PROCEDURE FOR SETTLEMENT OF INTEREST-BASED COLLECTIVE LABOR DISPUTE




Interest-based collective labor dispute under the provisions of Labor Code 2012 is:
a labor dispute arising from the request of an employees’ collective for the establishment of new working conditions compared to those stipulated by the labor law, collective labor agreement, internal working regulations, or other regulations and lawful agreements reached in the negotiation process between the employees’ collective and the employer.

We need to distinguish the collective labor dispute on the rights or interest to determine the proper jurisdiction to settle disputes.

Agencies, organizations and persons competent to settle interest-based collective labor disputes:

- Labor conciliators;

- The Labor Arbitration Council.

Like right-based collective labor dispute, the interest-based one must go through conciliation procedure with similar order.

In case of unsuccessful conciliation or if either party does not implement the agreement written in the record of successful conciliation, any disputing party may request settlement by the Labor Arbitration Council.

Note: In case the labor conciliator fails to conduct the conciliation within 5 working days,  any disputing party may request settlement by the chairperson of the district-level People’s Committee,  and here this kind of dispute will be determined. If it is collective labor disputes on the benefit, the district-level People's Committee presidents will guide the parties request the labor arbitration council to settle.

Procedure for settlement of interest-based collective labor disputes by the Labor Arbitration Council:

- Time limit: Within 7 working days from the date of receiving a request, the Labor Arbitration Council shall complete the conciliation.

- Carry out the settlement:

Representatives of the two disputing parties must be present at the meeting of the Labor Arbitration Council. If finding it necessary, the Labor Arbitration Council may invite representatives of relevant agencies and organizations to the meeting.

The Labor Arbitration Council shall support both parties to self-negotiate; in case the two parties cannot reach an agreement, the Labor Arbitration Council shall recommend a solution to both disputing parties for consideration.

- The record of conciliation:

If the two parties can reach an agreement or agree with the recommended solution, the Labor Arbitration Council shall prepare a record of successful conciliation and concurrently issue a decision to recognize the agreement of the two parties.

In case the two parties cannot reach an agreement or either disputing party is absent without a plausible reason after having been duly summoned for two times, the Labor Arbitration Council shall make a record of unsuccessful conciliation.

The record of unsuccessful conciliation must bear the signatures of the present party and the chairperson and the secretary of the Labor Arbitration Council.

Copies of the record of successful or unsuccessful conciliation must be sent to both disputing parties within 1 working day from the date the record is prepared.

- Five days after the Labor Arbitration Council makes the record of successful conciliation, if either party does not implement the agreement, the employees’ collective may carry out procedures for going on strike.


In case the Labor Arbitration Council makes a record of unsuccessful conciliation, after 3 days, the employees’ collective may carry out procedures for going on strike.

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