Late payment of trade union funds, fined up to 150 million VND

Legal Consulting Department of Lao Dong Newspaper answers:

Clause 1, Article 42, Decree 283/2026/ND-CP stipulating penalties for administrative violations in the fields of labor, social insurance, and Vietnamese workers working abroad under contracts (effective from September 10, 2026) stipulates as follows:

1. A fine of between 12% and less than 15% of the total amount of trade union funds to be paid at the time of making an administrative violation record, but not exceeding 75 million VND, shall be imposed on employers who commit one of the following acts:

a) Slow payment of trade union funds;

b) Not deducting or contributing trade union funds;

c) Not paying or paying insufficiently the amount to be paid according to the prescribed contribution level within 60 days from the date of expiration of the term of contribution of trade union funds as prescribed;

d) Not paying or paying insufficiently the number of people subject to payment within 60 days from the date of expiration of the term of contribution of trade union funds as prescribed.

Clause 1, Article 7 of Decree No. 283/2026/ND-CP stipulates the level of fines and principles of application for repeated administrative violations as follows:

1. The penalty level stipulated for administrative violations specified in Chapter II, Chapter III and Chapter IV of this Decree is the penalty level for individuals; except for cases specified in: Article 8; Article 9; Clause 3, Article 10; Clauses 3, 4, 5, 6, Article 19; Clauses 2, 4, Article 36; Clause 1, Article 37; Clauses 1, 5, 6, 7, 8, Article 38; Clause 3, Article 42; Clauses 6, 11, Article 48; Article 49; Clauses 1, 2, 3, 4, 5, 6, 7, 8, Article 50; Clauses 1, 2, 3, 4, 5, 6, Article 52; Clause 4, Article 53 of this Decree is the penalty level for organizations. The penalty level for organizations is 2 times the penalty level for individuals.

Thus, from September 10, 2026, businesses that are late in paying trade union dues will be fined up to 150 million VND.