JOINT CIRCULAR

GUIDING THE DECLARATION OF LABOR USE UPON THE COMMENCEMENT OF ENTERPRISES’ OPERATION, THE REPORT ON LABOR USE DURING ENTERPRISES’ OPERATION AND THE REPORT ON CESSATION OF LABOR USE UPON THE TERMINATION OF ENTERPRISES’ OPERATION, APPLICABLE TO ENTERPRISES IN THE ARMY

Pursuant to Article 182 of the Labor Code and the Government’s Decree No. 72/CP of October 31, 1995 detailing and guiding the implementation of a number of articles of the Labor Code regarding employment; after consulting with the concerned ministries and the Vietnam Confederation of Labor; The Ministry of Labor, War Invalids and Social Affairs and the Ministry of Defense hereby jointly guide the declaration of labor use upon the commencement of enterprises’ operation, the report on labor use during enterprises’ operation and the report on cessation of labor use upon the termination of enterprises’ operation, applicable to enterprises in the army as follows:

I. OBJECTS AND SCOPE OF APPLICATION

Enterprises in the army, including:

- Economic enterprises;

- Foreign-invested enterprises, enterprises with foreign parties participating in business cooperation contracts (hereafter referred collectively to as the enterprises).

II. DECLARATION OF LABOR USE UPON THE COMMENCEMENT OF ENTERPRISES’ OPERATION

1. Enterprises starting their operation as prescribed in this Circular are the enterprises established in accordance with the provisions of Vietnamese law, that begin to employ laborers.

2. Within 30 days after the enterprises commence their operations, the employers shall have to make declaration of labor use to the local Services of Labor, War Invalids and Social Affairs and the Ministry of Defense on the enterprises’ labor quantity and quality.

III. REPORT ON LABOR USE DURING THE ENTERPRISES’ OPERATION

Annually, before January 15 and before July 15, the employers of the enterprises shall have to report on labor use situation, labor recruitment demand as well as the implementation of labor policies and regimes in the previous year and the first 6 months of the current year to the local Services of Labor, War Invalids and Social Affairs and the Ministry of Defense.

IV. REPORT ON CESSATION OF LABOR USE UPON TERMINATION OF THE ENTERPRISES’ OPERATIONS

1. Enterprises terminating their operations as prescribed in this Circular include: The enterprises decided by the competent level to be dissolved; declared bankrupt; their operation licenses expired or enterprises violated laws and had their operation licenses withdrawn by the competent bodies.

2. Within 30 days after the enterprises terminate their operations, the employers shall have to report on cessation of labor use of the enterprises to the local Services of Labor, War Invalids and Social Affairs and the Ministry of Defense.

V. IMPLEMENTATION ORGANIZATION

1. Annually, in January and July, the Ministry of Defense shall submit to the Ministry of Labor, War Invalids and Social Affairs reports on the declaration of labor use upon the commencement of the enterprises’ operations, the report on labor use of the enterprises and on cessation of labor use upon the termination of the enterprises’ operation in the previous year and the first 6 months of the current year.

2. This Circular takes effect 15 days after its signing.

The enterprises in the army shall not report on labor use according to Circular No. 16/LDTBXH-TT of September 5, 1996 of the Ministry of Labor, War Invalids and Social Affairs on labor recruitment.

Any problems arising in the course of the implementation should be reported to the Ministry of Labor, War Invalids and Social Affairs and the Ministry of Defense for study and settlement.