Công văn 3375/LDTBXH-LDTL

OFFICIAL DISPATCH

OF THE MINISTRY OF LABOR, WAR INVALIDS AND SOCIAL AFFAIRS ON SEVERANCE ALLOWANCE

To: Ho Chi Minh Department of Labor, War Invalids and Social Affairs On answering the Official Dispatch No. 8188/LDTBXH-LD dated August 26, 2011 of Ho Chi Minh Department of Labor, War Invalids and Social Affairs on severance allowance, the Ministry of Labor, War Invalids and Social Affairs has opinions as follows:

In accordance with regulations at clause 1, Article 2 of the Decree No. 44/2003/ND-CP dated May 09, 2003 of the Government, enterprises must engage labor contracts when using laborers (members of the Board of Management in Joint Stock Company are not included in the adjustment objectives of this regulation).

Therefore, laborer who is taking as Deputy Director of Joint Stock Company is included to engage labor contract in accordance with labor legal regulations. Joint Stock Company is responsible for paying severance allowance for laborers right due to regulations when terminating the labor contract.

In the case that laborer takes over as Deputy Director in a joint stock company while working for parent company and is appointed as the representative for the capital contribution of parent company in Joint Stock Company, company shall be responsible for solving severance allowance mechanism in accordance with regulations when terminating the labor contract for the labor.

The calculation for severance allowance shall be implemented in accordance with regulations at the Decree No. 44/2003/ND-CP dated May 09, 2003 of the Government and the Circular No. 17/2009/TT-BLDTBXH dated May 26, 2009 of the Ministry of Labor, War Invalids and Social Affairs.

Ho Chi Minh Department of Labor, War Invalids and Social Affairs is supposed to guide enterprises to implement these regulations./.