Việt Nam’s Commitment to Labour Reforms: A Focus on International Standards

Introduction

As Việt Nam continues to integrate into the global economy, the country’s commitment to enhancing its legal frameworks around labor is becoming increasingly significant. The implementation of labor commitments under the EVFTA (EU-Việt Nam Free Trade Agreement), CPTPP (Comprehensive and Progressive Agreement for Trans-Pacific Partnership), and UKVFTA (UK-Việt Nam Free Trade Agreement) illustrates Việt Nam’s serious approach to reforming its labor laws to meet international standards.

Legislative Developments

In recent years, the Vietnamese government has placed a heavy emphasis on revising its legal system to align with international labor conventions. Reports from the Ministry of Industry and Trade indicate that by the end of 2022, Việt Nam had already ratified 25 conventions of the International Labour Organization (ILO). Among these were key conventions such as the right to organize and collective bargaining (Convention 98) and the abolition of forced labor (Convention 105).

These developments not only showcase Việt Nam’s dedication to improving labor relations but also underscore its proactive approach to adhering to international commitments. The National Assembly’s ratification of these conventions was swiftly followed by the Prime Minister’s implementation plan, indicating a streamlined process for transforming international guidelines into domestic laws.

The Impact of the 2019 Labour Code

The introduction of the 2019 Labour Code marked a significant milestone in Việt Nam’s labor reform journey. Despite the challenges posed by the Covid-19 pandemic, this comprehensive code has been implemented effectively by the business community, with positive feedback from both employers and employees.

The code encapsulates various aspects of labor relations, spotlighting the rights of workers, the establishment of organizations beyond the traditional labor confederation, and collective bargaining arrangements. This progressive legislation not only aims to improve working conditions but also to foster a harmonious environment between labor and business.

Reporting and Compliance Efforts

In terms of international reporting, Việt Nam has demonstrated diligence through its systematic reporting to the ILO. In 2021, it submitted its first national report on the implementation of Convention 98. Building on that momentum, in 2023, the country provided updates on both Convention 98 and Convention 105, ensuring transparency and accountability in its labor practices.

Despite not yet ratifying Convention 87, which focuses on freedom of association, the fundamental principles have been integrated into law through the 2019 Labour Code. This reflects an adaptive approach, paving the way for broader organizational rights that cater to workers’ needs.

Local Initiatives and Support Systems

At the local level, provinces and cities across Việt Nam are playing an active role in improving the welfare of workers. Initiatives focus on enhancing reconciliation between workers and businesses, addressing labor disputes, and ensuring the legal rights of employees are protected.

Notably, local governments are collaborating with enterprises to identify and resolve issues promptly. This grassroots approach not only benefits workers but also cultivates a more cooperative and responsive business environment.

Strengthening State Management

To support these labor reforms, the Ministry of Labour, Invalids and Social Affairs is reinforcing the organizational apparatus of state agencies responsible for labor relations. New functions and structures are being implemented to ensure that employee representative organizations operate effectively within enterprises.

Moreover, the Ministry is equipping local Departments of Labour, Invalids and Social Affairs with the necessary tools and guidelines to manage labor laws and advocate for workers’ rights.

Future Directions

Looking ahead, the Ministry of Labour is actively developing draft laws relating to the social sector, emphasizing social policies for the upcoming years. These initiatives are aimed at modernizing Việt Nam’s socio-economic approach and addressing evolving social challenges, particularly in the wake of the pandemic.

As provinces devise policies to support workers through vocational education and financial assistance, Việt Nam is laying a solid foundation for sustained growth and improved labor conditions amid turbulent times.

Việt Nam’s ongoing efforts to improve its labor system and commitments highlight a crucial evolution in its socio-economic landscape. By aligning domestic laws with international standards, the country is not only safeguarding workers’ rights but also enhancing its global competitiveness.