REQUIREMENTS FOR INITIATING A LAWSUIT IN LABOUR DISPUTES

In the workplace, disputes may arise and affect to the relationship between employees and employers. Litigation at court may be considered as a dispute resolution. However, it is neccessary to clarify the requirement to initiate a lawsuit in the labour disputes. This article will outline the requirements for initiating a lawsuit in labour disputes, from legal regulations to practical guidance, thereby helping relevant parties to have better understanding on the litigation procedure to protect  their rights and interests in the course of dispute resolution.

1. What are labour disputes? Types of labour disputes as prescribed under the law

The labour disputes refer to disputes regarding rights, obligations, and interests arising among parties during the establishment, execution, or termination of employment relationships, disputes between labour representative organisations, disputes arising directly from labour relations[1]. Apart from disputes arising from labour contracts between employers and employees, those directly related to labour relations such as disputes concerning labour outsourcing, occupational safety and hygiene, trade union rights, and union funds, are also considered as labour disputes.

The prevailing labour laws classify labour disputes into two types:

• Individual labour disputes: These are disputes between employees and employers, employees and enterprises, or organisations that send workers abroad under contracts. They also include disputes between the outsourced employees and the subleasing employer.
• Collective labour disputes: These are disputes on rights or interests between one or more representative organisations of employees and the employer or one or more organisations of employers.

2. Requirements for initiating a lawsuite in labour disputes

Unlike disputes in other sectors like civil or commercial disputes, the process of resolving labour disputes involves unique procedures with dedicated dispute resolution authorities. Consequently, parties involved in selecting the court for resolution must consider specific conditions.

2.1. Requirements on the capacity of the plaintiff:

According to Article 69 of the Civil Procedure Code 2015, the plaintiff must meet the requirements for civil procedure legal capacity and civil procedural act capacity when initiating litigation in labour disputes.

For involved parties between fifteen and under eighteen of age who have worked under the labour contracts, they may participate themselves in proceedings for matters related to labour relations. In this case, the court has the right to summon their legal representatives to participate in the proceedings.

2.2. Requirements regarding mediation procedures:

Mediation procedures are one of the first conditions to be fulfilled before initiating a lawsuit in labour disputes. According to Article 188.1 of the  Labour Code 2019, all labour disputes are required to carry out the mediation procedures before filing a lawsuit to the court, except for the following cases:

• Handling labour discipline under the form of dismissal or unilaterally termination of the labour contracts;
• Compensation for damages, allowances when terminating the labour contracts;
• Between domestic servants and employers;
• Social insurance according to the provisions of the law on social insurance, health insurance according to the provisions of the law on health insurance, unemployment insurance according to the provisions of the law on employment, on insurance for labour accidents and occupational diseases according to the provisions of law on occupational safety and hygiene;
• Compensation for damages between the employees and enterprises or organisations sending employees to work abroad under contracts;
• Between the outsourced employees and the subleasing employers.

In cases where mediation is not mandatory or the mediation period as stipulated by regulations has expired without being conducted by the labour mediation, or if mediation is unsuccessful, the disputing parties have the right to initiate a lawsuit at the court to resolve the dispute.

2.3. Requirements regarding statute of limitations

The statute of limitations is the period defined by law during which a party in a labour dispute has the right to request the Court to resolve the dispute. For the parties involved, determining the statue of limitations is crucial to ensure their legal rights and interests when seeking Court resolution. The statute of limitations for requesting court resolution in labour disputes is as follows:

• According to Article 190.3 of the Labour Code 2019, the limitation period for requesting the Court to resolve individual labour disputes is 01 year from the date of discovering the conduct that the disputing parties believe has violated their legal rights.
• According to Article 194.3 of the Labour Code 2019, the limitation period for requesting the Court to resolve collective labour disputes regarding rights is 01 year from the date of discovering the conduct that the disputing parties believe has violated their legal rights.

The court determines the time when the parties became aware of the violation of their legal rights and interests based on evidence and objective facts of the case. However, if a party is aware of the violation but fails to initiate a lawsuit within the prescribed statute of limitations due to force majeure or objective obstacles, it may be deemed as a justifiable reason for not being able to initiate a lawsuit within the statutory deadline. The time during which the force majeure or objective obstacles occur will not be counted into the statute of limitations period.

The above is an overview of our legal perspective on Requirements for initiating a lawsuit in labour disputes matter that Phuoc & Partners share with readers. If you have difficulties in finding a Law Firm to advise and support in the relevant legal field, please contact us. Phuoc & Partners is a professional consulting firm established in Vietnam and currently has nearly 100 members working in three offices in Ho Chi Minh City, Hanoi and Danang. Phuoc & Partners is also rated as one of the leading consulting firms specialising in business law in Vietnam that has leading practice areas in the legal market such as Labour and Employment, Taxation, Merger and acquisition, Litigation. We are confident in providing Clients with optimal and effective service.

[1] Article 179.1 of the Labour Code 2019