Quyết định 1764/QĐ-TLĐ năm 2020 sửa đổi quy định về tài chính công đoàn do Tổng Liên đoàn lao động Việt Nam ban hành

DECISION

AMENDMENTS TO CERTAIN REGULATIONS ON TRADE UNION BUDGET

PRESIDIUM OF VIETNAM GENERAL CONFEDERATION OF LABOR

- Pursuant to the Law on Trade Union No. 12/2012/QH13 dated June 20, 2012;

- Pursuant to the Charter of the 12th Vietnamese Trade Union;

- Pursuant to the Law on Bidding No. 43/2013/QH13 dated November 26, 2013;

- Pursuant to the Law on State Budget No. 83/2015/QH13 dated June 25, 2015;

- Pursuant to the Law on Management and Use of Public Property No. 15/2017/QH14 dated June 21, 2017;

- Pursuant to the Law on Public Investment No. 39/2019/QH14 dated June 13, 2019;

- Pursuant to the Law on Enterprises No. 59/2020/QH14 dated June 17, 2020;

- Pursuant to the Government’s Decree No. 191/2013/ND-CP dated November 21, 2013 providing detailed regulations on trade union budget;

- Pursuant to the Government’s Decree No. 16/2015/ND-CP dated February 14, 2015 stipulating the mechanism for exercise of the autonomy by public service providers;

- Pursuant to the Government’s Decree No. 59/2015/ND-CP dated June 18, 2015 on management of construction projects;

- Pursuant to the Government’s Decree No. 151/2017/ND-CP dated December 26, 2017 on elaboration of certain Articles of the Law on Management and Use of Public Property;

- Pursuant to the Circular No. 58/2016/TT-BTC dated March 29, 2016 of the Ministry of Finance providing detailed regulations on the use of state funding for making purchases for the purpose of maintaining regular operations of regulatory bodies, units affiliated to people's armed force, public service providers, political organizations, socio-political organizations, social-political-professional organizations, social organizations, socio-professional organizations;

- Pursuant to the Decision No. 1916/QD-TLD dated November 27, 2018 of the 12th Executive Committee of the Vietnam General Confederation of Labor on promulgation of Work Regulation of the 12th Committee of the Vietnam General Confederation of Labor;

- Pursuant to other relevant legislative documents;

- At the request of the Financial Committee of Vietnam General Confederation of Labor,

HEREBY DECIDES

Article 1. Amendments to Articles 7, 16, 19 and 21 of the Decision No. 1908/QD-TLD dated December 19, 2016 of the Vietnam General Confederation of Labor on promulgation of regulations on management of trade union’s budget and assets; collection and distribution of revenues, rewards and penalties related to trade union revenues and expenditures.

1. Clause 5 of Article 7 is amended as follows:

“5. The power to decide the use of the trade union budget:

a) The Presidium of the General Confederation of Labor has the power to:

- Approve the guidelines for financial investment (except for term deposits at banks).

- Approve projects on provision of capital (exclusive of funding for covering regular expenditures) to public service providers and single-member limited liability companies.

- Provide capital to public service providers and single-member limited liability companies affiliated to the General Confederation.

- Approve the guidelines for grant and raising of capital for investment by public service providers covering regular expenditures and investment expenditures themselves and public service providers covering regular expenditures themselves affiliated to the General Confederation.

b) Every Standing Committee of Confederation of Labor of a province, city or equivalent has the power to:

- Formulate a plan for financial investment covered by its trade union budget and submit it to the General Confederation for approval (except for term deposits at banks).

- Appraise projects on provision of capital (exclusive of funding for covering regular expenditures) to public service providers and single-member limited liability companies affiliated to the Confederation of Labor of the province, city or equivalent, and submit them to the General Confederation for approval.

- Provide capital to public service providers and single-member limited liability companies affiliated to the Confederation of Labor of the province, city or equivalent after obtaining approval from the General Confederation.

- Approve the guidelines for grant and raising of capital for investment by public service providers covering regular expenditures and investment expenditures themselves and public service providers covering regular expenditures themselves affiliated to the Confederation of Labor of the province, city or equivalent.

* With regard to the Defense Trade Union Board that has no Standing Committee, the power to decide the above-mentioned issues is held by the Head of this Board.

c) Power of public service providers affiliated to the General Confederation: Public service providers covering regular expenditures and investment expenditures themselves and public service providers covering regular expenditures themselves are entitled to borrow capital and raise capital for investment after the General Confederation approves the guidelines therefor.”

2. Article 16 is amended as follows:

“Article 16. The power to decide and approve project cost estimates and settlement of financial obligations arising from public investment projects (with and without construction components); procurement of assets, goods and services; use of assets for rent, joint-venture or association

1. The Presidium of the General Confederation of Labor has the power to:

1.1. Regarding a public investment project:

a) Funded by state capital:

- Formulate medium and annual public investment plans and submit them to a competent authority for approval.

- Annually allocate state capital to annual investment plans and assign tasks of such plan.

- Grant approval for: investment guidelines of the project; the project; the plan for selection of contractor for the entire project; settlement of financial obligations arising from the completed project.

b) Funded by trade union budget sources; capital derived from public service providers' legal revenues reserved for investment as prescribed by law; other legal sources of assistance:

- Approve medium and annual public investment plans.

- Grant approval for: investment guidelines of the project; the project; the plan for selection of contractor for the entire project; settlement of financial obligations arising from the completed project.

c. Funded by combined sources of capital (from the central government budget, local government budget and trade union budget).

Based on the ratio of investment capital for a specific project, adhere to the agreement between competent authorities to determine an authority deciding investment in the project.

1.2. Regarding an investment project funded by other sources of capital:

Approve investment guidelines of the project.

1.3. Procurement of assets, goods and services for the purpose of maintaining regular operations:

a) By using the state capital:

- Formulate a 05-year financial plan, 03-year finance – state budget plan and annual state budget estimate and submit them to a competent authority for approval.

- Annually allocate funding for procurement of assets, goods and services.

- Approve the contractor selection plan; approve the annual state budget statement.

b) By using the trade union budget; development fund at a public service provider:

Approve the medium plan; approve the annual cost estimate and statement.

1.4. Use of assets for rent, joint venture or association; procurement and liquidation of cars, working offices or public service facilities:

- Approve the guidelines; project on use of assets for rent, joint venture or association of public service providers affiliated to trade unions at all levels as prescribed by law;

- Approve the guidelines for procurement of cars, working offices or public service facilities; liquidation of cars, working offices or public service facilities of trade unions at all levels, public service providers or trade union enterprises as prescribed by law.

2. Every Standing Committee of the Confederation of Labor of a province, city or equivalent; public service provider or business unit being the investor has the power to:

2.1. Regarding a public investment project:

a) Funded by state capital:

- Formulate medium and annual public investment plans and submit them to the General Confederation for consideration.

- Implement the investment plan to which state capital is allocated and whose tasks are assigned on an annual basis.

- Submit the following to the General Confederation for consideration and approval: investment guidelines of the project; the project; the plan for selection of contractor for the entire project; settlement of financial obligations arising from the completed project.

- Execute the project as prescribed by law.

b) Funded by trade union budget sources; capital derived from public service providers' legal revenues reserved for investment as prescribed by law; other legal sources of assistance:

- Formulate medium and annual public investment plans as assigned by the General Confederation.

- Submit the following to the General Confederation for consideration and approval: investment guidelines of the project; the project; the plan for selection of contractor for the entire project; settlement of financial obligations arising from the completed project.

- Execute the project as prescribed by law.

c) Funded by combined sources of capital (from the central government budget, local government budget and trade union budget):

Execute the project under the decision issued by a competent authority.

2.2. Regarding an investment project funded by other sources of capital:

Execute the project under the decision of the General Confederation and regulations of law.

2.3. Procurement of assets, goods and services for the purpose of maintaining regular operations:

a) By using the state capital:

- Formulate a 05-year financial plan, 03-year finance – state budget plan and annual state budget estimate and submit them to the General Confederation for consideration.

- Annually procure assets, goods and services using the allocated funding and approved cost estimate.

- Submit to the General Confederation the contractor selection plan; the annual state budget statement.

b) By using the trade union budget; development fund at a public service provider:

- Annually procure assets, goods and services based on the approved cost estimate.

- Approve contractor selection plans; approve financial statements of affiliated units.

2.4. Use of assets for rent, joint venture or association; procurement and liquidation of automobiles, working offices or public service facilities:

- Prepare and appraise applications; submit to the General Confederation the guidelines and project on use of assets for rent, joint venture or association of public service providers as prescribed by law.

- Prepare and appraise applications; submit to the General Confederation for consideration of the procurement and liquidation of automobiles, working offices or public service facilities.

3. The trade union that makes decision on investment and procurement of assets shall decide to liquidate its assets.”

3. Clause 3 of Article 19 is amended as follows:

“3. The Confederations of Labor of provinces, cities and equivalent; supervisory internal trade unions shall assign internal trade unions to collect trade union contributions from the units that are required to implement the Decree No. 168/2016/ND-CP dated December 27, 2016.”

4. Clause 1 of Article 21 is amended as follows:

“Article 21. Distribution of trade union budget revenues to internal trade unions

1. An internal trade union is entitled to use 60% of the total trade union fees collected. The trade union fees shall be distributed to the internal trade union in a manner that there is a 1% increase every year to reach a target of 75% by 2025.

The collected trade union fee that exceeds the amount prescribed in Article 23 of this Decision and other revenues shall be fully returned to the internal trade union.”

Article 2. Amendments to Articles 8, 10, 12 and 15 of the Decision No. 1712/QD-TLD dated October 24, 2016 of the Presidium of the Vietnam General Confederation of Labor on promulgation of regulations on mechanism for exercise of the autonomy by public service providers of trade union.

1. Point a Clause 2 of Article 8 is amended as follows:

“2. Use of sources of finance.

a) Expenditures on investment in capital construction and asset procurement.

The execution of public investment projects (with and without construction components); procurement of assets, goods and services; use of assets for rent, joint-venture and association by public service providers must comply with the procedures and regulations specified in Clauses 1 and 2 Article 1 of the Decision No. 1764/QD-TLD dated December 28, 2020.

For the public service providers that apply a special mechanism as prescribed by law, such mechanism shall be adhered to.”

2. Clause 3 of Article 10 is amended as follows:

“3. Distribution of income generated within a year

a) The margin produced due to an amount of revenues higher than an amount of expenditures on regular operations (after paying tax and obligations to the state budget) shall be distributed as follows:

- Set aside 15% to establish the fund for development of provision of public services.

- Set aside the fund for supplementation of income which is restricted to twice less than the amount used for the fund for salary or allowances by pay grade, pay step, job positions and other salary allowances stipulated by the State;

- Set aside the reward fund and the welfare fund of which the maximum amount does not exceed 2-month salary or wage that the public service provider has paid for within a year;

- Set aside other funds as prescribed by law.

- The remaining margin generated due to the amount of revenues greater than the amount of expenditures (if any) after all funds have been set aside in accordance with regulations shall be added to the fund for development of provision of public services.

If the margin is produced due to the revenues higher than expenditures, or once less than the amount provided by the fund for salary or wages by pay grade, pay step or job positions realized within a year, the public service provider is entitled to decide to set aside the fund for supplementation of incomes; the fund for development of provision of public services; the reward fund; the welfare fund; other funds.

b) The specific amount derived from the abovementioned funds and use of the funds shall be decided by the head of the public service provider in accordance with the rules and regulations on internal expenditures and shall be made publicly available within the provider. Specific expenditures derived from funds shall be governed by Point b Clause 3 Article 8 of this Decision”.

3. Point c Clause 2 of Article 12 is amended as follows:

“2. Contents in which the mechanism is applied.

c) Manage revenues and expenses and distribute profits, implement the regulations on accounting, manage, use and set aside an amount of depreciation of fixed assets in accordance with regulations of the Ministry of Finance applicable to enterprises and regulations on managing finance of trade union single-member limited companies of the General Confederation.”

4. Article 15 is amended as follows:

“Article 15. Mechanism for providing revenue-based salary fund to public service providers of the trade union.

Owners or representatives of owners are entitled to provide revenue-based salary fund to trade union’s public service providers covering regular expenditures and investment expenditures themselves, trade union’s public service providers covering regular expenditures themselves and trade union’s public service providers entitled to adopt the financial mechanism in the same manner as single-member limited companies. The providers shall request the specific fund and the owners or representatives of owners shall decide it.

The providers provided with the revenue-based salary fund shall formulate a salary payment plan and submit it to the owners or representatives of owners for approval.”

Article 3. Amendments to Articles 8, 9, 16 of the Decision No. 1912/QD-TLD dated December 19, 2016 of the Presidium of the Vietnam General Confederation of Labor on promulgation of mechanism for managing trade union’s capital for financial investment and economic activities.

1. Point 2.3 Clause 2 of Article 8 is amended as follows:

“2.3. The power to decide the use of the trade union budget for purchase of preferred shares.

- Confederations of Labor of provinces and cities; central sectoral and equivalent-level trade unions shall request the General Confederation to grant approval for purchase of preferred shares.

- The General Confederation shall grant approval for purchase of preferred and non-preferred shares.”

2. Article 9. Use of trade union budget for granting loans is repealed

3. Point 2.2 Clause 2 of Article 16 is amended as follows:

“2.2. For public service providers of the trade union: the profit after tax derived from economic activities and financial investment is used to establish/contribute to funds as prescribed by law.”

Article 4. Implementation clause

- This Decision comes into force from the day on which it is signed.

- Other Article and Clauses of the Decision No. 1908/QD-TLD dated December 19, 2016; Decision No. 1712/QD-TLD dated October 24, 2016; Decision No. 1912/QD-TLD dated December 19, 2016 shall remain effective.

- Regulations on payment of obligations shall apply from the 2020 fiscal year.

- The committees and units affiliated to the General Confederation and trade union at all levels are responsible for the implementation of this Decision./.

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