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Protecting workers’ rights in construction projects

by TNTP LAW | Jan 8, 2025 | Legal newsletter

Protecting workers' rights in construction projects

  • 1. Workers’ rights in construction projects
  • 2. Benefits of Protecting Workers’ Rights for Businesses
  • 3. Challenges in Protecting Workers’ Rights
  • 4. Solutions for protecting workers’ rights
    • a. For Workers
    • b. From Employers

Employers in the construction are not only responsible for delivering high-quality projects but also play a crucial role in protecting workers’ rights. Effectively fulfilling this responsibility not only helps build a professional working environment but also lays a sustainable foundation for the development of the business.

1. Workers’ rights in construction projects

Workers involved in construction projects are entitled to fundamental rights as stipulated by law, including:

• The right to work in a safe environment: Pursuant to the provisions of Article 6 of the Occupational Safety And Hygiene Law 2015, both workers employed under labor contracts and those not employed under labor contracts are guaranteed fair, safe, and hygienic working conditions.

Additionally, under the provisions of Article 115 of the Labor Code 2019 and Article 23 of the Occupational Safety And Hygiene Law 2015, employers are obligated to ensure occupational safety and hygiene conditions and provide appropriate personal protective equipment suitable to the job.

• The right to pay wages in time and in full amount: One of the fundamental rights of workers is to receive wages in accordance with their labor contracts and the region-specific minimum wage regulations, calculated either hourly or monthly.

• The Right to Participate in Insurance Programs: According to Article 18 of the Social Insurance Law 2014, workers who enter into labor contracts must participate in social insurance and health insurance to safeguard their rights in cases of illness, occupational accidents, or unemployment. The current mandatory social insurance contribution rate is 32%, of which workers contribute 10.5% and employers contribute 21.5% of the wage fund.

Additionally, for workers engaged in construction site activities, construction contractors are required to purchase mandatory insurance as stipulated in Article 9 of the Construction Law 2014 (as amended by Clause 5, Article 1 of the Amendments to Construction Law 2020).

• The right to paid leave: In addition to public holidays and Tet holidays, workers are entitled to paid leave. Clause 1, Article 115 of the Labor Code 2019 also provides that workers are entitled to personal leave with full pay, provided they notify their employers in the following cases: marriage; the marriage of their biological or adopted children; the death of biological or adoptive parents, parents-in-law, spouse, or biological or adopted children.

2. Benefits of Protecting Workers’ Rights for Businesses

From the employer’s perspective, protecting workers’ rights offers numerous practical benefits:

• Building corporate reputation: Compliance with labor laws, as stipulated in the Labor Code and the Occupational Safety and Hygiene Law 2015, helps businesses establish a positive image in the eyes of partners, customers, and society.

• Enhancing employee loyalty: When rights related to safety, wages, and benefits are ensured, workers tend to work more consistently and remain loyal to the company, reducing recruitment and training costs for the business.

• Minimizing labor disputes: This helps mitigate disputes, particularly those related to delayed wages or workplace accidents, which could otherwise result in significant economic losses and damage to the company’s reputation.

3. Challenges in Protecting Workers’ Rights

Employers in the construction sector often face several challenges, including:

• Cost pressure: Investing in occupational safety, welfare, and insurance schemes can increase operational costs, especially for small and medium-sized enterprises.

• Managing a large workforce: Construction projects often require a large number of unskilled workers, making it challenging to ensure workers’ rights and properly monitor insurance policy.

4. Solutions for protecting workers’ rights

a. For Workers

To better protect workers’ rights in construction projects, a comprehensive approach should be implemented through the following measures:

• Raising legal awareness: Workers need to be educated about the legal provisions related to their rights, including occupational safety, wages, and insurance.

• Joining trade unions: Trade unions play a crucial role in protecting the collective rights of workers, from negotiating wages and benefits to providing support during dispute resolution and labor-related lawsuits.

b. From Employers

To fulfill their responsibility to protect workers’ rights effectively, employers should implement the following measures:

• Enhancing the role of legal advisors and legal compliance specialists: Legal advisors and legal compliance specialists can assist businesses in developing labor policies that align with legal requirements, ensuring compliance with laws such as the Labor Code 2019, the Occupational Safety and Hygiene Law 2015, and the Social Insurance Law 2014. They can also review labor contracts, internal regulations, and handle labor disputes efficiently.

• Advising and supporting legal risk management: Legal specialists can provide timely warnings about legal risks related to workplace accidents, insurance schemes, or violations of workers’ rights, and propose swift corrective solutions.

• Supporting training and raising awareness: This team can collaborate with other departments to organize regular training sessions on occupational safety, workers’ rights, and employer obligations. Such efforts not only raise awareness among both workers and employers but also foster a transparent, law-compliant work environment.

• Resolving labor disputes: In case of disputes, legal advisors can assist employers in resolving issues through negotiation, mediation, or litigation in court, minimizing financial and reputational damages to the business.

By closely coordinating with internal or external legal teams, employers can ensure workers’ rights, compliance with laws, reduce labor disputes, and improve productivity. Furthermore, this approach strengthens the company’s reputation and ensures safety in the construction environment.

Protecting workers’ rights in construction projects is not only a legal responsibility but also a key factor in ensuring the sustainable development of the construction industry. The parties must work closely together to create a safe, fair, and transparent working environment, thereby enhancing labor quality and contributing to socio-economic development.

The above article, “Protecting workers’ rights in construction projects” is brought to you by TNTP. We hope it proves helpful to our readers.

Best regards,

 

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