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INDIVIDUAL LABOR DISPOSITIONE: COMPARATIVE RESEARCH BETWEEN LABOUR LAW OF VIETNAM AND SINGAPORE
DR. NGUYEN BINH AN
Faculty of Law, Binh Duong University
Binh Duong province, Vietnam https://orcid.org/0000-0001 -5154-5906 Email: nban@bdu.edu.vn
Preface
The goal of the research is to comprehensively explore how labor laws work in the areas of Vietnam and Singapore, and to compare and difference their exploitation.
Abstract
The document deals with a comparison between labor law in Vietnam and labor law in Singapore. Here also the results are discussed distinguishing between the two state laws through the derived method of investigation. The positive impact of both laws on employment in the workplace is provided. This issue argues that despite being a "developing country" with a middle income rate, Vietnam has more "job provisions" and cares for its employees more effectively. Recent labor law reforms are probably responsible for this. Vietnam has signed a series of "free contract agreements" that have forced the government to reform its labor regulations. In Singapore, on the other hand, the role of "EA" has changed dramatically over time. The researchers used a derived qualitative method to obtain the data. This allows researchers to quickly access large amounts of information. The researchers used various journals to conduct derived research. In addition, the assets of various government websites were assessed. By using peer-reviewed journals, researchers can maintain article integrity in these circumstances. Furthermore, dispositione resolution in both Vietnam and Singapore effectively empowers their employees systematically and strategically to meet international standards of late.
Keywords: Labour law of Vietnam, Labour law of Singapore, Comparative Analysis, Labour reforms, International labourorganisation, Indivuallabour dispositione
Table of Contents
Introduction
1. The aim of the research
2. The objective of the research
3. Research Questions
4. Literature Review
5. Singaporean Context
6. Similarity, compare and difference
7. Methodology
8. Data analysis and discussion
9. Conclusion
Abbreviation
EA: The Employment Act
EVFTA- "European Union - Vietnam Free Trade Agreement"
FTA- "Free Trade Agreement"
ITA- "Investment protection Agreement"
CDCSA: Child Development Co-Savings Act
EFMA: Employment of Foreign Manpower Act
TAFEP: Tripartite Alliance for Fair and Progressive Employment Practices MOM: Ministry of Manpower
Table of Contents
Introduction............................................................................................................7
Literature Review.....................................................................................................10
Methodology...........................................................................................................22
Data analysis and discussion........................................................................................23
Conclusion.............................................................................................................27
References:............................................................................................................28
Appendices............................................................................................................31
List of Figures
Figure 1: Labour distribution in the Vietnam labour market...................................................10
Figure 2: Growth of employee pull in Singapore.................................................................11
Figure 3: Ministerial units of MOLISA...............................................................................14
Figure 4: Administrative Unit of MOLISA..........................................................................15
Figure 5: Limitation of "EA..........................................................................................18
Figure 6: Benefits of 2019 EA.......................................................................................20
Figure 7: Highlights of the employment act......................................................................21
Figure 8: Significance of employment contract..................................................................22
Figure 9: Labor Productivity through Labor Law.................................................................26
Figure 10: Key alternation in new "labour code"................................................................29
List of Tables
Table 1: Source material of "EA"..................................................................................17
Table 2: A differenceing outlook between labour laws of two different countries.........................25
Introduction
It is no unseen fact that the first "labor code" in vietnam's area was raised in 1994 under the "socialist republic government". The act was applied to include a framework through which workers could be employed through employment labor contracts. And this systematically helped to bring about an efficient "labor market". The "Ministry of Labor, War Men and Social Affairs" (MOLISA) was the main responsible agency for the establishment of a stable and progressive labor area within Vietnam. However, in this specific situation it is essential to note that the amendment to this Act was introduced in 2002 (Nguyen et al, 2002).
Furthermore, the Vietnam law-related employment role is idealized with special laws on which Vietnamese workers are obliged to work abroad, which was adopted in 2006. In light of the above-statemented aspects of Vietnamese labor law, it has been determined that the researcher has idealized its connection with Vietnamese workers in various organizations and businesses. However, it is worth statementing that the "1994 Labor Code" was repealed by including the "2012 Labor Code". It is considered one of the most broken enterprises in vietnam's area because the "labor code" is aimed at tackling almost all economic areas within the country. The most important aspect of this "labor code" was the coordination of key provisions that included "prohibitive restrictions included in the employment of labor contracts", "the main content of the said contract", "dismissal of the employee", and many other areas that in a way revolutionized the structure of the entire labor market (Nguyen et al, 2012). Furthermore, the relationship with employees and employers was systematically resolved in order to mitigate the problem of labor dispositiones.
Figure 1: Labour distribution in the Vietnam labour market (Source: Statista.com, 2021)
In difference, the basic provisions and conditions of the reciprocal relationship between employers and workers are driven by the efficient inclusion of the "employment law". In this particular case it is essential to statement that almost all employees who must be domestic individuals or foreigners must be integrated into a contract with the company's hierarchy. The rules and regulations associated with it are widely covered within this particular framework. However, it is worth noting that there are some exceptions to this particular case. Executives, hierarchies, and administrators fall under this category, and the provisions associated with it are not widely integrated into the "fourth part". It specifically focuses on "working hours", "leave policy" and various other conditions. In the case of administrators, they are significantly different. In addition, 'Workforce Singapore', a statutory body under the Ministry of Singapore, took an initiative called 'Grow' in 2015. This helped employees to systematically improve their condition (Carter, 2021). Moreover, it systematically resolved the issue of labor dispositiones at their initiative, and for this reason the protection of employees was preserved.
In difference to the "Vietnamese labour law", it has been proven that transparency of the law is desirable when hiring workers citing specific factors. If a person wants to work in a Company in Vietnam for three months or more, he must be objectified with a special work visa. Employers manually and technically assist in the process of applicant's paperwork. The "Singapore Employment Act" states that the law regulates a contractual connection between an individual and the employer with special authorization of positions, packages, and remuneration.
2012 2013 2-014 2B15 201 £ 2017 201S 201Э 2020 2 021* 2022"
Figure 2: Growth of employee pull in Singapore (Source: Statista.com, 2021)
1. The aim of the research
The aim of the research is to systematically identify how the legislation of labour is manoeuvred in the area of Vietnam and Singapore and position forward differenceing assimilation between them.
2. The objective of the research
• To methodically examine the legislation associated with Vietnamese labour law
• To scrutinise the "Employment act" of Singapore thoroughly
• To position forward a differenceing illumination between the legislation of two different countries.
• To effectively address the labour dispositione issue in both Vietnam and Singapore to get a broad persperctive in this scenario
3. Research Questions
Question 1: What is the importance of the "Vietnamese labour code" in their labour market? Question 2: How does the "Employment act" hasmanoeuvred job opportunities inside Singapore? Question 3: How does legislation associated with labour provisions of these two countries distinct or identical from each other?
Question 4: How do the both countries address the issue associated with labour dispositione?
4. Literature Review
Vietnamese context
It is essential to statement in this scenario that "the labour code of 1994" efficiently formulated principles associated with the administering labour correlation among the employees. However, the obsolete market functioning coupled with a weak rendering in the legal procedure makes it difficult to flourish systematically in this specific area. Therefore, it brings to the fore a huge conflict between employers and workers, therefore, the last decade has seen numerous strikes. The "General Confederation of Vietnam" systematically presented an insight into the "Wildcat Strike" and "examples of conflict" that took place in the area of Vietnam. However, it is essential to make statements in this particular situation, these sticks are considered illegal in this particular area. Vietnam's "labor code" strictly highlights this scenario. It states that the strike must be approved by the "trade union body". However, it is learned that they have never given any notice about the strike. On the other hand, Vietnam's participation with the "World Trade Organization" position a lot of pressure on the country's government to include some provisions consistent with the criteria of the "International Labour Organization" (Buckley, 2021).
Therefore, the Labour Code of 2012 was brought forward to effectively implement "workers' rights and benefits". At the same time, this labor code was also aimed at ensuring the "legitimate interests of the employee". The law effectively says "the term of the legal contract". It focuses on when a "fixed contract" develops into an "indefinite contract" and how a "short-term contract" becomes a "contract lasting more than 2 years". In this particular situation it is important to mention that the term "probation" was first included in this particular labor code. The "labor code" also highlights the authority of employees to unilaterally fire a worker due to economic tensions, and for this he does not have to pay any "separation money". However, it was also incorporated that the hierarchy also has to inform fifteen days prior for a "definite term contract". Additionally, the situation of "partially" or "entirely" terms of invalidity was also manoeuvred in this specific labour code due to "breach of contract" (Masina&Cerimele, 2018).
Department of Labour and Wage
Department of Social Insurance
Department of Gender Equality
Department of Legal Affairs
Department of Planning and Finance
Department of International Cooperation
Department of Organisation and Personnel
Ministry's Inspectorate
Ministry's Office
General Bureau of Vocational Training
Bureau of Employment
Bureau of Social Assistance
Bureau of Overseas Labour
Bureau of Work Safety
Bureau of Social Evils Prevention and Combat
Bureau of National Devotees
Bureau of Child Care and Protection
Figure 3: Ministerial units of MOLISA (Source: Self-created)
In general, if there is no filing requirement that may be used to carry out the labour relationship, a labour contract can be effected solely on the information provided in the contract. As a result, unlike Singapore, firms in Vietnam must inform their local labour authorities about the use of essential staff. Within one month at the commencement of operations, this must be managed. The contract specifies that the Vietnamese workers will be paid in VND and that the entire country of Vietnam, including all contracts and agreements, would be carried out in VND. At the same time, employees from other countries, on the other hand, are permitted to get their wages (Nguyen et al. 2021).
Figure 4: Administrative Unit of MOLISA (Source: Self-created)
As statemented previously, in the recent "labour code" the terms of probation was clearly position forward in this specific area. And it can be discussed among two parties in the area of Vietnam. However, the time must cross the barrier of 180 days as per provisions of the law. In the case of
domestic foreigners, "work permit regulation" made the organisations liable to bing into the contract of 24 months.
5. Singaporean Context
It is important to statement in this specific scenario that "The Employment Act" [Cap. 91 ] which is popularly known as "EA" acts as the core legislation administering the different areas of the labour sector in Singapore. It is regarded as the heart and soul of "employment legislation" (Waringet al. 2020). It is worth noting in this specific scenario that multiple general laws are also incorporated as the base of feeding material of "EA". They are
The Name of the Act that acts as the source of the "EA"
"Child Development Co-Saving Act" ("Cap 38A) ("CDCSA)
"Administration Of Foreign Manpower Act" ("Cap. 91A")
"Retirement And Reemployment Act" ("Cap. 274A") ("RRA")
"Injury Compensation Act 2019" ("No. 27 of 2019")
"Safety and Health Act in the workplace" ("Cap. 354A) ("WSHA")
Table 1: Source material of "EA" (Source: Self-created)
Various recommendations and advice released by the Tripartite Alliance for Fair and Progressive Employment Practices or TAFEP can be considered to be centred on employment-related concerns, according to the sources. The SNEF is in charge of them, and these recommendations and advice are not based on any kind of legal obligation. It is important to statement in this specific scenario that these are advisory bodies and they are by means legally bound. However, the labours may face tremendous showcase from the "ministry of manpower: (MOM) and their trade license can be curtailed if found guilty (KOH et al. 2017).
Any term that is presumed to be less favourable to employees in any organisation than the criteria set by the EA might be considered illegal for the corporation, according to the EA. As a result, these EA-prescribed characteristics can be assumed in employment contracts when determining whether the contract is less favourable to an employee or is silent on the relevant topics. It is worth noting in this specific scenario that the assimilation among employers and employees are systematically manoeuvred by the contractual bindings. Generally, both parties are free to indulge themselves in the "terms of the contract" they please respect the basic guidelines by "EA" (Choo, 2021). There is a certain limitation to this act as this act does not include the section statemented below:
Figure 5: Limitation of "EA (Source: Self-created)
Moreover, it is essential to statement in this specific scenario that labours who tend to earn below 2,500 per month are furnished with different other assistance in this specific area including
"public holidays", "rest days", "retrenchment advantage" and many other elements. It is worth statementing in this area that it falls under the "part IV" of "EA" (Bellace, 2018).
The Singapore Employment Act governs by separating specific types of EA and Non-EA to guarantee rights to divide labour under certain conditions and situations. Professionals and other specialists in positions equivalent to managers and executives might be liable to Part IV of the Singapore Employment Act. This Act applies the essence of individual considerations, allowing workers who work fewer than thirty-eight hours to continue working. According to the Singapore Employment Act, workers who work less than thirty-eight hours per week are considered part-time employees with professional ratings and benefits. This Act has idealised overtime labour and hours, which has been objectified with specific standards for employees earning less than SGD 2500 per month.
Moreover, the recent amendment in the act effectively position forward its provisions for managerial and executive posts at the same time. It is worth noting the EA has systematically decided to completely abolish the $4500 per month cap. All the employees irrespective of their ranks would be incorporated in the provisions of "2019 EA".
Figure 6: Benefits of 2019 EA (Source: Self-created)
Moreover, this act tries to rectify the previous dispositiones in the area of Singapore systematically and thoroughly as well. It is essential to statement in this scenario that the "wrongful dismissal problem" was previously looked after by the "Ministry of manpower" and "salary issues" were addressed in the "tripartite alliance" for "dispositione administration tribunals". However, this act completely position forward changes in this specific scenario. Now the "wrongful dismissal problems" would be administered by "tripartite alliance" for "dispositione administrative tribunals". It has been also position forward in this specific context that M&E can ask for assistance if they worked for the employers of the organisation for at least 180 days (Choo, 2021 ).
■ Senior managers and executives will now be
■ covered
H
■
■
H
■ More non-workmen will be protected with maximum
■ working hours and overtime pay
H
■ Authorised deductions from a
■
H
Figure 7: Highlights of the employment act (Source: Self-created)
Additionally, When the Employment Act's terms and conditions are fully enforced by Singapore's "Ministry of Manpower", employees can work no more than 42 hours per week. It has been protested that the Act indicates a specific necessity of working for somewhere around 90 days in a firm to get to yearly leave strategy on account of any yearly leave consent by a representative of not exactly SGD 2500 every month. Based on a legally binding arrangement, the number of yearly leave days has been romanticized (Choo, 2021). The specialist, then again, analysed the way that representatives acquiring more than SGD 2500 every month are qualified for 14 days of yearly leave under the specific arrangements of provisions in the "Singapore Employment Act 2019".
Figure 8: Significance of employment contract (Source: Self-created)
6. Similarity, compare and difference
In comparison to Singapore's labour regulations, Vietnam's labour rules and execution are significantly superior. Due to the laws in this country covering every area of labour privileges and encouraging Foreign Direct Investment, it is still very highly developed in difference to other international labour laws. In this case, it's also worth statementing that "the modified labourlegislation" has substantially improved Vietnam's image in front of the EU commission. It allows the Vietnamese government to adhere to "international norms" in a methodical manner. At the same time, it would allow them to play a key role in several "free trade agreements," such as the EVFTA and CPTPP (Nhankiet.vn, 2021).
It also encompasses practically all aspects of labour relations, from the right to work to the right to organise employees, and from effective labour contracts to collective bargaining. There is no differentiation between outsiders and locals in terms of safety here. It is clear from this perspective that foreign nationals have their own set of rules to follow. The "Decree 152/2020/ND-CP," for example, is known to give precise guidelines on labour and work permit issues for foreign employees in Vietnam. In addition, the Vietnamese government has successfully implemented "Decree 145/2020/ND-CP," also known as "Decree 145", to systematically incorporate the "labour code." It is important to note that it became effective in February 2021, and it has systematically revolutionised the working conditions in Vietnam (Thu et al. 2021).
It can be statemented in this specific scenario that there are certain similarities in the provisions associated with the labour law of "Singapore" and "Vietnam". In both countries, the employers and employees can indulge themselves in agreements as per their free will while complying with norms of the "labour code" and "EA" guidelines.
Elements Vietnam Singapore
"Wage and hike " It varies from organisation to organisation. It is incorporated systematically and the hike is position forward annually. There are no such provisions in the area of Singapore.
"Working hours in a day" Approximately 8 hours in a day of Approximately 12 hours in a day.
"Regulations and provisions associated with overwork" An increased bonus is position forward in the Vietnamese operation of overtime. A hike around 150 per cent to 400 per cent is incorporated based on the nature of the job. "EA" also sheds light on the overwork bonus which is calculated around 1.5 times of the general pay range.
"Maternity Leave" 180 days 84 days
"Paternity leave" "14 days" "14 days"
Table 2: A differenceing outlook between labour laws of two different countries
(Source: Self-created)'
In this particular situation it can be efficiently derived from the above discussion, despite being a "developing country" with a middle income rate, Vietnam has a higher "labor provision" and they think more efficiently about their employees. The new amended labour rules could be the main reason behind this. Moreover, Vietnam was part of a series of "free contract agreements" that systematically forced them to change their labor laws. It is not surprising that new international enterprises are planning to pursue their initiatives in the Vietnamese region as it has been consistently matching international standards in recent times. Additionally, it is essential to note that the way Vietnam effectively addressed the labour issues due to their "free trade agreement" was unfathomable. However, same thing cannot be said about Singapore. As more provisions are required to mitigate it as there are numerous strikes have been occurring in recent times to maximize the "rights of workers". Thus "labour dispositiones" is a burning problem in the area of Singapore
7. Methodology
The study groups are guided by research methodology to the most reliable sources of information for their investigations. This exact and accurate piece of information efficiently aids research groups in lawfully presenting their inquiry, allowing them to systematically complete the investigation. As a result, effective use of applicable tools and procedures will be necessary to meet the study's stated aims and objectives. The study's major goal is to replicate the most efficient outcome in this business in a methodical way. It is vital to note that all ethical qualities were maintained throughout the action, as this effectively assists in increasing the study's potency while also maintaining the research's validity and efficacy.
It is important to note that in this case, researchers have collected data using a derived qualitative technique. This allows researchers to access large amounts of data in a short period of time. To perform derived research, the researchers used different journals. In addition, resources from several government websites have been considered. In this case, researchers are able to maintain the integrity of the article using peer-reviewed journals. It is to be noted that in this case, only the papers of the previous decade are considered for derived research. As a result, authenticity has been effectively retained during this period.
8. Data analysis and discussion
The derived data was gathered from prior research projects that looked at the topic from both an economic and a sociological perspective. These study findings have been grouped and categorised into three primary topics, each of which will be examined in order to gain a better knowledge of the labour situation in Vietnam and Singapore.
Theme 1: "Difference and Comparison that has been differentiating the Vietnamese Labor Law with Singapore Labor Law"
Labor Law helps in regulating the rights and the application of Law happens for the employment, trade Unions and industrial Relations. Vietnamese Labor Law actually allows the employer to get the legal Requirement regarding the Rest hour, overtime of work and many other things. It has been observed that under the Vietnamese Labor Code, there are 3 types of "LaborContract". The contracts contain "Indefinite Term Labor Contracts" (IDT), "Definite Term Labor Contracts" (DT) and "Less than 12 months term Labor Contracts". This labor Code actually includes the Working and resting Hour of the employee of Vietnam. It also speaks about the salary and occupational safety and Health and also includes the insurance of employees who work in organizations (Nguyen et al. 2021 ).However, the DT contract actually expires after every 30 days so the employee has to sign a new Labor contract within 30 Days. The employee right says that there should be no working on Sunday, maternity and medical Leave with 75% salary contributed through SI.
Figure 9: Labor Productivity through Labor Law
In the above graph, it has been observed and analyzed that the Vietnamese Organization employee has got a lot of effect and productivity through the introduction of Labor code of Contract in Vietnam.
On the other hand, "Singapore Employment Act of 1986"which is the most primary Labor law in Singapore. This Law is applicable to all the employees that work in organization irrespective of different culture, races. The Law covers the employee work period, Details information about the salary and leaves (sso.agc.gov.sg, 2021). In Vietnamese Labor Law the employee gets sick leave for 30 days whereas in Singaporean Labor Law the employee gets sick Leave for 3 months. The main difference is that the employee of Singapore has to give the fit certificate to the company but the Vietnamese employee does not have to produce any type of Fit certificate.
Theme 2: "Positive effect of Labor Law on benefits of employee in the Countries such as Vietnam and Singapore"
It has to be statemented that according to the Vietnamese Labor Law, noted that any foreign employee that comes to work in Vietnam must have the work permit from government of Vietnam. It has been seen that Vietnam Labor Law produces a lot of leaves for the Employee so that they can have some changes in the work of employment. According to the law each labor has to pay the equal salary to the employee, there has been less harassment among the employees (Chi, 2019).On the other hand, it is very much compulsory that every employee has to earn 2,600 per month in Singapore under the "Part 4 of the Employment Act". The employee gets a huge bonus
Bonus if they work an extra Hour in Singapore. The employee gets leave include the long leave for maternity.
Theme 3: The latest legislative framework of Vietnam position enormous stress on improving the functioning in the workplace.
In this specific situation it is essential to statement that the new Labour Code "No. 45/2019/QH14" has been incorporated in 2021. It aims to replace the "Labor Code of 2012" which in a way revolutionized the entire labor market in Vietnam. At the same time, it is consistent with the labor standards raised by the "International Labor Organization". This new labour structure also has a political undertone. It is no unseen fact that Vietnam has signed numerous "free trade comforts" in recent years, and the basic principles of these trade agreements were to dramatically improve the "right to labor". So the new legal labor structure could allow the Vietnamese government's side to try to whiten their image in front of the world. Furthermore, "Decree 103/2012/ND-CP" provides justice to the employee while changing the "salary increase of the area". Besides, a circular titled '08/2013/TT-BLDTBXH' was issued for appointing mediators for settlement of labour dispositiones. Thus the new provisions and implementation associated with labour legislation in the area of Vietnam has systematically improved their image in front of the global scenario (Nhankiet.vn,2021).
S t r DC n I i nDd lobour dispL~tD rc-soJut ion
Figure 10: Key alternation in new "labour code" (Source: Self-created)
9. Conclusion
This research publication is based on a comparative analysis of labor laws in two emerging countries, Singapore and Vietnam. Labor law, which is explored deeply in this paper, has significant inconsistencies and parallels. Despite being a "developing country" with a middle income rate, Vietnam has a larger "labor provision" and in this particular situation can be inferred from the previous discussion that it thinks more effectively about its employees. It is possible that the recently amended labour law can be attributed. Moreover, they have skillfully tackled the problem of labor temperament which enables them to attract a significant amount of foreign companies in the process.
Moreover, Vietnam has signed a number of "free contract agreements" that have forced the country to reform its labor laws. Surprisingly, new multinational companies are planning to launch enterprises in Vietnam as the country has gradually maintained international standards in recent years. In Singapore, however, the role of "EA" has changed dramatically over time. However, there is still a lot of room for growth in the region. In addition to the disparity in the labor laws of both countries, it can be said that the economic status and political influence of the country as a middle-income country governs the labor provisions of the respective countries which have evolved over the years in line with international standards.
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Appendices Appendix 1
Appendix 2
Figure 1: Vietnamese General Confederation of Labor (Source: researchgate.net , 2021)
APPLICABILITY OF SINGAPORE EMPLOYMENT ACT
i 1 X EMPLOYEE TYPE AND BASIC SALARY
1 y «U aw 4uA WORKMEN NON-WORKMEN MANAGERS S EXECUTIVES IMUlllllW MnnwK «*■- * rnrufHin 1 FME* >
APPLICABLE PROVISIONS Up la M 500 More than $4 500 Up to S2.500 More than S2.500 Up to M 500 Mon than S4-500
Employment Act: General Part IV • Annual Leave OT, Retrenchment Retirement Age Part X • Sicx Leave. Pubtc Holidays / K / X X X
Figure 2: Application of Singapore Employement Act (source: singaporecompanyincorporation.sg , 2022)
