Towards Building Harmonious Industrial Relations in Vietnam
Vietnam, one of the fastest growing countries in the world, joined WTO in November 2006 and has continued to grow economically. Fueled by foreign investments, the opening of the market economy resulted in greater opportunities for economical development, increased in job opportunities and better integration within the global economy.
This has, however, brought about mixed emotions. The workers in general and their trade unions face an ever-changing landscape of modernization, liberalizations and the need to compete in an open market economy. The creation of jobs do not mean better or decent working conditions.
As more foreign economic partners, particularly multinational companies, practice a different model of industrial relationship, the trade union movement needs to understand the different approaches to represent members promoting partnership industrial relations.
UNI-LCJ in cooperation with UNI Apro had assisted Vietnamese unions to hold a seminar every year since 2000 until 2008. Two-days seminar was held on 22 – 23 November 2012 in Hanoi, under the theme of “Forging Partnership : Towards Building Harmonious Industrial Relations” jointly with Vietnam General Confederation of Labour (VGCL) and Vietnam National Union of Post and Telecom Workers (VNUPTW). Attended were unions from commerce, banking, post and telecom and others.
Head of UNI-LCJ delegation, Sis. Tomoko Terajima in her opening remarks expected the Japanese experience in partnership labor management relations would be useful for the balanced and healthy economic development in Vietnam.
The key note address was delivered by Bro. Nguyen Mạnh Cuong, Director, Centre for Industrial Relations Development, Ministry of Labour, Invalids and Social Affairs (MOLISA). He updated points concerning industrial relations in the Vietnamese amended Labour Code and Trade Union Law (2012). Bro. Nguyen Mạnh Cuong also highlighted the new law that emphasizes the process of consultation and dialogue between companies and trade unions in concluding collective agreements.
Resource persons from Japan and Vietnam spoke about the following topics and participants shared views in the exchange sessions.
• Labour management relations and its challenges
• Negotiating Collective Bargaining Agreement
• Organizing and recruiting union members
• Wage negotiation system
• Partnership industry relations – How to deal with the crisis of the company
• Corporate Social Responsibility
Questions from Vietnamese participants included;
• How should the union respond if the employer is not engaged in dialogue in a constructive attitude or if there is no agreement between the union and the management?
• If an employee’s wage is decreased due to the poor performance, will the union fee be also decreased?
• How are the back-office employees evaluated in a performance based salary system?
• Merits and demerits after the privatization of Japan Post
• Difficulties in organizing non-regular workers. Union dues for non-regular members.
Vietnamese participants expressed great concern and dissatisfaction for employers who do not pay a social security premium or retirement benefit under the excuse of depression, or use the premium for another purpose. VGCL respects the amended points in the labor code and law, but recognizes pressing issues such as the union officers’ lack of negotiation skills, and union officers and members’ lack of capabilities. Training for union leaders and empowerment of members must be addressed as pressing concerns.
“Union education is the most important in both countries. I commend Vietnamese unions efforts to raise the minimum wages to support families and built a harmonious industrial relationship with companies including MNCs,” said Sis. Tomoko. She encouraged everyone to work together.
Bro. Nyat, Deputy Director for International Affairs, VGCL thanked UNI-LCJ for their cooperation and UNI Apro for sharing Japan’s useful experiences and resources used to adapt to social problems caused by the changing situation in transition to market economy.