Workers of Pou Yuen Vietnam gather at their factory on the fifth day of a strike in Vietnam’s southern Ho Chi Minh City March 31, 2015.
The central government has pledged to amend Vietnam’s social insurance policy after a controversial rule prompted a week-long wildcat strike of thousands of workers at a Ho Chi Minh City footwear factory.
The government has agreed to request the National Assembly — Vietnam’s legislature — to amend the term in the Social Insurance Law and allow employees to continue receiving lump sum payments if they no longer wish to stay in the state’s pension program, Nguyen Van Nen, Minister and Chairman of the Government Office, said at a press conference Wednesday.
Workers currently have this option. However, the Social Insurance Law, which will take effect next year, stipulates that they can only get payments after retirement.
After being informed about the new rule, many workers at the Taiwanese-owned PouYuen footwear company in Ho Chi Minh City’s Binh Tan District went on a wildcat strike on March 26.
The factory with about 70,000 workers resumed operation after deputy minister of labor Doan Mau Diep met with the workers on March 31, promising amendments to the policy.
Vietnam promises tweak to social insurance policy after wildcat strike Related image(s)
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