Businesses owe wages, workers suffer losses

DNUM_AEZACZCABG 22:52

(Baonghean) - The situation of unpaid wages in enterprises is not a new problem in our province. Although there are specific sanctions, due to shortcomings in management and weaknesses of grassroots trade union organizations, many workers still suffer...

Disadvantaged workers

According to data from the Department of Employment - Wages - Social Insurance (Department of Labor, Invalids and Social Affairs), as of February 2, the 482 Traffic Construction Joint Stock Company still owed 109 workers a total of VND11 billion 121 million in wages. In addition, the company also owed more than VND6 billion in social insurance. Some engineers of the company said: "Although both parties have an agreement in a labor contract, which clearly states the rights and responsibilities of each party, we do not know whether the company pays social insurance and unemployment insurance for us or not. We hope that the company will soon pay us our full wages to resolve the difficulties in our lives."

Dù công việc vất vả, phải thường xuyên xa nhà nhưng nhiều kỹ sư, công nhân Công ty CP 482 bị nợ lương nhiều tháng liền.
Despite the hard work and frequent distance from home, many engineers and workers at Company 482 have been owed wages for many months.

At the Administration and Human Resources Department of the 482 Traffic Construction Joint Stock Company, we learned that in early 2015, the total number of officers, engineers, and workers of the company was more than 550 people. However, in 2015, nearly 180 people quit their jobs, including nearly 40 engineers. In addition to reasons such as not meeting job requirements, illness, not wanting to work far from home, etc., the main reason for quitting jobs was due to the company's income not being guaranteed and long-term unpaid wages. Mr. Vo Dinh Hai - a worker who quit his job said: "At first, I was owed wages, luckily I still had savings so I spent frugally so I had enough to live on. As a last resort, I had to go to the company to demand payment of my wages to quit my job, but I was only paid a portion."

Also a business in the transportation sector, the 496 Bridge and Road Construction Joint Stock Company, by the end of 2015, owed 171 engineers and workers a total of 3 billion VND in wages. Up to this point, after 1 month, the company has partially resolved the unpaid wages, but the unpaid wages are still up to 2 billion VND.

Mr. Pham Thai Hoc - Director of the company said: "We have tried very hard to pay the full salary to the workers on time. But there are construction projects worth tens, hundreds of billions of VND, borrowed from banks, have been completed, but the investor is late in paying so the company has no money to pay the workers' salaries".

Ms. Nguyen Thi V - an administrative staff of the company said: "Last year, there was a time when we did not receive any salary for 3-4 months, all spending needs were cut to the maximum. Even essential needs such as food and drink had to be saved. Up to now, although the company has paid a part, we still have not received 1 month's salary. The year ends and Tet comes, seeing people excitedly shopping for Tet makes me feel sad. But I do not dare to quit my job because if I quit, it will be difficult to collect the salary owed. Many people here quit their jobs in the middle of the year, but have not received any salary yet."

The situation of unpaid wages occurs frequently in enterprises in the fields of construction, transportation, irrigation, etc. The characteristic of these enterprises is to pay wages to employees quarterly, for each project, or for each payment and settlement period. In recent years, due to the reduction of public investment, these enterprises have encountered many difficulties. In 2015, in addition to the above two companies, there were also a number of companies that owed wages to hundreds of employees with the amount of billions of VND, such as: VNECO 4 Electrical Construction Joint Stock Company, owed wages to 108 employees with the amount of 1 billion 620 million VND; 3-2 Agricultural Industry One Member Co., Ltd. owed 12 billion 861 million VND...

Inadequate management

Through research at the authorities, it is found that the management of salary arrears seems to be neglected.

Ms. Le Thi Thuy - Deputy Head of the Department of Employment - Wages - Social Insurance, Department of Labor, Invalids and Social Affairs said: "The number of enterprises in the province is large, the department's human resources are small, so we do not know exactly how many enterprises owe wages. Every year, the department only conducts surveys on the salary payment situation of a number of enterprises, such as in 2015, nearly 10 enterprises were surveyed, of which 3 enterprises owed wages."

Công nhân làm việc tại Công ty VNECO 4 - đơn vị đang nợ hơn 1,6 tỷ đồng tiền lương.
Workers at VNECO 4 Company - a unit that owes more than 1.6 billion VND in wages.

Ms. Hoang Thi Huong - Chief Inspector of the Department said: "Up to now, the Department of Labor, Invalids and Social Affairs has not had a separate inspection topic on salary issues at enterprises. Besides, up to now, the Department of Labor, Invalids and Social Affairs has not received any feedback or petitions about salary arrears from employees."

Ms. Huong added: “Currently, the whole province has more than 11,000 enterprises, of which about 7,000 are operating. Meanwhile, the Inspection Department of the Department of Labor, Invalids and Social Affairs has only 7 officers but has to manage 9 different fields. Therefore, inspecting and supervising the implementation of enterprises is extremely difficult.”

According to the Labor Code as well as the guiding Decree, there are strict regulations on handling violations related to salary issues. Decree 05/CP of the Government dated January 12, 2015 stipulates: If the salary payment is delayed by 15 days or more, an additional amount must be paid at least equal to the late payment amount multiplied by the ceiling interest rate for 1-month term deposits announced by the State Bank of Vietnam at the time of salary payment. However, in Nghe An, the situation of delayed salary and salary arrears of employees at enterprises has been happening for many years but almost no enterprise has been punished.

Mr. Nguyen Chi Cong - Head of the Legal Policy Department, Provincial Labor Federation said that according to the feedback from grassroots trade union organizations, in the past year there was basically no situation of enterprises owing wages to employees.

Discussing this issue, Mr. Dang Cao Thang - Deputy Director of the Department of Labor - Invalids and Social Affairs said: "Decree 05/CP guiding the implementation of the wage regime in the Labor Code also clearly stipulates that when there is a delay in salary payment, employees have the right to express opinions, complaints and denunciations.

In particular, workers have the right to authorize the trade union, so that the grassroots trade union can demand benefits for workers. But in reality, workers are mostly silent or sometimes share with businesses, while the role of grassroots trade unions is weak, not really connected with workers, so demanding benefits for workers in the issue of wages is very difficult.

Therefore, to overcome the situation of unpaid wages, in addition to businesses having to innovate and restructure their production and business methods to reduce costs and increase profits, trade unions also need to step up propaganda, raise awareness and understanding of their rights under the Labor Law, and at the same time, enhance their responsibility in protecting the rights of workers.

Minh Quan

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Businesses owe wages, workers suffer losses
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