On 27 November 2015, the National Assembly adopted a new Criminal Code No. 100/2015/QH13, which takes effective from 01 July 2016. This new Criminal Code will replace the old Criminal Code in 1999 and its amending / guiding documents.

Notably, the new Criminal Code provides new sanctions for violations in employment sector. Details of these sanctions are set out below:

Illegal dismissal of employees

In particular, if a person for his/ her own sake conducts one of the following behaviours that make dismissed employees or their families fall into difficult situations or go on strike, he/ she will be subject to monetary fine of VND10 million – VND100 million, non-custodial reform of up to 1 year or IMPRISONMENT/JAIL of 3 months to 1 year:

  • Illegal dismissal of employees;
  • Illegal issuance of decision on dismissing public servants; or
  • Forcing, threatening the employees or public servants to quit their jobs.

The violating person will be subject to VND100 million – VND 200 million monetary fine or 1-3 year IMPRISONMENT/JAIL if he / she commits the crimes in either of the following situations:

  • Dismissing 2 employees and more;
  • Dismissing pregnant employees;
  • Dismissing mothers of less than 12-month old baby; or
  • Causing the dismissed employees commit suicide.

At the same time, the violating person may also be prohibited from holding certain professional positions within 1- 5 years.

Employment of employees under 16

Anyone who employs a person under 16 to do hard or dangerous work or work that involves contact with harmful substances in any of the following cases will be subject to a fine of VND 30 million – VND 200 million or up to 03-year non-custodial reform or 06 – 36 month imprisonment:

  • The offender previously incurred a civil penalty or has a previous conviction for the same offence which has not been expunged;
  • The offence results in bodily harm to 01 people who suffers from 31% – 60% physical disability;
  • The offence results in bodily harm to 02 people or more who suffer from a total physical disability of 31% – 60%.

A sanction of 03 – 07 year imprisonment applies in the following cases:

  • The offence has been committed more than once;
  • The offence involves 02 workers or more under 16;
  • The offence results in the death of 01 person or bodily harm to 01 person who suffers from over 61% physical disability;
  • The offence results in bodily harm to 02 people, each of whom suffers from 31% – 60% physical disability;
  • The offence results in bodily harm to 03 people or more who suffer from a total physical disability of over 61%.

A sanction of 05 – 10 year imprisonment applies in the following cases:

  1. The offence results in the death of 02 people or more;
  2. The offence results in bodily harm to 02 people or more, each of whom suffers from over 61% physical disability;
  3. The offence results in bodily harm to 03 people or more who suffer from a total physical disability of over 122%.

The offender might also be subject to a monetary fine of VND 10 million to VND 50 million.

Evading payment of social insurance, health insurance, unemployment insurance for employees

A corporate legal entity who commits the following crimes is subject to monetary fine of VND 200 million to VND 500 million:

  • The amount of insurance contribution evaded is VND 50 million to under VND 300 million;
  • The offender fails to pay insurance for 10 – 49 employees.

A corporate legal entity who commits the following crimes is subject to monetary fine of VND 500 million to VND 1 billion:

  • The offence has been committed more than once;
  • The amount of insurance contribution evaded is VND 300 million to under VND 1 billion;
  • The offender fails to pay insurance for 50 – 199 employees;
  • The offender collects or deducts insurance contribution from the employees at the amount of VND 50 million to under VND 300 million or from 10 -49 employees but fails to pay insurance [to the authority].

A corporate legal entity who commits the following crimes is subject to monetary fine of VND 1 billion to VND 3 billion:

  • The amount of insurance contribution evaded is VND 1 billion or more;
  • The offender fails to pay insurance for 200 employees or more;
  • The offender collects or deducts insurance contribution from the employees at the amount of VND 300 million to under VND 1 billion or from 50 – 199 employees but fails to pay insurance [to the authority].

Coercive labour

Any person that uses violence or threat of violence or other methods to force a person to work against his/her will, depending on each case, be subject to monetary fine of VND30 million – VND200 million, 06-month to 12-year imprisonment, or prohibited from holding certain positions or doing certain jobs within 01 – 05 years.

Action plan

What we recommend to you now:

  • You should update your Internal Labour Rules
  • You should inform your managing team about these new rules !