Terminating labor contracts with redundant employees

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termination-labour-contracts-of-redundant-employees-due-to-organizational-restructure

We understand that your organisation, (hereinafter referred to as “Client”) is now seeking legal advices for conducting necessary procedures for terminating labor contracts with redundant employees due to organizational restructure of your subsidiary in Vietnam.

We therefore are grateful to present you our Legal Services Proposal for your review and consideration.

1.Experience of SBLAW in the field of labor field

▶ Assisting a multinational company in Vietnam to terminate employment with about 100 redundant employees due to business restructure. This include negotiation with

▶Representative of Employees; preparing necessary documents for contracts termination, liaising with competent authorities for approval and resolving labor disputes arising from these cases before the competent court;

▶ Assisting a 100% foreign invested company in Vietnam to terminate employment with redundant from back office employees due to business restructure. This include due diligence study to find out final resolution for settling cases; negotiation with Employees;

▶ Assisting a non-governmental organization to terminate employment with about 15 redundant employees due to organizational restructure. This included providing advice on legal basis for termination, negotiation with redundant employees, preparing necessary documents for termination and liaising with competent authorities as required by laws; Acting for a foreign invested company in Vietnam, several Vietnamese companies tosettle labor dispute with Employees regarding to the dismissal at competent courts;

▶ Acting for an international school in Hanoi to settle labor dispute with its General Manager regarding to labor contract termination;

▶ Acting for a number multinational companies in Hanoi to prepare Internal labor rules, Labor Collective agreements under new Vietnam Labor Law

2. SCOPE OF WORKS

We anticipate that our work will comprise of the following 2 main work streams. These are the key work streams required in any termination process. Depending on your specific position/situation, other works may be required. Such additional works shall not fall under the scope of this Engagement Letter, but could be provided upon request.

Work stream 1: Due diligence

i. Provide you on overview on the regulatory for labor contract termination of employees;

ii. Study and analyze legal exposure that Client has to face in the process of labor contract termination and transfer of employees, including but not limited to legal exposure incurred from termination of employment contracts;

iii. Advice most appropriate approach for outstanding matters found during the analysis process.

Work stream 2: Labor Contract Termination

i. Assist Client in preparing the labor redundancy plan for submission to local labor management authority.

ii. Draft termination notification/ decision/ agreements with employees and related approval formalities internally as required by laws for management’s review and decision or review such termination agreements prepared by Client;

iii. Liaising with Competent Authorities for processing termination labour contracts of redundant employees. Roadmap for carrying out above scope of work can be described in details as follows:

a. Due diligence research: We shall collect necessary information and documents from you. Upon receipt of necessary information and documents from you, we shall study your legal position, legal exposure and approach the best solution for each case. During the due diligence research, face to face meeting may be required for further clarification (if any).

In such case, SB Law shall liaise with Contact Point of Client to appoint a meeting. We anticipate that this phase shall be completed within from 5 working days from the starting date. SB Law shall notice the Client if we need more time to finish the work.

After submission of Legal Analysis Report to Client, SB Law shall arrange 10 working hours for answering questions or comments raised by Client.

b. Assisting in conducting necessary procedure for terminating labor contract with redundant: After obtain mutual agreement on the best approach for each case, SB Law shall notice you detailed schedule for further process for termination of labor contract with redundant.

3. DELIVARABLES

The Deliverables will include documents prepared in English. Vietnamese Version shall be provided if the document is required for submission to licensing bodies if so required. Client will review, approve and where necessary sign these documents. .