommonminimumwageforSI / HIand20timesminimum regional wage for UI). Compulsory unemployment insurance only ap-plies to enterprises with 10 or more employees. Foreigners with a local employ-ment contract only have to pay contributions to the health insurance.

They do not have to pay towards the social and the unemployment insu-rance. An employer is obliged to withhold the employee’s portion of the insu-rance contribution from the salary of the employee and transfer the amount together with the employer’s portion to the insurance carrier.

Thecontributionratetotradeunionfundsissetat2%ofthesalaryfundfor Social Insurance contributions for employees. This fee must be paid into Trade Union funds once per month.

Employee Employer Foreign Employee

Social insurance 8% 17.5% 8%

Health insurance 1.5% 3% 1.5%

Unemployment insurance

1% 1% -

Union Fee - 2% -

Total 10.5% 23.5% 9.5%

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9. Penalties9.1.WORKPERMITVIOLATIONS

Penaltiesforemployersforfailuretoapplyforworkpermitsand/orexempti-onthereofisafineofupto150millionVND(7.000US-Dollar)ordeportation.There is also a possible suspension of the employer‘s operation for a period of one to 3 months in serious cases.

9.2.PENALTIESFOREMPLOYERSFORVIOLATIONSINTRADE UNION CONTRIBUTIONS

Failuretofullycontributetradeunionfeesortodosoinatimelymanner:fineoffrom24 %to30 %ofthetotalunionfeesdue(cappedat150millionVND7.000 US-Dollar) and interest for late payment.

Failure tocontribute tradeunionfees forallemployees:finefrom36 %to40 %ofthetotalunionfeesdue(cappedat150millionVND7.000US-Dollar)and interest for late payment.

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About us

As attorneys, tax advisers, management and IT consultants and auditors, we arepresentwith111ownofficesin51countries.Worldwide,ourclientstrustour 4,700 colleagues.

The history of Rödl & Partner goes back to its foundation as a solo practice in 1977 in Nuremberg. Our aspiration to be on hand wherever our international-ly-activeclientsareledtotheestablishmentofourfirst,ownoffices,com-mencing with Central and Eastern Europe in 1989. Alongside market entry in Asiain1994,theopeningofofficesinfurtherstrategiclocationsfollowed,inWestern and Northern Europe in 1998, USA in 2000, South America in 2005 and Africa in 2008.

Our success has always been based on the success of our German clients: Rödl & Partner is always there where its clients see the potential for their businessengagement.Ratherthancreateanartificialnetworkoffranchisesoraffiliates,wehavechosen tosetupourownofficesand relyonclose,multidisciplinary and cross-border collaboration among our colleagues. As a result, Rödl & Partner stands for international expertise from a single source.

Our conviction is driven by our entrepreneurial spirit that we share with many, but especially German family-owned companies. They appreciate per-sonal service and value an advisor they see eye to eye with.

Our ‘one face to the client’ approach sets us apart from the rest. Our clients have a designated contact person who ensures that the complete range of Rödl&Partnerservicesisoptimallyemployedtotheclient’sbenefit.The‘ca-retaker’isalwayscloseathand;theyidentifytheclient’sneedsandpointsto be resolved. The ‘caretaker’ is naturally also the main contact person in critical situations.

We also stand out through our corporate philosophy and client care, which is based on mutual trust and long-term orientation. We rely on renowned specialists who think in an interdisciplinary manner, since the needs and projects of our clients cannot be separated into individual professional disci-plines. Our one-stop-shop concept is based on a balance of expertise across the individual service lines, combining them seamlessly in multidisciplinary teams.

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WHAT SETS US APART

Rödl & Partner is not a collection of accountants, auditors, attorneys, ma-nagement and tax consultants working in parallel. We work together, closely interlinked across all service lines. We think from a market perspective, from a client’s perspective, where a project team possesses all the capabilities to be successful and to realise the client’s goals.

Our interdisciplinary approach is not unique, nor is our global reach or our particularly strong presence among family businesses. It is the combination thatcannotbefoundanywhereelse–afirmthatisdevotedtocomprehen-sively supporting German businesses, wherever in the world they might be.

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Contact

HO-CHI-MINH-CITY

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T + 842873072788M +84 9 3894 9451E stefan.ewers@roedl.com

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T +84 24 7300 0077M +84 8 6610 3104E jan-volkert.schmitz@roedl.com

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