DECREE No. 19/2005/ND-CP OF FEBRUARY 28, 2005 PRESCRIBING THE CONDITIONS AND PROCEDURES FOR ESTABLISHMENT AND OPERATION OF JOB-RECOMMENDING ORGANIZATIONS

THE GOVERNMENT

Pursuant to the December 25, 2001 Law on Organization of the Government;

Pursuant to the June 23, 1994 Labor Code; the April 2, 2002 Law Amending and Supplementing a Number of Articles of the Labor Code;

At the proposal of the Minister of Labor, War Invalids and Social Affairs,

DECREES:

Chapter I

GENERAL PROVISIONS

Article 1.- This Decree prescribes the conditions and procedures for establishment and operation of job-recommending organizations.

Article 2.- Job-recommending organizations defined in Article 18 of the amended and supplemented Labor Code include:

1. Job-recommending centers.

2. Enterprises conducting job-recommending activities.

Article 3.- Job-recommending centers (hereinafter called centers) are non-business units with revenues partly covering expenditures on their regular activities according to current regulations; are organizations engaged in social activities and set up by state bodies or socio-political organizations, having legal person status and their own seals and being entitled to open accounts at banks and State treasuries.

Article 4.- Enterprises conducting job-recommending activities (hereinafter called enterprises) are those set up under the Enterprise Law or the State Enterprise Law and entitled to conduct job-recommending activities according to the provisions of this Decree.

Chapter II

CONDITIONS, PROCEDURES FOR ESTABLISHMENT AND OPERATION OF JOB-RECOMMENDING CENTERS

Article 5.- Conditions and procedures for establishment of centers:

1. Conditions for establishment of a center:

A center shall be established when all the following conditions are met:

a) Having stable location and working office at a place convenient and large enough for its transactions and activities;

b) Having equipment and means suitable to each task as provided for by the Ministry of Labor, War Invalids and Social Affairs;

c) Being staffed with at least 5 (five) officials of collegial or higher degree in economics, law, foreign languages, who have clear backgrounds, good moral quality and no criminal records;

d) The establishment of the center must be in line with the approved local planning on job-recommending centers.

2. Procedures for establishment of a center:

a) Center-founding dossiers:

- The concerned agency’s official dispatch applying for the establishment of the center, sent to the agency competent to decide on the establishment;

- The scheme on establishment of the center, covering the following contents: the necessity; objectives; specific tasks and the satisfaction of founding and operating conditions prescribed in this Decree; the feasibility of the scheme.

For centers under the management of People’s Committees of provinces or centrally-run cities (hereinafter called the provincial-level People’s Committees), the schemes on their establishment must be agreed in writing by the provincial/municipal Service of Labor, War Invalids and Social Affairs; Service of Planning and Investment; Service of Finance; and Service of Home Affairs.

For job-recommending centers under the management of ministries, branches or central bodies of socio-political organizations, the written consents of the provincial-level People’s Committees of the localities where the centers shall be established and operate are required.

- Relevant papers and documents proving the full satisfaction of conditions for establishment of the center.

b) Receipt and appraisal of center-founding dossiers, agreement on establishment of centers:

-nbsp; The provincial/municipal Services of Labor, War Invalids and Social Affairs shall receive, appraise the center-founding dossiers and submit them to the provincial-level People’s Committees for decision on establishment of centers under their management or for agreement on establishment of centers of ministries, branches or socio-political organizations in the localities.

- The receipt and appraisal of dossiers on establishment of centers of ministries, branches or socio-political organizations shall comply with the regulations of such ministries, branches or organizations.

c) Competence to set up centers:

- The provincial-level People’s Committee presidents shall decide on the establishment of centers under their management at the proposals of provincial/municipal Services of Labor, War Invalids and Social Affairs;

- The heads of the central bodies of socio-political organizations shall decide on the establishment of centers under the management of such organizations according to their regulations, after getting the written agreement of the provincial-level People’s Committee presidents of the localities where the centers shall be set up and operate;

- The ministers, the heads of ministerial-level agencies and the heads of Government-attached agencies shall decide on establishment of centers under their respective management, after getting the written consents of the provincial-level People’s Committee presidents of the localities where the centers shall be set up and operate.

d) Time limits for consideration and decision on establishment of centers:

Within 15 days after receiving the valid dossiers on establishment of centers, competent agencies shall issue decisions on the establishment of such centers and send one original thereof to the Ministry of Labor, War Invalids and Social Affairs. In case of non-decision on establishment of centers, they must answer in writing, clearly stating the reasons therefor.

e) Persons who issue decisions on establishment of centers are competent to decide on the dissolution or operation termination of such centers; a copy of the decision on dissolution or operation termination of a center should be sent to the Ministry of Labor, War Invalids and Social Affairs.

Article 6.- Job-recommending centers prescribed in this Decree must use the uniform name as “job-recommending center” plus the name of the locality, the name of the ministry, branch or socio-political organization or the name of the subjects to be served.

Article 7.- Tasks of centers:

1. To advise on jobs, job learning, policies related to labor relations according to the provisions of labor legislation.

2. To recommend jobs to laborers; to supply and recruit laborers at employers’ requests.

3. To gather, process and supply information on labor market, including information on labor recruitment demands, job demands, laborers’ standards, wages, remunerations in regions and the whole country.

4. To organize job training in accordance with law provisions.

In addition to the above-mentioned tasks, the centers shall perform other tasks prescribed by law.

Article 8.- Organizational structure of centers:

1. Leaderships of centers:

A center has the director and a number of deputy-directors. The director is the head of the center, taking responsibility before the head of the immediate superior managing agency and before law for all activities of the center. Deputy-directors are assistants to the director, taking charge of one or several working domain(s) under the director’s assignment and are answerable to the director for the performance of the assigned jobs.

The appointment and removal from office of directors of centers shall be decided by persons competent to decide on the establishment of centers. The appointment and removal from office of deputy-directors of centers shall be decided by the heads of the immediate superior managing agencies.

2. Assisting organizations of directors:

A center is composed of professional bureaus to perform the tasks under the provisions of this Decree. Basing themselves on the work volume, specific operating characteristics and features, the persons competent to decide on the establishment of centers shall stipulate the number and names of professional bureaus, which, however, must not exceed 4 (four). A bureau is composed of the head and a number of deputy-heads; the appointment and removal from office of heads and deputy-heads of bureaus shall comply with the personnel management decentralization.

3. Payrolls of centers:

Based on the work volumes, specific operating characteristics and features of centers, the persons competent to decide on the establishment of centers shall stipulate the numbers of staff members of centers and provide regular funds for centers’ activities without revenues.

The recruitment, employment and management of officials and employees of centers shall comply with Decree No. 116/2003/ND-CP of October 10, 2003 on recruitment, employment and management of officials and employees in non-business units of the State; directors of the centers shall base themselves on job demands and the financial capabilities of the centers to conclude labor contracts according to the provisions of the Labor Code.

People working in job-recommending centers shall be salaried according to the professional salary table applicable to employees in the State agencies, which was issued together with the Government’s Decree No. 204/2004/ND-CP of December 14, 2004 on salary and wage regimes applicable to public employees as well as the armed force personnel. The leadership titles of centers shall enjoy position allowances applicable to heads of sub-departments or equivalent organizations of provincial/municipal Services, prescribed in the above-said Decree No. 204/2004/ND-CP of December 14, 2004 of the Government.

The financial, salary and wage, social insurance, health insurance regimes, the professional training and fostering regimes shall comply with the current regulations on financial regimes applicable to non-business units with revenues.

Article 9.- Powers of centers:

1. To recruit, employ and manage officials and employees in accordance with the Government’s Decree No. 116/2003/ND-CP of October 10, 2003 on recruitment, employment and management of officials and employees in non-business units of the State; to recruit laborers and conclude labor contracts according to the Labor Code.

2. To conclude contracts for labor supply, job recommendation, job- teaching and job- learning.

3. To exploit information on labor, jobs and job training from state bodies, enterprises and organizations.

4. To request employers to supply information on job conditions of the laborers recommended or supplied by centers.

5. To collect charges for job recommendation (including consultancy, recommendation, labor supply, job-labor information supply) and collect training fees according to law provisions.

6. To take initiative in managing and using financial sources according to current regulations on financial regimes applicable to non-business units with revenues as well as tax exemption and reduction according to the current provisions of tax legislation.

Article 10.- Responsibilities of centers:

1. To strictly comply with law provisions on organization and operation of centers.

2. To draw up annual plans and strictly implement the plans approved by superiors.

3. To ensure interests for officials and employees at centers in the form of working contracts or labor contracts according to law provisions.

4. To fulfill all concluded contracts, commitments with laborers, employers, job trainees and persons who are advised by the centers.

5. Public employees and contractual laborers of centers must bear badges and wear uniforms while on duty.

6. To open books to monitor activities of centers according to regulations of the Ministry of Labor, War Invalids and Social Affairs.

7. To monitor the situation of employment of laborers recommended or supplied by centers within one year (for case of performing labor contracts of full 12 months or longer) or within the period of labor contract performance (for case of performing labor contracts of under 12 months).

8. Within 30 days as from the date of their founding, centers must announce on local or central newspapers for 5 (five) consecutive issues the information on their names, locations, operation domains, accounts, directors’ names and telephone numbers.

Within 15 days after the commencement of their operation, centers shall have to notify in writing the local Services of Labor, War Invalids and Social Affairs of their inaugural dates and operation domains.

9. The centers’ head-offices must have signboards showing their names, telephone numbers and addresses. In case of necessity to use foreign language(s), the foreign words must be smaller than, and written below, the Vietnamese words. The centers must have diagrams of their working sections and publicly post up (notarized) copies of decisions on their establishment at their head-offices.

10. Before July 5 and January 5 every year, the centers must send their first biannual and annual reports to the provincial/municipal Services of Labor, War Invalids and Social Affairs of the localities where they are headquartered and the ministries, ministerial-level agencies, Government-attached agencies or socio-political organizations (for centers under ministries, ministerial-level agencies, Government-attached agencies or socio-political organizations) according to regulations of the Ministry of Labor, War Invalids and Social Affairs.

Chapter III

CONDITIONS, PROCEDURES AND COMPETENCE FOR GRANTING PERMITS FOR JOB-RECOMMENDING ACTIVITIES OF ENTERPRISES

Article 11.- Permits for job-recommending activities granted to enterprises

Permits for job-recommending activities (hereinafter referred collectively to as permits) shall be granted by the provincial/municipal Services of Labor, War Invalids and Social Affairs to enterprises which are lawfully set up under the Enterprise Law or State Enterprise Law and satisfy all conditions prescribed by this Decree. The permit form shall be prescribed by the Ministry of Labor, War Invalids and Social Affairs.

Article 12.- Conditions for grant of permits:

Enterprises shall be granted permits when fully satisfying the following conditions:

1. Having stable locations and head-offices at places convenient and large enough for enterprises’ transactions and activities. If the head-offices are rented, they must be rented stably for 36 months or longer.

2. Having room for consultancy activities, room for job recommendation and labor supply, room for labor-market information activities and have computers, telephones, faxes, emails and documents related to labor market and other equipment in service of customers.

3. Each having at least VND 300 million deposited at a bank for possible risks and compensations in the course of operation.

4. Each having at least 5 (five) officials of collegial or higher degree in economics, law, foreign languages, who have clear backgrounds, good moral qualities and no criminal records.

Article 13.- A dossier of application for permit:

1. A written application for job-recommending permit, made according to a form set by the Ministry of Labor, War Invalids and Social Affairs.

2. A (notarized) copy of the business registration certificate of the enterprise.

3. Relevant papers and documents proving the enterprise’s full satisfaction of conditions for permit granting as provided for in Article 12 of this Decree.

Article 14.- Validity duration of permits

Permits shall be granted to enterprises with a validity duration of 36 (thirty six) months and each extension thereof shall not exceed 36 (thirty six) months.

Article 15.- Permit-granting order

1. Enterprises shall have to submit dossiers of application for permits to local provincial/municipal Services of Labor, War Invalids and Social Affairs.

2. Within 15 days after receiving the valid dossiers of application for permits, the provincial/municipal Services of Labor, War Invalids and Social Affairs shall have to issue permits to enterprises. In case of refusing to issue permits to enterprises, they must reply in writing, clearly stating the reasons therefor.

Article 16.- Withdrawal of permits

1. Enterprises violating one of the following regulations shall have their permits withdrawn:

a) Violating the business lines inscribed in their permits or failing to fully satisfy the conditions as provided for in Article 12 of this Decree;

b) Committing acts of fraudulence, deception against laborers, enterprises or other organizations as determined by competent state agencies;

c) Failing to fulfill their obligations as provided for by law;

d) Failing to report according to regulations to local labor management bodies consecutively for 1 (one) calendar year or more;

e) Being administratively sanctioned for violating labor legislation 3 (three) times in a year or sanctioned 3 (three) times for 1 (one) act.

f) Failing to operate for 6 (six) months as from the date of issuance of permits;

g) Terminating their operation.

2. The provincial/municipal Services of Labor, War Invalids and Social Affairs shall have to withdraw permits from enterprises violating the above-said regulations.

Article 17.- Job-recommending activities of enterprises

1. Providing advice on jobs, job training and policies related to labor relations according to the provisions of labor legislation.

2. Recommending jobs to laborers, supplying and recruiting laborers at requests of employers.

3. Collecting, processing and supplying information on labor market, including information on labor recruitment demands, job demands, laborers’ criteria, wages or remunerations in their areas of operation, regions and the whole country.

4. To provide job training according to law provisions.

Article 18.- Powers of enterprises

1. To name enterprises according to the provisions of law, but the names must not be identical to the names of job-recommending centers provided for in Article 6 of this Decree.

2. To recruit, arrange, transfer and employ laborers, pay wages, bonuses to, commend, reward and discipline, laborers according to law provisions.

3. To exploit information on labor and jobs from state bodies, enterprises and organizations.

4. To conclude contracts for labor supply and job recommendation as well as job training.

5. To collect charges for job recommendation (including advice, recommendation, labor supply, labor market information supply) and training fees according to law provisions.

6. To use and manage their financial sources according to law provisions.

7. To be entitled to tax exemption or reduction according to the current provisions of tax legislation.

Article 19.- Responsibilities of enterprises

1. To comply with the provisions of this Decree and other provisions of law.

2. To ensure interests for laborers in enterprises according to law provisions.

3. To report on labor employment according to the provisions of labor legislation.

4. To fulfill the concluded contracts and commitments with laborers, employers, job trainees and persons who are advised.

5. To strictly comply with the regimes on finance and remittances according to law provisions and compensate for damage caused by contractual breaches according to the provisions of law.

6. To open books for monitoring fully and regularly their activities.

7. To monitor the job conditions of laborers recommended or supplied by centers within one year (for case of performing labor contracts of full 12 months or longer) or within the period of performing labor contracts (for case of performing labor contracts of under 12 months).

8. Within 30 days after being granted permits for job-recommending activities, enterprises must publish on local or central newspapers for 5 (five) consecutive issues the information on their appellations, locations, operation domains, accounts, directors’ names and telephone numbers.

Within 15 days before commencing their operation, enterprises shall have to notify in writing the local provincial/municipal Services of Labor, War Invalids and Social Affairs of their inaugural dates.

9. The enterprises’ head-offices must have signboards showing their names, telephone numbers and addresses. In case of necessity to use foreign language(s), the foreign words must be smaller than, and written below, the Vietnamese words.

Enterprises must have diagrams of their working sections and publicly post up the (notarized) copies of their job-recommending permits at their head-offices.

10. Before July 5 and January 5 every year, enterprises shall have to send their biannual and annual reports to the provincial/municipal Services of Labor, War Invalids and Social Affairs of the localities where they are headquartered; the contents of such reports shall comply with regulations of the Ministry of Labor, War Invalids and Social Affairs.

Chapter IV

COMMENDATION, HANDLING OF VIOLATIONS AND COMPLAINTS, DENUNCIATIONS

Article 20.- Organizations and individuals that record achievements in the field of job recommendation shall be commended/rewarded according to the provisions of law.

Article 21.- Organizations and individuals that violate the provisions of this Decree shall, depending on the nature and seriousness of their violations, be administratively sanctioned or examined for penal liability according to the provisions of law.

Article 22.- Complaints, denunciations

1. Organizations and individuals have the right to complain about and individuals have the right to denounce with competent state bodies decisions or acts of any organization or individual in job-recommending activities, which violate the provisions of this Decree or infringe upon their own legitimate rights and interests.

2. The ministries, ministerial-level agencies, Government-attached agencies, and provincial-level People’s Committees shall, within the ambit of their respective tasks and powers, resolve complaints and denunciations and handle violations according to provisions of law.

3. The procedures for resolution of complaints and denunciations shall comply with the provisions of legislation on complaints and denunciations.

Chapter V

RESPONSIBILITIES OF AGENCIES, ORGANIZATIONS

Article 23.- Responsibilities of the Ministry of Labor, War Invalids and Social Affairs

1. To perform the state management over the domain of job recommendation nationwide.

2. To guide, examine and inspect within the scope of its functions, tasks and powers the implementation of this Decree.

Article 24.- Responsibilities of the Ministry of Finance

To assume the prime responsibility for, and coordinate with the Ministry of Labor, war Invalids and Social Affairs in, guiding the collection, management and use of charges for job recommendation, the financial regimes applicable to centers and enterprises according to the provisions of law.

Article 25.- Responsibilities of ministries and branches

1. To coordinate with the Ministry of Labor, War Invalids and Social Affairs in performing the unified state management over job recommendation according to the provisions of this Decree.

2. To establish or terminate the operation of centers; to invest in material foundations and equipment of centers; to decide on the payrolls of centers and provide regular funds for activities without revenues for centers under their respective management.

3. To examine and inspect job-recommending activities of centers under their respective management according to the provisions of law.

4. To monitor, sum up and report on activities of centers under their respective management to the Ministry of Labor, War Invalids and Social Affairs.

Article 26.- Responsibilities of central bodies of socio-political organizations:

1. To establish, or terminate the operation of, centers; to invest in material foundations and equipment of centers; to decide on the payrolls of centers and provide regular funds for activities without revenues for centers under their respective management.

2. To examine and inspect job-recommending activities of centers under their respective management.

3. To monitor, sum up and report on activities of centers under their respective management to the Ministry of Labor, War Invalids and Social Affairs.

Article 27.- Responsibilities of the provincial-level People’s Committees

1. To plan the systems of centers in their respective localities under the guidance of the Ministry of Labor, War Invalids and Social Affairs.

2. To decide on the establishment or dissolution of centers; to invest in material foundations and equipment of centers; to decide on payrolls of centers and provide regular-operation funding for activities without revenues of centers under their respective management.

3. To give their written comments on establishment of centers of ministries, ministerial-level agencies, Government-attached agencies, socio-political organizations.

4. To direct local functional bodies in monitoring, examining and inspecting activities of job-recommending centers and enterprises in strict accordance with the provisions of law.

5. To offer commendations/rewards and handle violations according to provisions of law.

Article 28.- Responsibilities of the provincial/municipal Services of Labor, War Invalids and Social Affairs:

1. To assist the provincial-level People’s Committees in performing the state management over labor according to the provisions of law and assume the prime responsibility for elaborating and submitting to the provincial-level People’s Committees plannings on the systems of centers in their respective localities;

2. To coordinate with the provincial/municipal Services of Planning and Investment, Services of Finance, and Services of Home Affairs in implementing within the ambit of their respective scopes and powers in accordance with the provisions of this Decree.

3. To grant and withdraw permits for job-recommending activities of enterprises.

4. Before July 25 and January 25 every year, to send their biannual and annual reports to the Ministry of Labor, War Invalids and Social Affairs according to the latter’s regulations.

Chapter VI

IMPLEMENTATION PROVISIONS

Article 29.-

1. Within 6 (six) months after this Decree takes effect, agencies and organizations that manage employment service centers which are operating shall have to scrutinize, arrange, organize and reestablish them according to the provisions of this Decree and report thereon to the Ministry of Labor, War Invalids and Social Affairs.

2. Within 6 (six) months after this Decree takes effect, enterprises currently engaged in employment service activities (including advice, job recommendation, labor supply and recruitment, labor market information supply) must carry out procedures to apply for permits for job-recommending activities according to the provisions of this Decree.

3. For employment service centers and enterprises engaged in employment service activities, which were set up before the effective date of this Decree and fail to satisfy the conditions prescribed in this Decree, they must terminate their operations and fulfill relevant obligations according to the provisions of law.

Article 30.- This Decree takes effect 15 days after its publication in the Official Gazette. To annul Articles 14 and 15 of the Government’s Decree No. 39/2003/ND-CP of April 18, 2003 detailing and guiding the implementation of a number of articles of the Labor Code on employment.

Article 31.- The ministers, the heads of the ministerial-level agencies, the heads of the Government-attached agencies and the presidents of the provincial/municipal People’s Committees shall have to implement this Decree.

On behalf of the Government
Prime Minister
PHAN VAN KHAI