NEWEST LICENSE REGISTRATION FOR THE BUSINESS OF SENDING VIETNAMESE LABORS WORKING ABROAD UNDER CONTRACTS

The market of sending labors working overseas business service is one of the potential markets, not only it increases the profit for enterprises but also improves work skills for the labors, help them earn great income and stable lives.

In order to legally manage this business and protect legal rights for the labor, Vietnam Law on Vietnamese working abroad under contract has been issued on November 13th, 2020 and shall take effect on January 1st, 2022 amending and supplementing many important regulations comparing to the Law in 2006.

The following article will introduce Vietnamese working abroad under contract business line, analyze legal procedures for the business registration as well as compare its changes with the Law in 2022.

1. Overview about the business

According to the law, the service of sending Vietnamese workers abroad under contracts is a conditional business line. Laborers working abroad under contracts (hereinafter referred to as workers working abroad) are Vietnamese citizens that reside in Vietnam, fully meet the conditions specified in the laws of Vietnam and the host countries receiving workers and work abroad in accordance with this Law.

Besides, the contract for Vietnamese working abroad have 4 form:

  • Contract of sending workers abroad with enterprises providing services of sending workers abroad, non-business organizations licensed to send workers abroad;
  • Contract on sending workers abroad to a bid-winning or contractor enterprise or an investing abroad organization, individual that sends workers abroad;
  • Contracts on sending workers abroad to work in the form of skill improvement internships with the enterprises sending workers to work in the form of skill improvement internships;
  • Personal contract.

2. The content of the business

Enterprises implement sending Vietnamese workers abroad under contracts services shall understand the content of the legal services to avoid performing any act that are not permitted or specified in law. In specific:

  • Sign contracts relating to laborers working overseas;
  • Recruit labor;
  • Vocational and foreign language training for employees; improve necessary knowledge for workers before going to work abroad;
  • Perform contracts of sending workers abroad;
  • Manage and protect the legitimate rights and interests of labors working abroad;
  • Implement regimes and policies towards laborers working abroad;
  • Liquid contracts between enterprises, non-business organizations and workers working abroad;
  • Other activities of organizations and individuals related to workers working abroad.

3. Who is eligible for register

As mentioned above, enterprises considered to be issued licenses for sending labors working abroad are enterprises established and operated under Vietnam Business law and have 100% charter capital held by Vietnamese organizations and individuals.

4. Requirements for business registration

Enterprises fully meet the following conditions, may be granted a License for sending Vietnamese working abroad:

  • Company charter is from five billion VND (VND 5.000.000.000).
  • Deposit one billion VND (VND 1.000.000.000) at the Comercial Bank where the enterprise is headquatered according to the regulations.
  • Have the business scheme for sending laborers to work abroad;
  • Having a specialized machinery to deliver necessary knowledge to the worker before going to work abroad and send the worker to work abroad according to the regulations of the Ministry of Labor, War Invalids, & Social Welfare.
  • In case enterprises engage in business of sending workers abroad for the first time, they shall have plans to organize a specialized machinery of the business to help them acquire necessary knowledge and send them to working in the foreign country;
  • The executive leader in charge of the sending workers abroad sector shall have a university or higher degree, at least three years of experience in the field of sending workers abroad or operating in the field of cooperation and international relations;

 

5. The procedure for business registration

Dossier for license application shall include:

  • The enterprise’s written request for license;
  • A copy of the business registration certificate;
  • Papers proving the enterprise meet all regulated conditions for licensing. In specific:
  • Papers proving eligibility for legal capital of five billion VND as regulated;
  • Certificate of the one billion VND escrow at the commercial bank where the enterprise deposits;
  • The business’ scheme of sending workers abroad shall demonstrate: financial capacity, stable facilities, qualified and experienced staff that meet the requirements of the business line;
  • The resume of the executive leader of the business sector together with papers proving eligibility as specified in law;
  • Organational plan (for the enterprise engage in the sending labors working abroad business line for the first time) or reports on the organization for the machinery of sending workers overseas and the staff to provide necessary knowledge for workers before going to work abroad;
  • Curiculum vitae of staff in the business machinery responsible for sending Vietnamese workers abroad includes full name, date of birth, position, professional qualifications, foreign language qualifications, assigned tasks.

Enterprises shall submit dossiers at the Ministry of Labor War Invalids and Social Welfare. Within 30 days from the date of receiving a complete and valid dossier, the Minister of Labor, War Invalids and Social Affairs shall consider issuing licenses for the enterprise. In case of non-issuance, the enterprise shall be answered in writing and clearly state the reasons for the enterprise’s adjustment.

The license fee according to law is VND 5,000,000 (five million VND).

 

6. Change of license:

A service enterprise may change its license due to changes in business registration contents if it meets all legal capital conditions specified by sending a written request to the Minister of Labor, War Invalids and Social Affairs to adjust the information on the license.

Within 15 days since the authority receives the written request of the enterprise, the Minister shall adjust the information on the license. For the adjustment of information on the license, the enterprise shall pay a fee equal to fifty percent of the regulated license fee.

7. Amendment in license registration compared to the Law on sending Vietnamese labors working overseas 2022

In order to improve the legal framework and facilitate labor exporting enterprises, on November 13th, 2020, the National Assembly has passed Vietnamese working abroad under contracts law 2022 which specifies conditions as well as license registration for the service. The law shall take effect in Vietnam from January 1st, 2022.

The Law of sending Vietnamese labors working abroad under contracts in 2020 marked many noticeable changes in the conditions for registration of licenses compared to the Law in 2006:

  • Remove the operational scheme
  • Requirements for ownership, all members, shareholders are domestic investors. This regulation aims to improve the safety and quality of labor for Vietnamese workers.
  • Requirement for legal representative meet these conditions:
    • A Vietnamese citizen;
    • Have a university or higher degree and have at least 5 years of experience in the field of sending Vietnamese workers abroad under a contract or translation job case;
    • Not being subject to criminal prosecution; have no criminal record for: infringing upon national security crime, infringing upon human life, health, dignity and honor crime, fraudulent misappropriation of property, abuse trust for misappropriation of property crime, fraudulent advertising crime, deceiving customers crime, organizing or brokering other people to illegally exit, enter or stay in Vietnam crime, organize or broker other people to flee abroad or illegally staying in a foreign country crime, forcing another person to flee abroad or illegally staying in a foreign country crime;
  • Requirements for the number of employees and facilities. If the Law in 2006 regulates the business contents but does not specify the necessary conditions for implementation, Law in 2022 has added detailed regulations as well as license requirements to prove that the enterprise has sufficient professional staff and stable facilities to conduct business.
  • Requirements for website. This regulation aims to transparent information about enterprises as well as services of sending Vietnamese workers abroad.
  • Requirement for website. This regulation aims to transparent information about enterprises as well as the services of sending Vietnamese workers abroad of enterprises.
  • Change the licensing period from 30 days to 20 days from the date the authority receives the valid dossier.

Accordingly, documents proving enterprise’s eligibility for business license shall change due to changes of the new operating conditions of the enterprise. Noticing that no detailed guidelines for the Law of 2022 at the present, so it is possible that at the time you read this article there has been changed and amended.

The above is the entire analysis regarding to business registration certificate for sending Vietnamese working overseas under contracts service. For detailed advice and implementation update as soon as there is amendment, please contact LawPlus via phone +842862779399 or email info@lawplus.com

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