The enforcement of labour laws in Vietnam topped the agenda of a dialogue between Ho Chi Minh City authorities and Malaysian businesses operating in the city.

The dialogue, held with collaboration of the Vietnam-Malaysia Friendship Association, forms part of HCM City ’s efforts to answer queries raised by foreign enterprises regarding Vietnam ’s current employment regulations as well as gather their proposals to stabilise production and exports.

HCM City is now home to 140 Malaysian companies, making up around 3.2 percent of the number of foreign-invested enterprises in the municipality.

Preliminary statistics released by the city’s Department of Labour, War Invalids and Social Affairs show that these Malaysian firms are employing more than 2,000 Vietnamese workers, of whom 90 percent have signed labour contracts.

The department’s director Le Thanh Tam said most of the companies from Malaysia have abided by Vietnam ’s labour laws.

However, Tam said, some of these companies have yet to fully implement labour regulations, adding that strikes occurred in at least three businesses in 2008 and this year, one business was abandoned by its owner, leaving 44 workers out of job and unpaid.

Vice Chairman of the Malaysian Businesses Association Calvin H Yau said most Malaysian companies have found it hard to deal with disputes with workers because they don’t clearly understand Vietnam ’s regulations in the area.

At the dialogue, many businesses raised questions related to recruitment procedures, the employment of experts, and income taxes—a reflection of the fact that they are in need of better information about Vietnam’s labour laws./.