Decree No. 52/2014/ND-CP dated May 23, 2014 of the Government defining conditions, procedures for grant of permits for employment service activities of enterprises engaged in employment service activities

DECREE

Providing conditions and procedures for granting employment service provision licenses to employment service enterprises[1]

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

Pursuant to the June 18, 2012 Labor Code;

Pursuant to the November 29, 2005 Enterprise Law;

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

The Government promulgates the Decree providing conditions and procedures for granting employment service provision licenses to employment service enterprises.

Chapter I

GENERAL PROVISIONS

Article 1.Scope of regulation

This Decree provides conditions and procedures for granting employment service provision licenses; and rights and responsibilities of employment service enterprises.

Article 2.Subjects of application

1. Employment service enterprises defined in Clause 2, Article 14 of the Labor Code (below referred to as enterprises for short).

2. Organizations and individuals engaged in the establishment and operation of employment service enterprises.

Article 3.Employment services provided by enterprises

1. Providing counseling to employees and employers, including:

a/ Occupational counseling for people to select occupations and training levels and places suitable to their abilities and expectations;

b/ Job counseling for people to select jobs suitable to their abilities and expectations; counseling on skills for passing recruitment exams, creating employment and seeking jobs at home and abroad;

c/ Counseling for employers on labor recruitment and management, human resource management and development, employment and job development.

2. Recommending jobs, supplying and recruiting employees at the request of employers, including:

a/ Recommending job seekers to employers who need to recruit labor;

b/ Supplying employees at the request of employers;

c/ Supplying and recommending employees to units and enterprises licensed to send Vietnamese abroad to work under labor contracts.

3. Collecting, analyzing, forecasting and providing information about the labor market.

4. Providing training in job-seeking skills and vocational skills in accordance with law.

5. Implementing employment programs and projects.

Article 4.Rights of enterprises in the provision of employment services

1. To sign contracts to provide the employment services specified in Article 3 of this Decree.

2. To exploit information on labor, employment and vocational training.

3. To collect charges in accordance with the law on charges.

Article 5.Responsibilities of enterprises in the provision of employment services

1. To fulfill signed contracts and commitments with employees and employers, vocational trainees and those who are provided with job counseling and placement services.

2. To comply with financial regulations and pay payable amounts in accordance with law, and compensate for damage due to contractual breaches in accordance with law.

3. To monitor the employment status of employees they have recommended or supplied when these employees work under seasonal labor contracts or labor contracts to perform certain jobs for a period of under 12 months. For employees working under labor contracts of full 12 months or more, to monitor their employment status for 12 months.

4. To post up at their head offices a certified copy of the employment service provision license.

5. To report on their employment services to provincial-level Labor, War Invalids and Social Affairs Departments on a biannual and annual basis or upon request according to the guidance of the Ministry of Labor, War Invalids and Social Affairs.

Chapter II

CONDITIONS, PROCEDURES AND COMPETENCE FOR GRANTING EMPLOYMENT SERVICE PROVISION LICENSES

Article 6.Employment service provision licenses

1. Employment service provision licenses (below referred to as licenses for short) shall be granted by provincial-level People’s Committees or provincial-level Labor, War Invalids and Social Affairs Departments under the authorization of provincial-level People’s Committees (below referred to as competent licensing state agencies) to enterprises established under the law on enterprises and meeting all the conditions prescribed in Article 7 of this Decree.

Licenses shall be made according to the form provided to the Appendix to this Decree (not translated).

2. A license shall be valid for at most 5 years (60 months).

Article 7.Licensing conditions

1. Having a head office as prescribed in Article 8 of this Decree.

2. Having full-time staff to provide employment services as prescribed in Article 9 of this Decree.

3. Having paid a deposit as prescribed in Article 10 of this Decree.

Article 8.Conditions on locations of enterprises’ head offices and branches

Enterprises must have stable locations for use as head offices and branch offices for at least 3 years (36 months); if such locations are buildings owned by the persons named in the enterprise registration certificates, the license application dossiers must contain relevant valid papers; if they are rented buildings, there must be lease contracts with a lease term of at least 3 years (36 months).

Article 9.Conditions on full-time staff in charge of providing employment services

Full-time staff in charge of providing employment services must include at least 3 persons who possess a college or higher degree, and have full civil act capacity and clear personal backgrounds.

Article 10.Deposit payment and management of deposit money

1. Deposit money shall be used to deal with risks and pay damages which may occur to enterprises in the course of providing employment services.

2. Each enterprise shall pay a deposit of VND 300,000,000 (three hundred million dong) to the commercial bank where it has opened its main transaction account (below referred to as bank).

Enterprises shall comply with deposit payment procedures according to banks’ regulations and law.

Banks shall certify the payment of deposits for employment service provision for enterprises.

3. Enterprises are entitled to interests on deposit money as agreed with banks.

4. After enterprises fulfill all financial obligations related to the provision of employment services, deposit money shall be refunded to them in the following cases:

a/ Competent licensing state agencies have issued documents refusing to grant, re-grant or extend licenses for enterprises;

b/ Competent licensing state agencies have issued documents compelling enterprises to return their licenses or revoking their licenses.

5. Deposit money may be withdrawn in case competent licensing state agencies have issued a written certification of settlement of risks or payment of compensations occurring to enterprises in the course of providing employment services.

Banks may not allow enterprises to withdraw deposit money without written opinions of competent licensing state agencies.

Article 11.Dossiers of application for licenses

1. A dossier of application for a license must comprise:

a/ An application for a license, made by the enterprise;

b/ A certified copy of the enterprise registration certificate or a copy of the enterprise registration certificate enclosed with the original for comparison;

c/ A certified copy of the written certification of deposit payment as prescribed in Article 10 of this Decree;

d/ Papers proving the satisfaction of the location conditions prescribed in Article 8 of this Decree.

2. Within 15 days after receiving a complete dossier as prescribed in Clause 1 of this Article, a competent licensing state agency shall grant a license to the enterprise. In case of refusal, it shall issue a written reply clearly stating the reason.

Article 12.Announcement of employment service provision

1. Within 30 days after receiving a license, an enterprise shall publicize in the mass media information on its license, head office, fields of operation, account, name of director and telephone number.

2. Fifteen days before starting to provide employment services, an enterprise shall notify in writing the expected date of operation commencement to the competent licensing state agency in the locality where it locates its head office.

3. In case of relocating its head office or branch office, 15 days before the expected date of relocation, the enterprise’s head shall notify in writing the new location to the competent licensing state agency, enclosed with papers proving the lawfulness of the new location as prescribed in Article 8 of this Decree.

Article 13.Re-grant of licenses

1. A license shall be re-granted in case of loss, damage or content change.

2. A dossier of application for re-grant of a license comprises:

a/ An application for re-grant of the license;

b/ The damaged license or copies of papers proving the change in any content of the license.

3. Within 15 days after receiving a complete dossier prescribed in Clause 2 of this Article, a competent licensing state agency shall re-grant a license to the enterprise. In case of refusal, it shall issue a written reply clearly stating the reason.

4. The validity duration of the re-granted license must not exceed the validity duration of the previous license.

Article 14.Extension of licenses

1. At least 30 days before its license expires, an enterprise shall send a dossier of application for license extension. The dossier must comprise:

a/ An application for license extension, made by the enterprise;

b/ The expired license;

c/ Copies of papers proving the satisfaction of the licensing conditions prescribed in Article 7 of this Decree.

2. Each extension must not exceed 60 months.

3. Within 15 days after receiving a complete dossier prescribed in Clause 1 of this Article, a competent licensing state agency shall extend the license for the enterprise. In case of refusal, it shall issue a written reply clearly stating the reason.

Article 15.Return and revocation of licenses

1. An enterprise shall return its license when falling into one of the following cases:

a/ It terminates operation at its own will;

b/ It terminates the provision of employment services at its own will.

2. An enterprise shall have its license revoked when falling into one of the following cases:

a/ It no longer satisfies any of the conditions prescribed in Article 7 of this Decree;

b/ Past 6 months after being granted the license, it still fails to provide employment services;

c/ Its operation is terminated;

d/ Its employment service provision is terminated;

dd/ Its enterprise registration certificate is revoked.

3. An enterprise that has its license revoked under Point a, c or d, Clause 2 of this Article may be re-granted a license after 1 year (12 months), counting from the effective date of the license revocation decision, provided that it fully satisfies the conditions prescribed in Article 7 of this Decree.

Article 16.Competence to grant, re-grant, extend, revoke or receive back licenses

1. Competent licensing state agencies are competent to grant, re-grant, extend or revoke licenses.

2. Competent licensing state agencies shall receive licenses returned by enterprises.

3. Within 10 days after granting, re-granting, extending or revoking a license, a competent licensing state agency shall notify such in writing to the district-level People’s Committee of the locality where the enterprise locates its head office.

Article 17.Employment service branches of enterprises

1. Enterprises may set up branches to provide employment services under the Enterprise Law when fully meeting all the conditions prescribed in Article 8 of this Decree.

2. Within 15 days after assigning tasks to branches, enterprises shall notify such to competent licensing state agencies of the localities where such branches are located.

3. Obligations of an employment service branch:

a/ To post up at its office the enterprise’s decision on assignment of the tasks of employment services to the branch and a certified copy of the enterprise’s license;

b/ To make periodical reports or unexpected reports at the requests of competent state agencies of the locality where the branch is located.

4. The period of providing employment services by a branch must not exceed the validity duration of the license of its enterprise.

Chapter III

IMPLEMENTATION PROVISIONS

Article 18.Responsibilities of the Ministry of Labor, War Invalids and Social Affairs

1. To perform the state management of employment services nationwide.

2. To guide, examine and inspect the establishment and operation of employment service enterprises.

3. To summarize and report to the Government on the operation of employment service enterprises.

Article 19.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, providing guidance on employment service charges in accordance with the law on charges.

Article 20.Responsibilities of provincial-level People’s Committees

1. To direct the monitoring, examination and inspection of operations of employment service enterprises in their localities.

2. To grant, re-grant, extend or revoke employment service provision licenses to enterprises or receive licenses returned by enterprises or authorize provincial-level Labor, War Invalids and Social Affairs Departments to do so.

3. To perform commendation and reward work and handle violations in accordance with law.

4. To report to the Ministry of Labor, War Invalids and Social Affairs on the establishment and operation of employment service enterprises in the localities under their management on a biannual or an annual basis or when requested.

Article 21.Transitional provisions

1. Enterprises that have been granted job placement service provision licenses before the effective date of this Decree may continue operating until their licenses expire.

2. Enterprises that have submitted complete license application dossiers as prescribed in the Government’s Decree No. 19/2005/ND-CP of February 28, 2005, providing the conditions and procedures for establishment and operation of job placement organizations, and the Government’s Decree No. 71/2008/ND-CP of June 5, 2008, amending and supplementing a number of articles of Decree No. 19/2005/ND-CP of February 28, 2005, before the effective date of this Decree, shall be granted licenses.

3. Enterprises whose job placement service provision licenses expire at a time between January 20, 2014, and the effective date of this Decree may continue providing employment services until the effective date of this Decree.

Article 22.Effect

This Decree takes effect on July 15, 2014.

Article 23.Implementation responsibilities

Ministers, heads of ministerial-level agencies, heads of government-attached agencies, heads of agencies established by the Government or the Prime Minister, chairpersons of provincial-level People’s Committees, and related agencies and organizations shall implement this Decree.-

On behalf of the Government
Prime Minister
NGUYEN TAN DUNG