Question 186. May an Employer not apply CLA to a foreign Employee?


A CLA[1] is the written agreement between a labour collective and an Employer on the labour conditions the two parties have achieved through collective bargaining. According to the said definition, the CLA stipulates the general and basic working conditions which are applicable to all Employees, including both Vietnamese Employees and foreign ones.

If in need of defining a distinction on different regimes between Vietnamese Employees and foreign ones, the Employer may do one of the following two alternatives:

The Employer still maintains basic general labour regimes applicable to Vietnamese and the foreign Employees. On that basis, the Employer can propose a higher regime for Vietnamese Employees by specifying these regimes in each specific LC signed with a Vietnamese Employee. These regimes will still apply if they are higher than those specified in the CLA; or

Considering a CLA in the form of an agreement between an Employer and Employees, the Employer can prescribe different labour regimes between the Vietnamese Employees and the foreign ones on the condition that prior to signing, the draft agreement as negotiated by the parties must be provided to obtain opinions in favour from all the Employees in the enterprise. A CLA is only signed when more than 50% of the Employees of the enterprise agree. These regulations are the condition for signing a CLA in accordance with the law[2].

[1] Article 75 of the Labour Code

[2] Article 76.1 of the Labour Code