Disciplinary actions are a legitimate tool for employers to maintain order and discipline in the workplace. However, this right must be exercised in compliance with the law to avoid legal risks and to protect the lawful rights of employees.
In 2025, with the evolving legal environment in Vietnam, employers should take note of key aspects such as conditions for applying disciplinary measures, procedures, statute of limitations, and record-keeping requirements. Failure to adhere to the proper processes or misuse of authority may result in labor disputes, affecting the company’s reputation and operations.
Principles, Procedures, and Processes for Disciplinary Actions
Basic Principles:
- The employer must provide evidence of the employee’s misconduct.
- The disciplinary process must involve the employee representative organization at the workplace if the employee is a member.
- The employee has the right to be present, defend themselves, or be represented by a lawyer or employee representative. If the employee is under 15 years old, their legal representative must also be present.
- All disciplinary actions must be recorded in writing.
Limitations:
- Only one form of disciplinary action can be applied for a single act of misconduct.
- For multiple violations, the highest disciplinary measure corresponding to the most serious violation will apply.
Situations Prohibited from Disciplinary Actions:
Disciplinary measures cannot be taken against employees in the following circumstances:
- On sick leave, caregiving leave, or other employer-approved leave.
- Under detention or imprisonment.
- Awaiting investigation results from competent authorities regarding alleged misconduct.
- Pregnant employees, those on maternity leave, or those caring for children under 12 months old.
- Employees with mental health conditions or other illnesses that impair cognition or self-control.
Statute of Limitations for Disciplinary Actions
- Standard Timeframes:
- 6 months from the date of the misconduct.
- 12 months for violations related to finances, assets, or the disclosure of trade/technological secrets.
- Extensions:
If the standard period lapses or less than 60 days remain, the statute of limitations may be extended for up to an additional 60 days.
Types of Disciplinary Actions
- Reprimand (oral or written).
- Delay in pay raise (not exceeding 6 months).
- Demotion.
- Termination (dismissal).
Conditions for Dismissal
Employers may apply dismissal in cases of:
- Theft, embezzlement, gambling, assault, or drug use in the workplace.
- Disclosure of trade or technological secrets, intellectual property infringement, or acts causing serious damage (or threats thereof) to the employer’s assets or interests.
- Repeat violations during a period of ongoing disciplinary action.
- Unauthorized absence for:
- 5 cumulative days within 30 days.
- 20 cumulative days within 365 days.
Legitimate reasons for absence include natural disasters, fire, personal or family illness with medical certification, or other reasons stated in workplace rules.
Clearance of Disciplinary Records
- Automatic Clearance:
- Reprimand: After 3 months.
- Pay raise delay: After 6 months.
- Demotion: After 3 years.
- Early Consideration for Reduction:
Employees under a pay raise delay may be considered for reduced penalties after serving half the disciplinary term if they show improvement.
Prohibited Acts During Disciplinary Actions
- Physical or verbal abuse, or any act that infringes upon the health, honor, dignity, reputation, or life of the employee.
- Monetary fines or wage deductions as substitutes for disciplinary measures.
- Disciplining employees for acts not outlined in the workplace rules, employment contracts, or labor laws.
By adhering to these guidelines, employers can maintain workplace discipline while ensuring compliance with the law and safeguarding employee rights.
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