Company regulations is necessary in a company

Each company often sets its own regulations for its employees as prescribed in company regulations. However, this regulation does not only satisfy the will of the employer but also ensures compliance with the law.

1/ What are company regulations?

Company regulations are also the labor regulations; this is a document issued by the employer that stipulates the observance of time, technology, order in the labor unions and the management of the employer's work, and stipulates violations of labor discipline, corresponding forms of handling and regulations on material responsibility at the same time.

Company regulations will help employees know what they need to comply with, and what is prohibited or restricted from doing in the working place. At the same time, it is also a base for employers to establish labor discipline, as a basis for the company to discipline employees who violate internal regulations. 

2/ Who is authorized to issue company regulations?

Clause 1, Article 118 of the Labor Code 2019 prescribes:

1. The employer shall issue its/his/her internal working regulations; such regulations must be in written form if 10 or more employees are employed.

Accordingly, the company regulations will be issued by the employer. Also, according to this Law, every company must issue internal regulations whether having a few or many employees.

However, employers must consult opinions from labor’s representative organization at the establishment (if any) before promulgating or amending, or supplementing company regulations. Internal working regulations shall be notified to employees with their principal contents displayed at places where necessary at the workplace.

3/ What are the required contents of the company regulations?

Pursuant to Clause 2, Article 118 of the 2019 Labor Code, company regulations must not contravene labor laws and related regulations. At the same time, it must also include the main content as follows:

- Working time and rest time;

- Order at the workplace;

- Occupational safety and health;

- Prevention and combat of sexual harassment at the workplace; order and procedures for handling acts of sexual harassment at the workplace;

- Protection of assets, business secrets, technological secrets, and intellectual property of the employer;

- Cases in which employees may be temporarily assigned to perform jobs that are not stated in labor contracts;

- Violations against labor discipline and others; forms processing;

- Material responsibility;

- Persons competent to handle breaches of labor discipline.

In addition to these contents, the employer may add other contents, as long as it is not prohibited by the law.

4/ Are company regulations required to register?

Clause 1, Article 119 of the Labor Code 2019 prescribes that:

1. The employer employing 10 or more employees shall register its/his/her internal working regulations at  the specialized agency in charge of labor affairs under the provincial-level People’s Committee of the locality where the employer makes business registration.

According to this provision, the company Employing 10 or more employees is required to register internal regulations with a specialized labor agency.

If there are less than 10 employees, the company still has to issue internal labor regulations but is not required to register with the competent authority.

5/ Dossier, procedures for registering company regulations

Pursuant to Articles 119 and 120 of the Labor Code 2019; Article 69 Decree 145/2020/ND-CP and Decision No. 338/QD-LDTBXH, and the registration of company rules will be conducted as follows:

* About registration documents:

The employer must prepare 01 set of documents including:

A request for registration of internal working regulations;

Internal working regulations

A paper showing opinions of the grassroots-level employees’ representative organization, if available;

The employer’s documents which contain regulations on labor discipline and material responsibility (if any);

* Procedures for registering company rules:

Step 1: Submit the registration form

- Deadline: Within 10 days from the date of issuance of company rules.

- How to submit: One of the following three forms:

+ Submit your application through the online Public Service portal of specialized labor agencies.

+ Apply directly.

+ Submit application by post.

- Place of submission: Submit at one of the following agencies:

+ The specialized labor agency under the People's Committee of the province: Department of Labor - Invalids and Social Affairs;

+ The specialized labor agency under the district-level People's Committee (authorized by the specialized labor agency under the provincial-level People's Committee): Department of Labor - Invalids and Social Affairs.

Step 2: The specialized labor agency considers and receives the application

- Deadline: 07 working days from the date of receiving the dossier.

- Contents of the labor regulations are contrary to the law: the dossier-receiving agency shall notify and guide the amendment, supplement and re-registration of the labor regulations.

6/ How long are the company rules in effect?

Regarding the validity of the labor regulations, Article 121 of the Labor Code 2019 stipulates:

Internal working regulations take effect 15 days after the competent state agency defined in Article 119 of this Code receives a complete dossier for registration of internal working regulations.

In case the employer employing less than 10 employees issues its/his/her internal working regulations in written form, the effect of the internal working regulations shall be decided by the employer and stated in such regulations.

Thus, the rules the company must register will be effective after 15 days from the date the Department of Labor - Invalids and Social Affairs or the Division of Labor - Invalids and Social Affairs (authorized) receives the complete registration dossier.

As for the labor regulations? If not registered, the validity is decided by the employer in the company's bylaws.

It can be seen that the Labor Code only stipulates the effective time of the company's internal regulations, but does not stipulate the period of termination. Therefore, it can be understood, Company rules issued in accordance with statutory procedures shall be valid indefinitely.

Note: The content of the company's internal regulations must not contravene the provisions of labor laws and relevant laws. Therefore, if the provisions of the law are amended, the contents of the company's internal regulations must also be revised to be consistent with the law.

7/ Am I required to re-register the company rules?

Previously, at Clause 5, Article 28 of Decree 05/2015/ND-CP guiding the implementation of the 2012 Labor Code, in case of amendments and supplements to the effective internal labor regulations, the employer must consult the representative organization of the labor collective at the grassroots level and register it. re-sign the labor regulations.

Before issuing or modifying internal working regulations, the employer shall consult the grassroots-level employees’ representative organization, if available.

In addition, this Decree and the Labor Code 2019 do not have any provisions regarding the need to re-register the labor regulations when amended.

Therefore, the employer is not required to carry out the procedure of re-registration of the company's rules when amending or supplementing.