Decree No. 105/2026/ND-CP: Detailed Regulations on Trade Union Finance under the Trade Union Law

Scope

Decree No. 105/2026/ND-CP details and guides the implementation of certain articles of Trade Union Law No. 50/2024/QH15 on trade union finance. It covers three main areas: (i) the method, deadline, and funding source for trade union fee contributions, including cases of late or non-payment; (ii) exemption, reduction, and temporary suspension of contributions; and (iii) management and use of trade union funds by worker organisations at enterprises.

Entities subject to the Decree include enterprises; public service units not receiving 100% of their payroll from the state budget; cooperatives and cooperative unions; other agencies and organisations employing workers under Vietnamese law; all levels of the trade union organisation and individuals involved in trade union financial management; and worker organisations at enterprises registered under the 2019 Labour Code.

Key provisions

Contribution method and deadline

Most entities - including enterprises, cooperatives, cooperative unions, self-financing public service units, and foreign organisations employing Vietnamese workers - must pay trade union fees monthly, at the same time as mandatory social insurance contributions, by no later than the last day of the following month.

Agricultural, forestry, fishery, and salt-production enterprises that pay wages on a production-cycle basis may register with the trade union to pay either monthly or on a quarterly basis. The deadline for quarterly payers is the last day of the month immediately following the end of each cycle.

Late payment and non-payment

Late payment means failing to pay or paying less than the full amount after the due date. Non-payment means: (a) not making any deduction or contribution at all; (b) failing to pay the full amount due, or paying for fewer workers than required, within 60 days of the due date. Approved temporary suspensions and reductions are not treated as late or non-payment.

Exemption from contribution

Enterprises, cooperatives, and cooperative unions undergoing lawful dissolution or bankruptcy may have outstanding contribution obligations waived by the Vietnam General Confederation of Labour or the relevant provincial Federation of Labour, when the trade union participates in the debt-resolution plan or files for bankruptcy proceedings.

Reduction of contribution rate

Entities that have exhausted the temporary-suspension period and must continue reducing headcount by 30% or 30 workers (for entities with fewer than 200 workers), 50 workers (200 - 1,000 workers), or 100 workers (over 1,000 workers) - excluding new hires of up to 20% of the cut headcount within three months - may apply for a reduction. The maximum reduction is 20% of the standard contribution rate and may last no longer than six months, after which the standard rate resumes.

State budget support

The central budget supports the Vietnam General Confederation of Labour for: international membership dues, operating costs of subordinate public service units, science and technology tasks, staff training, national target programmes, and capital investment projects. Provincial budgets provide equivalent support to provincial Federations of Labour. Where trade union income is insufficient to cover routine operating costs, the state budget supplements funding in accordance with budget-decentralisation rules.

Account management

Trade union organisations may open accounts at the State Treasury to record state budget support flows, and bank accounts to record trade union income and expenditure. Unspent funds at year-end carry over to the following year; the state-budget portion follows standard year-end closing rules under the Law on the State Budget.

Effective date

The Decree contains an effective-date article, but that provision falls outside the portion of the document text available for review. Please consult the final articles of the original signed gazette text to confirm the exact effective date.