Labor - Employment

Retirement age to unilaterally terminate labor contract

VN (according to Vietnamnet) August 22, 2024 06:00

The Ministry of Labor, War Invalids and Social Affairs (MOLISA) has just issued a document responding to the Department of Labor, War Invalids and Social Affairs of Vinh Phuc province regarding the issue of unilaterally terminating contracts with employees who are eligible to retire at a lower age but do not wish to retire early.

Previously, the Ministry of Labor, Invalids and Social Affairs received a document from the Department of Labor, Invalids and Social Affairs of Vinh Phuc province requesting guidance for a case where an enterprise plans to unilaterally terminate the labor contract according to the provisions of Point d, Clause 1, Article 36, Labor Code from July 1, 2024 and carry out early retirement procedures for a female employee aged 51 years and 8 months, with 19 years and 4 months of working in a heavy, toxic, and dangerous job.

However, the above employee does not want to retire but wishes to continue working according to the signed contract.

According to the employee, for those who are subject to the provisions of Clause 3, Article 169, Labor Code, retirement at a lower age or retirement at the retirement age under normal working conditions according to Clause 1, Article 169, Labor Code is chosen by the employee according to his/her wishes. The employee does not agree with the enterprise unilaterally terminating the labor contract and carrying out procedures for the employee to retire before the age.

The Department of Labor, Invalids and Social Affairs of Vinh Phuc province directly discussed the above content but did not achieve consensus from the workers.

Regarding the above incident, the Ministry of Labor, Invalids and Social Affairs replied that according to the provisions of Point e, Clause 2, Article 36 of the Labor Code, employees and employers have the right to unilaterally terminate the labor contract when the employee reaches retirement age, unless otherwise agreed.

According to current regulations, the retirement age in 2024 for employees who have worked for 15 years or more in arduous, toxic, dangerous or especially arduous, toxic, dangerous jobs is 56 years old for men and 51 years and 4 months old for women.

Compared with the above regulations, in the case of female workers who are 51 years and 8 months old as of July 1, 2024 and have 19 years and 4 months of working in a heavy, toxic, or dangerous job, they will be at retirement age according to the provisions of Article 169 of the Labor Code.

Thus, both employees and employers have the right to unilaterally terminate the labor contract according to the provisions of the Labor Code, unless otherwise agreed.

VN (according to Vietnamnet)
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Retirement age to unilaterally terminate labor contract