Grassroots trade unions are allowed to use trade union funds to buy shares in equitized enterprises

Legal Consulting Office of Lao Dong Newspaper answers:

Point b, Clause 2, Article 35 of Decree 57/2026/ND-CP on restructuring state capital in enterprises (effective from February 13, 2026) stipulates as follows:

b) Shares sold to grassroots trade union organizations at equitized enterprises.

Grassroots trade unions at equitized enterprises are allowed to use trade union funds at equitized enterprises (according to the provisions of Article 29 of the 2024 Trade Union Law; no mobilization or borrowing capital) to purchase shares but not exceeding 3% of charter capital. These shares are held by the trade union organization but cannot be transferred within 03 years from the time the equitized enterprise is transferred to a joint-stock company.

The selling price of shares to trade union organizations at equitized enterprises is equal to par value (10,000 VND/share).

Thus, from February 13, 2026, when enterprises are equitized, grassroots trade unions are allowed to use trade union funds (according to the provisions of Article 29 of the 2024 Trade Union Law; no mobilization or borrowing capital) to buy shares but not exceeding 3% of charter capital as prescribed above.