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INTRODUCTION

1. Reason for choosing the topic
In the new context, when Vietnam participates in the signing and
implementation of international agreements in the ASEAN region, the Trade
agreement, the new generation of the Trans-Pacific Partnership, the Free Trade
agreement between Vietnam and the European Union and some standards of the
International Labor Organization, etc. Industrial relation is one of the
indispensable conditions in the stability and development of enterprises.
Especially the foreign direct investment (FDI) enterprises are also being directly
affected by industrial relations. Among them are the Japan-invested automobile
manufacturers in Vietnam with a certain number of workers in the workforce of
the FDI enterprises.
In the last five years, industrial relations in the Japan-invested automobile
manufacturers in Vietnam are still stable, and there has not been any labor
dispute or strike. However, with the constant development of domestic and
foreign economy, and of the 4.0 industry; the industrial relations in these
enterprises always have the potential risks of disagreement in industrial
relations. This disagreement can easily lead to an increase in unemployment and
the labor force in the enterprises is likely to fluctuate.
Japan is not only a country with a developed economy, but it is also the
country with the largest source of official development assistance (ODA) in
Vietnam. In general, Japanese enterprises have a good solution point of view for
industrial relations. In the same investment environment, with the same business
conditions, in reality the Japanese FDI enterprises rarely have labor conflicts. In
automobile manufacturing enterprises, strikes are never allowed to happen.
Also, with the competitive advantage compared to other foreign-invested
enterprises in Vietnam. Issues related to Japanese-invested automobile
manufacturing enterprises in Vietnam are a matter of great concern for many
people. Therefore, the postgraduate students focused on researching the topic: “
1




Industrial

relations

in

Japan-invested

automobile

manufacturing

enterprises in Vietnam” wishes to closely evaluate the reality, producing
practical solutions for the Japan-invested automobile manufacturers in particular
and Vietnam’s automobile manufacturing industry in general. Finally, to
contribute to the stability, development of the whole car manufacturing industry
in Vietnam in the period of integration and development.
2. Research purposes
On the basis of theoretical and practical research, this is to propose
solutions to build harmonious and progressive industrial relations in Japaninvested automobile manufacturing enterprises in Vietnam, contributing to
improving labor productivity and job quality.
3. Subjects and the scope of the study
3.1. Research subjects
Mostly industrial relations: subjects are industrial relations; subjects are the
Japan-invested automobile manufacturing enterprises in Vietnam.
3.2. The scope of the study
Regarding research content: The thesis focused on researching the basic
contents of industrial relations between employees (and their representatives)

and employers (and their representatives) on issues of wages, labor agreements,
working conditions, and labor standards issues in enterprises.
Spatial scope: 03 large Japan-invested enterprises in Vietnam such as:
Toyota Motor Vietnam (in Vinh Phuc), Honda Vietnam (Vinh Phuc), Vietnam
Suzuki limited liability company (LLC) (in Dong Nai).
Scope of time: The thesis mainly takes research data from the Japaninvested automobile manufacturing enterprises in Vietnam from 2012 to 2019;
proposes solutions to 2025, vision to 2030.
4. Research Methods
4.1. Data collection method: Use primary and secondary data collection
methods.
4.2. Research methods
2


- The thesis uses qualitative and quantitative research methods to serve the
research progress.
- In addition, the thesis also uses some other research methods: statistics,
description; data processing, document synthesis; comparison. .
5. Scientific and practical significance of the topic
5.1. Theoretically
- Generalized the concepts related to industrial relations; systematized some
basic contents of industrial relations in enterprises.
- Analysis of factors affecting industrial relations in enterprises in the period
of innovation and integration.
- Clarifying the Party’s view on foreign-invested enterprises in Vietnam.
5.2. Practically
- Assessing the current status of industrial relations at Japan-invested
automobile manufacturing enterprises in Vietnam. From there, make
assessments and comments on the advantages and disadvantages of industrial
relations in enterprises.

- Proposing solutions to build labor relations towards harmonious and
stable industrial relations in the Japan-invested automobile manufacturing
enterprises in the coming time.
- The thesis can be a reference for foreign-invested automobile
manufacturing enterprises in Vietnam, trade unions organizations of the same
type, theoretical researchers, and researchers interested in issues related to
industrial relations in enterprises in the innovation period.
6. The thesis structure
In addition to the introduction, conclusion, list of references and
appendices, the main content of the thesis consists of 4 chapters:
Chapter 1. Overview of research on industrial relations in enterprises.
Chapter 2. Theoretical and practical basis of industrial relations at
enterprises.
3


Chapter 3. Reality of industrial relations in Japan-invested automobile
manufacturing enterprises in Vietnam
Chapter 4. Solutions to build harmonious and stable industrial relations in
Japan-invested automobile manufacturing enterprises in Vietnam.

Chapter 1. OVERVIEW OF RESEARCH ON INDUSTRIAL RELATIONS
IN ENTERPRISES

1.1. Overseas studies on industrial relations
Studies on the concept, nature and content of industrial relations
- Studies on the concept of industrial relations: In the world, industrial
relations were formed very early along with labor hiring processes. Industrial
relations are a historical category associated with the formation and
development of the labor market. Right from the 17th century, scientists

William Petty (1623-1687), Franỗois Quesnay (1694-1774) have studied the
connotations of industrial relations. In 1958, the first scientist to officially study
labor relations was J.T Dunlop - a professor at Harvard University. Around the
end of the 19th century, the terms of industrial relations really started to appear.
In 2002, according to the research of Loic Cadin et al., the concept of industrial
relations was proposed from a legal perspective.
Thus, it can be seen that many studies in the world are interested in the
field of industrial relations. That shows the complexity and diversity of
industrial relations in the context of the market economy.
- Theories of industrial relations: Derived from the unitary school and the
pluralist school.
- Research on the nature of industrial relations: K. Marx, Friedrich
Engels and V.I. Lenin discovered the nature of the capitalist system, the reality
of labor and the life of workers in the capitalist system. These theoretical
systems are directly related to the industrial relations between the bourgeoisie
and the workers in production. Researchers have pointed out the nature of
4


industrial relations and the occurrence of strikes and strikes by workers in
capitalist society.
- Research on the content of industrial relations: since the 1990s, many
practical studies on industrial relations in countries with economies in transition
have been conducted. To date, the view that is considered the most
comprehensive, the most widely recognized on industrial relations commonly
used is that of David Macdonald and Caroline Vardenabeele (1996),
representatives of the ILO, etc.
1.2. Domestic research projects on industrial relations
About the concept, nature, and content of industrial relations
- Research on the concept of industrial relations: In Vietnam, some

authors have started researching since the Doi Moi policy was introduced.
However, it was not until 2002 that the issue of industrial relations in the market
economy really got the researchers and managers’ interests.
After researching and consulting with a number of scientists, experts,
researchers have come up with the concept of industrial relations in enterprises
as follows: Industrial relations is the relationship between employees and the
collective of employees with the employer and the employer’s representative
organization and is established in the labor process on the basis of the current
labor law and through the implementation of agreements and negotiations on the
principles of voluntariness, equality, cooperation, respect for each other’s
legitimate rights and interests to fully carry out the work what the parties have
committed.
- Research on the nature of industrial relations: Industrial relations are
both economic and social in nature and governed by law. In an enterprise,
industrial relations are the summation of relationships between employees and
employers, revolving around labor-related conditions. Industrial relations show
the interaction between the parties involved in the labor process. There are twoway mechanisms and three-way mechanisms.
5


- Research on specific contents of industrial relations: The thesis studies
labor relations through the conclusion and implementation of labor contracts;
negotiate, sign and register the collective labor agreement (CBA); “Strikes and
Labor Relations in Vietnam” by Chang - Hee - Lee and Simon Clarke; Le Manh
Ha (2008) with the article “Strikes and Industrial Relations in Vietnam - Current
Situation and Solutions”; Author Le Thanh Ha (2012) studies “Industrial
relations in foreign-invested enterprises in Vietnam and the role of trade unions”
etc. According to the research of MOLISA-ILO (2018), the content of industrial
relations includes the relations on employment, salary, labor contract, working
time, rest time, social insurance, labor discipline, rights and obligations of the

parties, settlement of labor disputes, etc.
- Research on factors affecting industrial relations: a number of studies
by Tran Van Hoan and Nguyen Ba Ngoc have analyzed the factors affecting
industrial relations. And these factors have been more generalized in the
MOLISA-ILO report (2018). Another study on industrial relations in the context
of integration by Dang Thi Hai Ha (2019) “Economic issues rather than social
issues”, EVFTA, etc.
1.3. Gaps in the research and research direction of the thesis
1.3.1. Gaps in studies
Firstly, most studies suggest that industrial relations only consist of
relationships between employees and employers within the enterprise. Secondly,
the quality of human resources working in FDI enterprises in general and
Japanese-invested automobile manufacturers in particular has not been deeply
analyzed. Thirdly, standing on the employee's point of view but paying little
attention to the employer's point of view. Fourthly: a number of solutions to
build industrial relations not only need to meet the requirements of current
industrial relations but more importantly need to forecast the trend of industrial
relations in the future. Fifth, there has been no systematic and comprehensive
research on industrial relations in Japan-invested automobile manufacturing
enterprises in Vietnam.
6


1.3.2. The research direction of the thesis
- Systematize basic theoretical issues on industrial relations in the context
of international economic integration, especially contents and factors affecting
industrial relations. The thesis will approach industrial relations within
enterprises.
- Research the experience in maintaining and developing labor relations
through the collective labor agreements of some countries and draw lessons for

Japanese-invested automobile manufacturers in Vietnam.
- Analyze and assess the current status of industrial relations at foreigninvested enterprises in general and Japan-invested enterprises in the field of
automobile production in Vietnam in particular; analyze the causes, the
influencing factors, etc. From that point out the achievements, limitations and
causes of the above situation.
- Proposing some directions and solutions to build industrial relations in
automobile manufacturing enterprises with Japanese investment capital.
1.4. Experiences of some countries in building industrial relations
1.4.1. China’s experiences
China is a country with political, economic and social institutions quite
similar to Vietnam. Since 2001, collective bargaining has really started to spread
wide, mainly by repeating provisions in the law. China has great experience in
setting up a tripartite consultation mechanism.
1.4.2. Japan’s experiences
Japan’s industrial relations are very stable and has created the “Japan’s
industrial relations model” with 3 basic pillars: lifetime employment, senioritybased pay, and one-enterprise-union system. From 1960 until now, Japan has
had very few labor accidents.
1.4.3. Some Southeast countries’ experience
At present, Philippines industrial relations are very unstable, due to the
script application of the U.S industrial relations. The relations in Malaysia are
quite similar to the UK and have not been successful due to the obstacles from
7


previously formed trade unions; Singapore is a small but developed country with
strict law, so the industrial relations are very stable, with few conflicts and
strikes. In Indonesia, the rioting situation has not although the legal system is
being revised. And since 1946, Thailand has built and revised the Labor Code
numerous times, but trade unions have not been effective.
1.5. Some lessons learned for Vietnam when building industrial relations

First of all, The State should pay attention to support the Trade Union too
thrive to truly represent the collective of workers and for the workers. Secondly,
it is necessary to build a two-party, tripartite mechanism and the parties can
cooperate and support each other to ensure the rights and interests of the parties.
Third, the issue of recruitment, employment and salary payment for employees
should pay attention to the nature of dedication, promoting employees to stick
and work for a long time for enterprises. Finally, do not apply labor relations
mechanically.

Sub-conclusion for chapter 1
The thesis has focused on researching many works of domestic and foreign
scientists on industrial relations with different research contents: concept, nature,
content, influencing factor, etc. of industrial relations. Each researcher stands on
many different angles, in different time periods to explain and give perspective
on industrial relations in industrial relations. Especially in the market economy,
formed industrial relations is an inevitable relationship. The postgraduates have
acquired the previous researchers’ results and found gaps and research
directions in the topic: Industrial relations in Japan-invested automobile
manufacturing enterprises in Vietnam. At the same time, study the relations
experience of some countries with similarities with Vietnam. On the basis of the
research, the author has drawn some lessons for Vietnam when building
industrial relations in enterprises.

8


Chapter 2. THEORETICAL AND PRACTICAL BASIS ON INDUSTRIAL
RELATIONSHIP AT ENTERPRISES

2.1. Concepts related to industrial relations

- Industrial relations: A relationship of rights and obligations of each
party in the labor process formed through negotiation and agreement on the
principles of voluntarily, equality, cooperation and mutual respect.
- Collective industrial relations is a social industrial relationship, formed
between employees (represented by the Trade Union) and employers or
employers’ organizations. The subject of collective industrial relations is
composed of employees and employers.
- Harmonious, stable and progressive industrial relations is an
employment relationship in which there is a harmony of interests, mutual
respect, support and cooperation in performing tasks, and the parties involved in
the labor relations work together. strive for the common good, for economic
development and social stability.
- Collective labor agreement is the result of the negotiation process
between the union and the employer to determine the standards of working
conditions.
- Labor contract: is a major legal form to establish industrial relations
between employees and employers, ensuring the parties have the right to freely
and voluntarily choose jobs as well as the benefits to be enjoyed when
participating in the contract within a certain period of time.
- Strike: is a temporary, voluntary and organized stop of work by the labor
collective in order to meet the requirements in the process of settling labor
disputes.
- Foreign direct investment (FDI) enterprise is an enterprise with foreign
direct investment capital. Including: enterprises with 100% foreign capital; Joint
venture enterprises between foreign countries and domestic partners.
9


- Japan-invested automobile manufacturing enterprise in Vietnam is
an enterprise established by Japanese investors to carry out foreign investment

activities in the field of automobile operation, production and business in
Vietnam.
2.2. Some theoretical models of industrial relations
Theories are developed based on two original schools, the unitary school
and the pluralist school. From these theories, there have been derivative theories
in industrial relations, such as: Dunlop’s system theory, Kochan's strategic
choice theory, Tuner's social partnership theory.
2.3. Industrial relations in enterprises
Within the scope of the research, the thesis only focuses on the individual
industrial relations between the individual employees and the employers, and the
collective industrial relations between the representatives of the collective
employees and the employers (bilateral relations) and at the enterprise level.
2.3.1. Subjects of industrial relations in the enterprise
2.3.1.1. Employees and employees’ representative organizations
a. Employee: An employee is a person aged 15 years or older, has the
ability to work, works under a labor contract, is paid a salary and is subject to
the management and administration of the employer.
b. Employee representative organization is an organization recognized
by law that allows to represent employees within the scope of industrial
relations, has an official structure, operational objectives and is independent
from the employer and the State. In Vietnam, the trade union is the highest
representative of the employees, has a strict organizational structure, clear
objectives and is recognized by law.
2.3.1.2. Employers and organizations represent employers
a. Employer: can be the employer or the employer’s collective, the
organization representing the employer. However, at the enterprise level, the
employer is usually the employer, and the owner or co-owner of the enterprise.
10



b. Employer’s representative organization is an organization elected by
members (employer), empowered or authorized when participating in industrial
relations. In Vietnam, the national organization that gathers and represents the
business community (employer) recognized by law is the Vietnam Chamber of
Commerce and Industry, the Vietnam Union of Cooperatives.
2.3.2. The relationship of the parties when participating in industrial
relations in the enterprise
The relationship between employers and employees in labor relations is a
“reciprocal” relationship and must rely on each other to pursue their own and
common interests. However, in this relationship there are always potential
conflicts arising because core interests are always different.
2.3.3. Contents of industrial relations in the enterprise
Including:

labor

contract;

exercise

the

rights,

obligations,

and

responsibilities of related parties; disputes, settlement of personal disputes
between employees and employers; contents related to the relationship between

representatives of employees and employers.
2.4. Industrial relations model and characteristics of industrial relations in
Vietnam
2.4.1. Model of industrial relations in Vietnam
Currently, the model of industrial relations in our country has a trade union
in an enterprise. The Vietnam Trade Union is the only legal organization of
employees, with the function of protecting the legitimate rights and interests of
employees. In which, Communist Party of Vietnam was established and
operated within the scope of enterprises.
2.4.2. Characteristics of labor relations in Vietnam
Firstly, the factors forming the industrial relations are not synchronous, still
scattered and spontaneous. Second, the labor relations in our country are
established and implemented in the imbalanced state between labor supply and
labor demand. Thirdly, the labor relations are in the process of differentiation
and transformation. Fourth, our country's labor relations bear the common
11


characteristics of economic relations in the socialist-oriented market economy,
with many forms of ownership and many economic sectors. Lastly, the Vietnam
Trade Union is the only representative organization of workers (until now).
2.5. Factors affecting labor relations in foreign-invested automobile
manufacturing enterprises
2.5.1. Factors inside the business
Including: ownership of the means of production of the enterprise, the
production and business strategy of the enterprise, the culture of the enterprise,
the technological level of the enterprise, the awareness of the employees in the
enterprise, etc.
2.5.2. Factors outside the business
Including: political system, development and openness of the economy,

industrial revolution 4.0, etc.
2.6. Operating mechanism of industrial relations
2.6.1. Operating mechanism of industrial relations
The two-way mechanism is a direct and specific way of interaction
between employees and employers. However, there is an impact of the market
economy, especially in the 20th and 21st centuries, the government finds it
necessary to intervene in this relationship, the tripartite relationship appears.
2.6.2. The relationship of the tripartite mechanism in the market economy
The emergence of a new mechanism has created a balance, the relative
cohesion of the rights and responsibilities not only of employers and employees,
but also of the Government in regulating the general relationship.
2.7. Some principles need to be thoroughly implemented in the industrial
relations of the market economy
Including: principles of cooperation in industrial relations, principles of
equality in industrial relations, principles of negotiation in industrial relations,
etc.
2.8. Characteristics of industrial relations in foreign-invested enterprises in
Vietnam
12


Firstly, the interwoven industrial relationship between Vietnamese
employees or foreigners with foreign employers or Vietnamese employees;
Secondly, human resource management model, diversified production and
business management, various sects, characteristics of the country of capital
contribution; Thirdly, cultural differences between foreign employers and
Vietnamese employees; Fourth, activities of trade unions are often influenced by
the views of foreign employers; Fifth, a great conflict of interest, in which the
majority of foreign investors often take the goal of maximizing profits in a short
time; etc.

Sub-conclusion for chapter 2
In the thesis the concepts related to industrial relations, theoretical models
of labor relations in enterprises have been clarified. The PhD student has
focused on researching quite carefully the subjects participating in the industrial
relations in the environment of the market economy. In addition, the model of
industrial relations in Vietnam, characteristics of industrial relations in Vietnam
is continuing to study. In chapter 2, especially in-depth study of factors (internal
and

external)

affecting

labor

relations

in

Japan-invested

automobile

manufacturing enterprises. Industrial relations are increasingly complex as the
labor market develops. In addition, the study of operating mechanisms,
principles of thorough implementation and characteristics of industrial relations
in foreign-invested enterprises in Vietnam is very important, from which to
build and strengthen labor relations, to ensure the legitimate rights and interests
of the parties participating in industrial relations.
Chapter 3. THE REALITY OF INDUSTRIAL RELATIONS

IN JAPAN-INVESTED AUTOMOBILE MANUFACTURING
ENTERPRISES IN VIETNAM

3.1. Overview of socio-economic status and influencing factors
3.1.1. Socio-economic situation
13


Since 2008, Vietnam’s economy has continuously achieved a good growth
rate, the economic structure has shifted positively towards reducing the
proportion of agriculture, forestry and fishery; increase the proportion of
industry, construction and service sectors. In the period 2008-2018, the number
of enterprises and employees had a positive change. The number of enterprises
increased more than 10 times. The workforce accounts for more than 10 million
people. Industry workers accounted for 46.1%; construction industry accounts
for 15%; trade and service sector accounted for 25.9%; transportation industry
accounted for 4.7%, other industries accounted for 8.3%.
3.1.2. Current situation of factors affecting industrial relations in Japaninvested automobile manufacturing enterprises
3.1.2.1. Internal factors of FDI enterprises in Vietnam, including
ownership relationship of the means of production of the enterprises, the
production and business strategy of the enterprises, the enterprise’s management
system, the enterprise’s culture, the technological level of the enterprise, the
awareness level of the employees in enterprises, the attitude of the employees in
the employment relationship.
3.1.2.2. External factors of enterprises, including political system,
integration of the economy, tripartite mechanism, labor market (industry,
region), industrial revolution 4.0.
3.2. Overview of Vietnam’s automobile industry and the role of
foreign-invested automobile manufacturing enterprises
3.2.1. Overview of Vietnam’s automobile industry

Vietnam’s automobile industry developed about 40 years later than other
countries in the region. By the end of 2018: there were 358 automobile-related
manufacturing enterprises nationwide. The automobile industry has contributed
billions of dollars to the state budget every year. In addition, hundreds of
thousands of workers have been employed. Up to now, the domestic automobile
industry is still only at simple processing and assembly steps, setting up a
supplier system, and the domestic supporting industry has not yet developed.
14


3.2.2. Opportunities and challenges for automobile manufacturing enterprises
in Vietnam
3.2.2.1. Opportunities for automobile manufacturing enterprises in Vietnam:
The trend of shifting car production from America, Europe to Asia. Vietnam
will begin to participate more deeply in supply chains in ASEAN and Asia
expected after 2018. This period of popularizing the use of automobile by
consumers in Vietnam could take place after 2020.
3.2.2.2. Challenges: In addition to fierce competition from imported products,
Vietnam will also face competition from the development of latecomer countries
in the region such as: Laos, Cambodia and Myanmar. In addition, the policies
related to the automobile manufacturing industry in our country have not been
stable and lack of synchronization.
3.2.3. The role of automobile manufacturing enterprises with FDI capital in
Vietnam
Period 2012-2018: Automobile manufacturing enterprises with FDI
capital in Vietnam play the role of cooperative efforts with Japan, making a
significant contribution to promoting and implementing the Strategy and
Planning for Industrial Development for Vietnam automobile industry to 2025
with a vision to 2035.
3.2.4. Overview of Japan-invested automobile manufacturing enterprises in

Vietnam
- Number of Japan-invested automobile manufacturing enterprises:
before 2019, Vietnam had about 50 automobile assembly enterprises with a
localization rate of about 10% - 15%. Among them, there are 09 Japanese
automobile brands that are highly appreciated, such as: Honda, Toyota,
Mitsubishi, Mazda, Nissan, Lesus, Subaru, Suzuki, Isuzu. For many years, the
products of these enterprises have stood firm in the Vietnamese market.
- Market share of Japan-invested automobile manufacturers in
Vietnam’s

automobile

market:

According

to

Vietinbank

Securities’
15


assessment in the 11 months of 2018, the HHI index of Vietnam's auto industry
by market share has reached 1,698.57, which is considered to be at a high level.
- Scale of human resources, management, policies for employees at 03
large Japan-invested automobile manufacturing enterprises in Vietnam: A
large number of employees are at Japanese-invested automobile manufacturing
enterprises in Vietnam such as Honda (10,658 employees), Toyota (1,960

employees), Suzuki (324 employees).
Management and policies for employees at 03 large Japan-invested
automobile manufacturing enterprises in Vietnam: Most of these enterprises
have different human resource management systems to ensure policies for
employees.
3.3. Situation of industrial relations in Japan-invested automobile
manufacturing enterprises in Vietnam
3.3.1. Overview of the situation of industrial relations in enterprises in
Vietnam
After 10 years of implementing Directive No. 22-CT/TW dated June 5,
2008, on strengthening leadership, directing the building of a harmonious, stable
and progressive labor relationship in enterprises and related documents, the
labor relations in enterprises have had many positive changes, catching up with
new trends of the times, the number of labor disputes and strikes has decreased
markedly.
3.3.2. Current situation of industrial relations in Japan-invested automobile
manufacturing enterprises in Vietnam
3.3.2.1. Situation overview: Industrial relations at Japan-invested automobile
manufacturers in Vietnam are being maintained and have made good progress,
without any strikes or strikes; harmonious, stable and progressive industrial
relations. Typically, a few Japan-invested automobile manufacturing enterprises
have brands in Vietnam such as: Honda Vietnam, Toyota Vietnam, Suzuki, auto
Mekong, etc. These are resources and conditions for trade unions to successfully
16


implement the set goals, contributing to enhancing the role and position of trade
unions of FDI automobile manufacturing enterprises.
3.3.2.2. Analysis of the current situation of industrial relations in Japan-invested
automobile manufacturing enterprises in Vietnam

a) The current situation of knowledge and awareness in industrial relations
is based on the survey results at 03 enterprises, such as Honda, Toyota, Suzuki
through the following contents: labor contracts; awareness of the role of trade
unions; awareness of fairness in enterprises; attached factors of employees to
enterprises.
b) The status of the role of subjects in industrial relations at enterprises.
c) Current situation of content of industrial relations at enterprises: sharing
information on production and business activities; working conditions of
enterprises; implement the basic contents of the labor relations; accommodation
problems for employees; activities of local trade union; labor disputes and
strikes in enterprises.
Survey results show that each enterprise has different evaluation results, in
general, the industrial relations at Japan-invested automobile manufacturing
enterprises are quite stable, harmonious, progressive, etc.
3.3.3. Overall rating of attitude of subjects in industrial relations
3.3.3.1. Attitude of subjects in industrial relations is evaluated based on the
employee's attitude towards the employer and the employer’s attitude towards
the employee and trade union.
3.3.3.2. Capacity of partners ’industrial relations is evaluated based on the
adaptability of the employees to the labor market and the representative capacity
of the trade unions.
3.4. General assessment of the current situation of industrial relations in
Japan-invested automobile manufacturing enterprises in Vietnam
3.4.1. The positives
By 2019, Japanese investors ranked second among the main investors in
Vietnam with more than 3,899 projects registered for implementation. Industrial
17


relations at these enterprises are quite harmonious, stable and progressive, most

of them sign collective agreements on the basis of current legal regulations. The
local trade unions have performed its representative role well.
3.4.2. Existing problems and causes
3.4.2.1. Existing problems: protecting workers’ jobs is still difficult, trade union
activities are still limited and can only be carried out outside working hours or
on weekends. The majority of trade union officials, especially in the FDI
sectors, are part-time, dependent on the employer, etc.
3.4.2.2. Causes
a) Subjective causes: Not fully aware of the importance of trade union
activities; part-time trade union officials, especially at FDI enterprises that are
under the influence of employers; the bravery in representing and protecting the
legitimate and legitimate rights and interests of employees is still weak; trade
union finance is limited; etc.
b) Objective causes: There exist a number of provisions guiding labor
relations that are not specific. Currently, local trade union officers in enterprises
do not have a complete and strict mechanism to protect trade union officials,
performing their duties to protect the rights and interests of employees, etc.

Sub-conclusion for chapter 3
In Chapter 3, the PhD student conducted an overview of the socioeconomic situation and factors affecting the industrial relations in Japaninvested automobile manufacturing enterprises. Assess opportunities and
challenges of automobile manufacturers in Vietnam. The role of these
enterprises in adapting or responding to the impact of factors. From there, there
are general assessments of the labor force participating in the automobile
manufacturing industry. The PhD student has made an assessment of the current
situation of these enterprises (positive side, existence and causes). In short, the
industrial relations at Japan-invested automobile manufacturing enterprises in
Vietnam are quite stable, harmonious and progressive.
18



Chapter 4. ORIENTATIONS AND SOLUTIONS TO BUILD
HARMONIOUS AND STABLE INDUSTRIAL RELATIONS IN JAPANINVESTED MANUFACTURING ENTERPRISES IN VIETNAM

4.1. Domestic and international context and development trends of
industrial relations in Vietnam
4.1.1. Domestic context
After 35 years of reforming the country, the macro-economy is stable, the
quality of economic growth is gradually improving. In addition, the economic
development under the Industrial Revolution 4.0 has been deployed. The
Government has approved the strategy to develop the automobile industry to
2025, with a vision to 2035, with the goal of: building Vietnam’s automobile
industry into an important industry, etc.
4.1.2. International context
In the context of many changes in the world, the process of
internationalization of production, application of science and technology and
division of labor takes place widely in the direction of internationalization of
human resources. Opening up the possibility of labor mobility between countries
requires workers to have high vocational skills and the ability to work in an
international environment with standards and criteria determined by the labor
market.
4.1.3. Perspectives and policies of the Communist Party and State of Vietnam
on building industrial relations
- The legal and economic environment must be improved. Especially,
Resolution No. 20/NQ-TW dated January 28, 2008, of the Central Committee of
the Party (term X) continues to build the Vietnamese working class in the period
of accelerating industrialization and modernization.
- Strengthening leadership and directing the building of harmonious, stable and
progressive industrial relations in enterprises (Directive No. 22-CT/TW);
continue to promote and strengthen leadership, directing the building of
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harmonious, stable and progressive labor relations in enterprises (Conclusion
No. 96-KL/TW).
4.1.4. The development trend of industrial relations in enterprises under the
influence of the 4.0 industrial revolution
Vietnam’s international economic integration in the development period
of the Fourth Industrial Revolution forces us to renew our human resource
development strategy, especially for workers in FDI enterprises. Therefore, it is
very necessary to improve the construction of industrial relations at FDI
enterprises to ensure the legitimate rights and interests of employees.
4.2. Orientation for the development of industrial relations in Japaninvested automobile manufacturing enterprises in Vietnam
4.2.1. General orientation
Building a harmonious, stable and progressive labor relationship in enterprises,
contributing to ensuring sustainable economic growth, stabilizing the investment
environment and moving towards social justice, etc.
4.2.2. For Japan-invested automobile manufacturing enterprises in Vietnam
Building labor relations in Japan-invested automobile manufacturing
enterprises in Vietnam; Strengthen and improve the quality of collective
agreements; etc. This is the basis and foundation for industrial relations to
develop in a positive direction, ensuring the legitimate interests of employers
and employees in enterprises.
4.3. Solutions for building industrial relations
4.3.1. Improve mechanisms and policies related to industrial relations at FDI
enterprises
Completing the tripartite mechanism in the labor relations; Continuing to
supplement, amend and finalize documents guiding the implementation of the
law on industrial relations; Further strengthening the independence of the local
trade unions; Improving state management capacity on industrial relations;
Creating and promoting the operation of the system of institutions to support

industrial relations.
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4.3.2. Group of solutions for trade union system
Firstly, trade unions play a more active role in industrial relations and
represent workers; Secondly, effectively implement dialogue and collective
bargaining in trade unions of Japan-invested automobile manufacturing and
trading enterprises; Third, strengthen social dialogue and promote negotiation;
Fourth, participating in building a healthy and progressive corporate culture;
Fifth, building a team of employees at Japan-invested automobile manufacturing
enterprises in Vietnam to represent and protect the interests of employees; etc.
4.3.3. Group of solutions for employers’ representative organizations
Continuously strengthen the role in the tripartite mechanism. At the same
time, strengthening the representativeness of employers at the national level. In
this work, VCCI pays special attention to the establishment of provincial and
sectoral employers’ representative organizations. In addition, continuing actively
in propagating and mobilizing employers and businesses to comply with the law,
improving the living standards for employees.
4.3.4. Group of solutions for employers:
Fully implement the rights and obligations of the employer. Raise
awareness and awareness of employers about industrial relations. Strengthen
cooperation and exchange of information about the situation of the unit.
Continuing to build corporate culture. Enterprises coordinate with the FDI local
trade union organizations to organize information exchanges related to Industry
4.0.
4.3.5. Group of solutions for employees:
Implement the rights and obligations of employees in industrial relations.
Employees need to improve their disciplines and industrial behaviors in
enterprises.


4.3.6. Recommends
- For the Communist Party and State: to issue clearer orientations and
directions in promoting labor relations at FDI enterprises; increase investment in
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facilities and funds, and improve the capacity and qualifications of propaganda
personnel, develop a variety of forms and improve the quality of legal advice for
employees.
- For functional agencies: Promulgating a system of legal documents
detailing the implementation of labor relations in FDI enterprises in Vietnam.
Creating favorable conditions for foreign employers to access the Vietnamese
legal system in an international language, raising awareness and awareness of
employees and employers. Promulgating a mechanism to protect public
employees of FDI enterprises; etc.

Sub-conclusion for chapter 4
It is very important to actively study the international and domestic context
as well as the development trend of industrial relations in Vietnam in the
innovation period. From there, quickly give strategic orientations and develop
industrial relations in Japan-invested automobile manufacturing enterprises in
Vietnam.
On the basis of the research, the PhD student proposes a number of
solutions to improve industrial relations such as: perfecting mechanisms and
policies related to industrial relations, offering groups of solutions towards the
system of trade unions and representative organizations of employers, labor
resources usage, group of solutions with employees. The above groups of
solutions are not separate but have a consensus with each other. At the same
time, PhD student also made a number of recommendations to the Communist

Party, State and functional agencies to promote industrial relations at foreigninvested automobile manufacturing enterprises in general and of Japan-invested
enterprises in particular.
CONCLUSION

In recent years, industrial relations in Vietnam have become a matter of
great importance to the Communist Party, State, domestic and foreign
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organizations and enterprises. In particular, industrial relations in foreigninvested enterprises in general and Japan-invested automobile manufacturing
enterprises in particular are attracting the attention of the whole society.
From there, there is a way to view and properly evaluate the industrial
relations at home and abroad; Building and strengthening the system of
industrial relations through mechanisms, policies, agreements, and social
dialogue is essential to ensure the legitimate rights and interests of employees.
Actively participate in building and improving the harmonious, stable and
progressive industrial relations; more deeply aware of the importance of
enhancing quality in negotiations through agreements at FDI enterprises in order
to develop production and business, improve labor productivity, bring benefits
to the parties to the labor relations; as well as creating general stability for the
whole society./

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