The annual overtime work limit of 200 hours, and in special cases, 300 hours, is not enough for foreign direct investment (FDI) companies to fulfill their orders, FDI enterprises said at a meeting with the provincial government in Binh Duong Province on July 30.

A representative of an FDI enterprise speaks at the meeting 

Most of the FDI firms present at the meeting proposed increasing the overtime hours cap as the current regulation has placed pressure on them, while their workers also want the extra working time so they can increase their income.

A representative of a paint producer in the province noted that even though its workers had worked overtime, it had failed to adequately fill all its orders.

Meanwhile, some workers have asked to work for more than the regulated overtime hours, stating they would take responsibility for their own health.

Similarly, a wood processing company in Song Than 2 Industrial Park in Binh Duong Province had to recruit new employees due to the limited overtime hours. However, it has faced difficulties with recruitment due to the lack of qualified candidates.

In previous years, unskilled workers in the province were abundant owing to the large influx of workers from the north. However, many industrial parks have been developed in the northern provinces in recent years, so laborers have returned to their hometowns to work, and now, enterprises in Binh Duong cannot find as many workers as needed.

A representative of the Binh Duong Department of Labor, Invalids and Social Affairs remarked that despite the difficulties faced by enterprises, the regulation is stipulated in the Labor Law, so the provincial authorities are not at liberty to address the problem. Only the National Assembly has the right to amend the regulation.

At the meeting, FDI enterprises also voiced concern over the application of a regulation in the Law on Social Insurance, which requires foreigners working in Vietnam to make compulsory social insurance contributions from early this year. However, a Government decree guiding the application of the regulation has yet to be issued.

The problem remains a hot button topic for debate. Some FDI enterprises suggested amending the regulation so that foreign workers can voluntarily pay the insurance.

In related news, Binh Duong has attracted nearly 3,400 FDI projects with total registered capital of US$30.95 billion, after HCMC and Hanoi, said Nguyen Thanh Truc, director of the provincial Department of Planning and Investment.

Notably, FDI firms registered to inject more than US$2.8 billion in the province last year, surging 133% over 2016 and doubling the estimate of US$1.4 billion. In the first half of the year, the amount was US$853.5 million, reaching 61% of the annual target.

Truc said the province’s investment environment has been improved to aid sustainable development. Investors continue to express keen interest in sectors that are advantageous in the province, such as electricity, electronics, pharmaceutical products, chemicals and trade.

Secretary of the provincial Party Committee Tran Van Nam told the meeting that the Binh Duong government annually holds the meeting with FDI firms to help remove obstacles and create favorable conditions for them to do business in the province.

SGT