Vietnamese unions orient to changing economy

December 1, 1993
Issue 

By Stephen Robson

HANOI — Economic reforms that began in the 1980s are changing the way Vietnam's unions organise.

The vast bulk of the 30 million-strong labour force works in agriculture. Prior to 1986, the industrial work force was almost exclusively in the state-owned or cooperative area.

Statistics from 43 of the 53 provinces and cities throughout the country indicate that the non-state sectors employ more than 2.2 million persons.

This is divided among 250,000 in handicrafts and small industries; 65,000 in private and limited liability enterprises, stock companies and private industry; 142,000 in transport; 910,000 in commerce; 160,000 in the building industry; 25,000 in foreign investment; and 300,000 in other industries.

The work force in the state sector has fallen from 4.8 million in 1988 to 3 million.

The unions were actively supported by the Communist Party and the government. Today, they face the challenges of having to organise in the private sector and attempts by some employers to undercut agreed conditions and exclude unions from workplaces.

Unions are organised on a voluntary basis, with members paying 1% of salary.

In the past few months a number of strikes had taken place, Hoang Thi Khanh, the president of the Labour Confederation in Ho Chi Minh City, told 91×ÔÅÄÂÛ̳ Weekly

In February, more than 600 workers went on strike at Reeyoung, a South Korean-Vietnam joint venture, protesting over long working hours, poor pay and mistreatment.

There have been 21 cases of stop-works in the last three years, Hoang Thi Khanh said. The longest lasted 3 days.

Responding to the changes, the General Confederation of Labour helped draft new legislation covering working conditions. This has been implemented from the beginning of 1992.

So far, however, the number of industrial accidents and occupational diseases has not fallen significantly. Especially in the non-state enterprises, conditions are still very dangerous.

Dr Pham Gia Thieu, the deputy director of the foreign relations department of the confederation, told 91×ÔÅÄÂÛ̳ that much of the organising in the past had taken place amongst government enterprises. Mistakes had been made in dogmatically applying this to the private sector.

Many workers were still reluctant to work in the private sector because the incomes are not stable. Government enterprises pay lower incomes, but they are more likely to be long term.

Progress has been made in Hanoi and Ho Chi Minh City in organising the unions and improving safety conditions and the general working environment. In other cities, like Haiphong and Danang, not much has been achieved so far.

Out of a work force of 600,000 in Ho Chi Minh City, the unions have coverage of 346,000. Their coverage is over 90% in state-owned enterprises but only 18% amongst non-state.

Hoang Thi Khanh indicated that the wages of workers fell into three categories: some as low as 70,000 dong/month; the bulk between 200,000 and 280,000 dong; 25% receive more than 450,000 dong. A single meal can cost between 4000 and 20,000 dong.

Unemployment is a major issue. Vietnam's labour force is growing at an estimated annual rate of 3.2%. There are 26 million people under the age of 14.

The lack of capital limits how quickly the economy can expand and provide jobs. Ho Chi Minh City's 252 enterprises established with foreign capital have created fewer than 20,000 jobs. The 20,000 private enterprises in the city employ only 170,000.

Adding to the problem, the reorganisation of state-owned enterprises has brought cutbacks in the work force.

Funds have been set up to help those left without jobs, as at training courses.

In the lead-up to the Seventh National Congress of Trade Unions in October, a draft political report and proposed amendments to union rules were distributed to the grassroots union bodies for consideration.

There are now direct elections for the positions of president and vice-president of 53 provincial and city confederations of labour. In the past these positions would have been selected from the executive committee.

As well as the confederations of labour, 20 nationally organised industry bodies also exist. Discussion has taken place to improve coordination between the various industries and local confederations of labour. Some 21,500 grassroots bodies cover 2.5 million workers.

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