Vietnam has issued a new decree
HANOI - Vietnam
has issued a new decree on the
employment of Vietnamese workers
at foreign firms, but it bears close
resemblance to earlier regulations
which upset foreign investors.
Decree 46 makes slight changes to
Decree 85, a regulation foreign
investors have called a major
impediment to attracting fresh
business interest in the
communist-ruled country.
Since January 1, Decree 85 has
forced foreign firms to hire local
workers through state-run labour
bureaux.
The new decree modifies this slightly
by saying foreign firms can recruit
privately if labour bureaux are unable
to offer suitably qualified staff within
30 days, the official Saigon Times
Daily said on Wednesday.
That is something officials have
already publicly said foreign firms
can do, and foreign lawyers said it
appeared the government wanted to
enshrine that aspect in Decree 46.
There had been confusion over
which foreign firms qualified for the
30-day rule.
Decree 46 makes clear it applies to
just about every foreign firm in
Vietnam, including foreign-invested
enterprises, companies operating
under Business Cooperation
Contracts, branches and
representative offices.
The new decree is expected to
override the old one.
Hanoi has said its tight labour rules
are intended to protect workers and
foreign firms, but investors say they
add bureaucracy and expense to a
country that is already one of the
toughest in the region in which to
make money.
Vietnamese who wish to work for
foreign firms have to register with
labour bureaux.
Reuters - July 6, 1999.
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