Dismissal and Legal consequences

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"AN NGUYÊN - AN TÂM GỬI TRỌN NIỀM TIN"

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"AN NGUYÊN - AN TÂM GỬI TRỌN NIỀM TIN"

DISMISSAL AND LEGAL CONSEQUENCES

Dismissal, one of the forms of labor discipline, is stipulated in Article 125 Labor law no. 10/2012/QH13. Accordingly, employer is allowed to dismiss employee in the following cases:

  • The employee has the act of theft, embezzlement, gambling, intentionally causing injury, using drugs at the workplace, disclosing the technology and confidential business information, infringing intellectual property right of the employer, having the act of causing serious damage or threatening to cause extremely serious damage to the property and interests of the employer;
  • The employee is disciplined by the prolongation of the salary increase period, but still repeating the violation during the time the discipline has not been canceled or disciplined by the removal but still repeating the violation.
  • The employee does not perform his works willingly 05 days in 01 months or 20 days in 01 year without any proper reason.

Legal consequences of illegal dismissal

  • The employer must reinstate the employee in accordance with the signed labor contract and pay the wage and social insurance and health insurance premiums for the period during which the employee was not allowed to work, with the addition of at least 2 months’ wage in accordance with the signed contract (“Compensate”). In case the position or job agreed in the labor contract is no longer vacant and the employee still wishes to work, the employer shall pay the Compensation and the parties shall negotiate to modify, supplement the labor contract.
  • In case the employee does not wish to return to work, in addition to the Compensation, the employee shall receive a severance pay.
  • In case the employer does not wish to reinstate the employee and the employee agrees, in addition to the Compensation and the severance allowance, the parties shall negotiate on an additional compensation which must be equal to at least 2 months’ wage in accordance with the labor contract in order to terminate the labor contract.

Besides, according to the Penal Code takes effect from 01/01/2018, when the employer dismisses the employee illegally, the employer shall be fined 200.000.000 dong or be imprisoned for 03 years. Therefore, the employer must take note of the regulation when dismisses its employer, in order to avoid the damages caused by illegal dismissal.

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