Question: I read your article regarding trade union. My understanding based on your article is that in accordance with “Decree No. 98/2014/ND-CP dated October 24, 2014” which takes effect from the 10th of December 2014:
1. Enterprises need to establish a trade union within 6 months from its operation.
2. If an enterprise fails to do so after 6 months, which I assume 6 months after the decree takes effect, the local union authority will set up a provisional trade union for our firm.
Is my understanding correct? What kind of advise and service you can provide us in this area? We are a software development firm established here since 2008 and only from 2012 had more than 10 employees. We have had contacted your company in HCMC earlier this year regarding this matter and have used your company services twice in other situations.
Answer: We hereby confirm that your understanding is right. Within 6 months from establishment, if the Enterprise fails to setup the Trade Union, Trade Union of the District Level shall be responsible to setup the Trade Union for your Enterprise.
However, failure to setup Trade Union within 6 months from establishment of the Enterprise is not considered as default of the Enterprise, except for that you prevent your employees from setting up Trade Union.