The Ministry of Labour, War Invalids and Social Affairs

HCM City (VNA) – The Ministry of Labour, War Invalids and Social
Affairs on August 30 began inspecting labour leasing services in five provinces
and cities and asked 20 other localities to do the same.

Workers, who are contracted out to companies by the labour services, risked
missing out on benefit entitlements and being underpaid, Dang Duc San, head of the
ministry's Legislation Department, said.

In Vietnam , labour leasing services employ, train and sign contracts with
clients and lease them out as workers to companies. The service first emerged here
in 2001.

Such companies are not sufficiently regulated under the labour laws despite their
large presence around industrial parks especially in Hanoi , HCM City , Binh
Duong, Dong Nai and Can Tho, San said.

Employees could be exploited because they are kept ignorant of the agreements made
between their employer and their labour leaser even though many of the contracts
are long-term. Currently regulations only apply to short term contracts.

In some cases the labour leasing companies pay salaries less than the amount
agreed with the employer, San said.

He said that neither the company nor the labour leaser accepts responsibility to
pay the workers' health and social insurance.

According to San, most labour leasing companies are only licensed to introduce
jobs, not to lease out labour.

The inspection will be conducted in Hanoi , HCM City , Binh Duong, Dong Nai
and Can Tho by the end of September and authorities in 20 other provinces have
been told to conduct similar inspections and report to the ministry.

The management offices will be able to use the findings to issue regulations to
protect workers' rights, San said.

The ministry will soon issue regulations that restrict the services to arrange
only short-term labour leasing agreements.

Changes are needed so that long-term contracts employees could sign directly with
the company they work for, he said.-Enditem