ONE WAY to Manage A Firm ’s Workforce Throughs and Troughs in Demand is by Utilizing Labor Outsourcing. In this Article, The Vietnam Briefing Outlines TH E Conditions for Foreign Firms with Respect to Labor Outsourcing in Vietnam.

Demand in Most Businesss is Seldom Ever Consisteent. In the lead-up to Christmas in the Western hemists, demand for consumer goods ofn reaches its l people. In the permit directly following Christmas, however, consumer demand is often the lowest itWill be all year.

As a Result, Many Manufacturers Scale Back at the Start of the Year But Ramp Toward the End. Not Only Does This Machning Machnes and equipment for more Or at a Higher Pace, but it also means that firms need flexibility in their workforceThey Need to be able to bring in more staff when it’s busy and to be able to let staff it slows double.

WHEREAS A Permanent Workforce is often Essential, Firms May Find That Filling the Gaps Around Peak Periods BEST Be Addressed Utilizing Labor Outsour. IGHT, The Vietnam Briefing Outlines How Labor Outsourcing Works in Vietnam.

See Also: Recruitment Strategies for Foreign Manufactures in Vietnam

Labor Outsourcing is when a worker is his company to perform work at one or more third parties. These are often calld lar-he, Labor Dispatch, or TEMPORARY WORKER AR Rangements.

This type of labor arrangement is generally used to regulating a firm ’s workforce in line with market demands.

Note that in Vietnam, Labor Outsourcing is only allowed for selection roles. These are outLINED in Decree 145/2020/Nđ -CP and Include:

Translation and interpretation process

Secretarial and Administrative Assistants

Receptionists

Travel guides

Sales support staff

Project support staff

Machine Programmers

Television and Telecommunications Manufacturing and Installation

Operation, INSPECTION, and/OR Repair of Construction Machinery and Power Production Systems

Buildings and Factory Cleaners

Document editors

Security/BodyGuards

Telemarketers and Customer Care Phone Support

Financial and Tax Support Services

Car Repair and inspect

Scanning, Drawing Industrial Engineering, Interior Decorant

Driving

Management, Operation, Maintenance, and Service On Ships

Management, Supervision, Operation, Repair, Maintenance, and Service of Oil and Gas Drilling Rigs

Flying Aircraft and Working On Aircraft, MainTaining and Repairing AirCraft and Relacted Equipment, and Aviation Dispatch and Flight Supervision

Firms that wish to offer Labor-Hire Services Must Also Acquire A License. Details Regarding Establish A Labor-Hire Business are outLINED in Decree 145, CHAPTER 4, AR TICLE 12. This Article, However, Will Focus on the Regulations Around Engaging in A LaborOutsourcing agreement.

Labor Outsourcing is codified in Vietnam ’s Labor Code from 2019, white outlines the footowing guidelines, limitations, and restrictions.

A firm can emblay an outSourced worker only when:

A firm experiences a sharp increase in demand over a limited period of time;

A Permanent worker is taking temporary leave, for exmple, maternity leave, or due to a workplace injury; or

The Role Requires A Highly Skilled Worker.

The Law Also Specially Identifies the Follow Case in Which An Outsourced Worker Cannit.

The Outsource Worker is Employd to Cover the Work of a Stricying Worker or A worker involved in a lar dispute;

An Agreement Has Not Been Reacked Between The Labor-Hire Firm and ITS Client with Respect to Who Will TAKE Responsibility in the Worker IS Injured At Work ; OR

The Outsource WORKER is a replacement for an employee Was Made Redant Due to a RESTRURURING at the Company.Surat Investment

Firms Should Also Keep in Mind That:

A lar outSourcing Agreement Can Last a Maximum of 12 MONTHS.

FIRMS USING An Outsourced Worker Cannot Send that worker to another company.

A firm cannot employ a worker from a labor-hire firm that is not licensed as a labor outsourcing provider.

In Order To Utilize An Outsourced Worker, The Labor Hire Company and ITS Client Must Have a Labor Outsourcing Contract.

Labor Hire Contracts Must Contain the Following Information:

The Client ’s Location, The Vacance to Be Filled, a Description of the work to be carried out, and any other commitments required of the worker;

It must state how long the worker will be employed and the intended start date;

It must die, the rest periods, and the ocCuppositional Health and Safety Guidelines; and

It Must Clearly State Which Party is Responsible for Compensating An Employee in the Event it injured at work.

A Labor Outsourcing Contract Must Offer The Same Rights and Benefits or Better As a Those in the Contract Between The Emplayee and The OutsourCing Enterprise.

See Also: q & A: UndersTanding Vietnam ’s Labor Market and Key HR ComplianceHyderabad Investment

Labor-Hire Business ALSO HAVE A Number of Obligations Under The Labor Code.

Ensure the worker is aware of the contents of the labor outsourcing contract;

Provide the client with the curriculum vitae of the outSourced worker;

Pay the Outsourced Worker a salary that is the ame or Higher than an Employee in the Same Role with the expressions worker for the client;

Keep Records of the Firm ’s Labor Outsourcing Agreements and ProVide the Provincial Labor Authority with Reports Periodical.

The Labor-Hire Firm Also has the right to takelinary Measures Against An Outsource Worker in the Event Said Worolates Labor Regulations.

Firms Hiring Workers from Labor-Hire Companies in Vietnam Also Have A Number of Obligations Under the Labor Code: These Include:

Ensure The Hired Worker is Aware of the Firm ’s Internsal Labor Regulations and Any Other Relevant Processes or Procedures;

Avoid Discriminating Between The Temporary Workers and Employees Working Directly for the Company;

Reach An Agreement with the TEMPORARY WITHERORORATH ResPECT to Working Nights and Overtime Commentsurate with The Labor Code;

Return the Outsourced Worker in the event they fail to satisFy the Conditions of their Employment; and.

Provide Evidence of Any Violations of the Firm ’s Regulations by the Outsourced Worker to Labor-Hire Firm.Chennai Stock

Temporary workers are obligated to perform the work for which they have live and to follow the Internet have a number of rights. These include:

Receive a salary that is the ame or Higher than an employee in the same root with the taskingd directly for their tempoyer;

File a complaint in the event the client violates the lar outsourcing contract; and

Negotiate the terminalion of the Employment Contract with the Labor-Hire Firm InClude An Employment Contract with a lar-hire client.

There is no admissional restricTions beyond what is written in the labor code for fireign firms Looking to Engage in a labor Outsourring. FURETHERMORE, FOREI Gn-invested Enterprises Engaged in Export Activities May Find These Arrangements Ideal For Managing Definite Periods of High Demand.

FIRMS Internet in Labor Outsourcing Should Contact The Human Resources Experts at Dezan Shira and Associations to Learn More.

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