TRADE UNION FEE AND TRADE UNION FUND

Legal ground:

– Law on Trade Union 2012

– Decree 191/2013/NĐ-CP

– Decision No. 1609/QĐ-TLĐ

– Guide No. 1609/HD-TLĐ

I. FINANCE OF TRADE UNION

According to Article 26. Finance of Trade Union (Law on Trade Union 2012), Finance of Trade Union includes the following revenues:

1. Trade Union fee is paid by trade union members as prescribed in the Charter of Vietnamese Trade Union;

2. Trade Union funds are paid by agencies, organizations and enterprises in 2% salary funds based to pay social insurance for laborers;

II. TRADE-UNION FEE

1. Subjects of remitting trade-union fee: (Article 4 Decree 191/2013/NĐ-CP)

Subjects of remitting trade-union fee as prescribed at Clause 2 Article 26 of the Law on trade union include agencies, organizations and enterprises, regardless of whether such agencies, organizations and enterprises has been had grassroots trade-union organizations or not, comprising of:

Enterprises of all economic sectors which are established and operate in accordance with Law on enterprises and Law in investment.

2. The remittance level and basis of remitting trade-union fee: (Article 5 Decree 191/2013/NĐ-CP)
The remittance level shall be 2% of salary fund which are used as the basis for social insurance payment for employees. This salary fund shall be total salaries of employees under objects payable social insurance in accordance with law on social insurance.

3. Methods of remitting trade-union fee: (Clause 2 Article 6 Decree 191/2013/NĐ-CP)

Organizations and enterprises shall pay trade-union one every month at the same time of compulsory social insurance payment for employees.

4. Sources for remitting trade-union fee: (Clause 3 Article 7 Decree 191/2013/NĐ-CP)

For enterprises and units operating production and trading, providing services, amounts to remit trade-union fee shall be accounted into cost for production, trading and supplying services in the period.

III. TRADE UNION FUND

1. Subjects of contribution to the trade union fund: 

Subjects of contribution to trade union dues include members of trade unions who are participating in activities at grassroots trade unions and industrial unions.

2. Level of contribution, and salary as the basis for contribution to the trade union fund

Members of trade unions in enterprises of all economic sectors, non-business units; members of trade unions who do not enjoy salary under the salary regime prescribed by State, in cooperatives, union of cooperatives; members of trade unions in foreign organizations, international organizations operating on Vietnam’s territory, executive offices of foreign parties in contract of business cooperation based in Vietnam; members of trade unions in agencies, organizations, enterprises who are assigned to join in the management boards of projects for full time and enjoy salary under labor contracts, the monthly contribution level of trade union dues is equal to 1% of salary paid practically (salary not yet been deducted the amounts payable for social insurance, medical insurance, unemployment insurance of members)

Every month, the enterprise pays 2% of the salary paid for social insurance, periodically 3-6 months, the company makes a dossier to get back 70% of the paid amount.

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