Vietnam Tightens Penalties for Employers Failing to Provide Regular Health Check-ups

Vietnam is strengthening penalties for employers failing to adhere to regulations safeguarding worker health and safety, with new provisions set to take effect from September 10. Under Decree 283/2026, employers who do not organize annual health check-ups for their employees will face fines ranging from VND 1 million to VND 3 million per worker, with a maximum penalty of VND 75 million (approximately $3,000 USD). The decree outlines specific fines for various violations related to the prevention of occupational accidents and diseases. Beyond the failure to conduct regular health examinations, employers will also be fined VND 5 million to VND 10 million per worker if employees are not examined before being transferred to heavier, more hazardous, or dangerous jobs. This penalty also applies when workers, having recovered from occupational diseases or accidents, return to work without a subsequent health assessment, unless their degree of work capacity reduction has been determined by a medical council. Employers will incur fines of VND 10 million to VND 15 million for each case where they fail to organize treatment, rehabilitation, or functional recovery for individuals suffering from occupational diseases or work-related accidents. The same penalty applies if suitable job placements are not made according to the conclusions of a medical assessment council. Additional violations carrying fines of VND 10 million to VND 15 million include failing to inform workers about the status of occupational accidents and diseases, hazardous factors, and safety measures at the workplace, as well as not placing warning signs or instructions in easily visible locations. Manufacturing and business establishments with high risks that fail to develop safety and health plans and conduct risk assessments will be fined VND 15 million to VND 20 million. Fines increase to VND 20 million to VND 25 million for failing to decontaminate or disinfect areas with infectious elements, or for not handling incidents and emergency responses when risks are detected or when work accidents or technical incidents exceed control capabilities. The decree also stipulates fines for workers, ranging from VND 500,000 to VND 1 million, if they fail to use provided personal protective equipment or do not participate in emergency response and accident mitigation efforts when instructed by their employer or competent authorities. Under the current Law on Occupational Safety and Health, employers are required to organize health check-ups for workers at least once a year. Those engaged in heavy, hazardous, or particularly heavy and hazardous occupations must undergo examinations at least every six months. This six-month period also applies to workers with disabilities, minors, and the elderly. Female workers are entitled to specialized gynecological examinations, and individuals working in environments with occupational disease risks must undergo examinations to detect such illnesses. The costs associated with health check-ups, as well as the detection and treatment of occupational diseases, are borne by the employer. These expenses can be accounted for as deductible costs when determining taxable income for businesses and as regular operating expenses for administrative agencies and non-profit service units. Furthermore, employers who evade social security contributions by registering lower wages than legally stipulated will face penalties. In addition to a fine equivalent to 18-20% of the total evaded mandatory social security contributions, violators must pay the principal amount plus daily interest of 0.03%. The maximum penalty for individuals is VND 75 million, and for organizations, it is VND 150 million. Information Source: VnExpress