[Legal Updates] Monthly Newsletter 201911admin
I. OUR PROMINENT LEGAL ARTICLE IN OCTOBER
In October, our lawyer – Mr. Le Tien Dat had an article addressing the problem of debt recovery of businesses with the title “Some legal tips during the efficient recovery of bad debts in Vietnam”. In this article, Mr. Dat provided the sanctions that can apply to the delay of performance of payment obligations as well as the solutions and recommendations for effective bad debt recovery process.
II. REMARKABLE LEGISLATIONS IN OCTOBER 2019
1. Remarkable points of the draft Labor Code (amendments) which expected to be approved by the end of November 2019
On October 23rd, 2019, the National Assembly of Vietnam discussed the draft of the Labor Code (amendments) with remarkable points as follows:
- Supplementing detailed description of labor contract;
- Supplementing more specific provisions on cases of overtime work from 200 hours to 300 hours per year;
- Changing the retirement age to 62 years for men and 60 years for women;
- Expanding the right to unilaterally terminate the labor contract of the employer;
- Supplementing the provision that employers are entitled to sign multiple time-definite labor contracts with employees who are the elders and foreigners.
The draft Labor Code (amendments) is expected to be approved at the end of the National Assembly session.
2. The draft decision in reducing the electricity purchase price of solar power projects on land
The Ministry of Industry and Trade has presented to the Government a draft decision to replace Decision 11/2017/QD-TTg of the Prime Minister on the incentive mechanism for the development of solar power projects in Vietnam.
In this draft decision, the purchase price of electricity has many changes by using region and project classification instead of only by project type as currently stipulated in Decision 11/2017/QD-TTg. More specifically, replacing the price of 2,086 VND / kWh (equivalent to 9.35 UScents / kWh) as presently prescribed, solar power projects would be applied the following purchase price:
- For floating solar power projects, depending on the region, the new purchase price ranges from 1,566 VND/kWh to 2,159 VND/kWh (equivalent to 6.85 UScent/kWh to 9.44 UScent/kWh);
- For solar power projects on land, depending on the region, the new purchase price ranges from 1,525 VND/kWh to 2,102 VND/kWh (equivalent to 6.67 UScent/kWh to 9.2 UScent/kWh);
- For solar power projects with integrated storage systems, depending on the region, the new purchase price ranges from VND 1,877/kWh to 1,944 VND/kWh (equivalent to 8.21 UScent/kWh to 8, 72 UScent/kWh);
- For rooftop solar power projects, depending on the region, the new purchase price ranges from 1,803 VND/kWh to 2,486 VND/kWh (equivalent to 7.89 UScent/kWh to 10.87 UScent/kWh).
In case this draft decision is approved by the Prime Minister, it will replace Decision 11/2017/QD-TTg of the Prime Minister on the incentive mechanism for the development of solar power projects in Vietnam.
III. THE EXECUTED LEGISLATIONS IN OCTOBER 2019
Decree No. 79/2019/ND-CP amends Article 16 of Decree No. 45/2014/ND-CP dated 15th May 2019 of the Government on providing the collection of land use levy
Decree 78/2019/ND-CP amends and supplements Decree No. 148/2016/ND-CP dated 04th November 2016 of the Government on guiding some articles of Market Surveillance Ordinance.
Decree 77/2019/ND-CP stipulates the cooperative groups
Circular No.15/2019/TT-NHNN amends, supplements some regulations on dossiers and administrative procedures in the field of foreign exchange management