Resolution No. 06/NQ-DCT dated January 16th, 2023 of the Vietnam General Confederation of Labor on general federation of labour regarding support granted to trade unionists or employees who are forced into reduced working hours or made redundant by termination of their labor contracts due to their companies’ cancellation or reduction of purchase orders

Under this Resolution, trade union members whose working hours are reduced or their labor contracts are terminated from October 1, 2022 to the end of March 31, 2023 due to their companies’ cancellation or reduction of purchase orders shall be granted support as follows:

- VND 1,000,000/person if they are forced into reduction in their working hours per day, week or month or have stopped working pursuant to clause 3 of Article 99 in the Labor Code for 14 days or more and earn income in any month which is equal to or less than the region-specific minimum pay rate

- VND 2,000,000/person if they are temporarily suspended from execution of their labor contracts, or are furloughed or on an unpaid leave of absence within the consecutive 30-day period (except for personal reasons).

- VND 3,000,000/person if they are not qualified for entitlement to unemployment benefits when being forced to terminate their labor contracts (except as they unilaterally terminate labor contracts in contravention of law; are sanctioned in the form of firing).

With regard to employees who are not trade unionists, they shall be granted support equal to 70% of the support for employees who are trade unionists (except employees who are 35 years old or older; pregnant female employees; employees who are raising children under 6 years of age, the support for them shall not be reduced).

The deadline for submission of application is March 31, 2023 at the latest.