Assessment of legal regulations on labor market in the context of

industrial Revolution 4.0

DAO MONG DIEP

University of Law, Hue University, Hue City, VIETNAM

Abstract: The industrial revolution 4.0 is considered an important transformation period that has a profound

impact on the labor market. Under the impact of the industrial revolution 4.0, the labor market has many

opportunities and faces many barriers and challenges. The labor market is the place where the buying and

selling of labor power by employers and employees takes place, therefore, in addition to being affected by the

superstructure, the labor market is also affected by the impact of the superstructure. of the legal system and

related policies. The labor market is ensured through the creation of the environment and institutions by the

state to regulate arising relationships. In addition, the state also prescribes policies related to the labor market

and those that deal with its deficiencies. At the same time, the labor market adjustment mechanism is also

specifically recorded to ensure the efficient process of buying and selling labor between employers and

employees. Under the impact of the industrial revolution 4.0, the labor market also has certain changes. Labor

supply and demand fluctuations. The emergence of a number of new jobs to meet the requirements set forth in

the context of the 4.0 revolution as well as the replacement of some job positions. This has a great impact on

the legal corridor on the labor market. The article aims to analyze the legal situation and solutions to improve

the legal corridor on the labor market under the impact of the industrial revolution 4.0.

Keywords: Labor Market, Legal Framework, Industrial Revolution 4.0.

Received: March 26, 2022. Revised: March 17, 2023. Accepted: April 23, 2023. Published: May 31, 2023.

1. Introduction

The Fourth Industrial Revolution

has opened up many opportunities and posed many

challenges for every country, organization and

individual; it has had an increasingly strong impact

on all areas of the country's economic and social

life [29] especially the labor market, the most

important of all markets. The law has created a

legal framework to stabilize and develop the

market [25].

In the context of the current

digital era, there are major changes in labor

supply and demand. International economists

and scientists warn that in this revolution, the

labor market will be seriously affected by labor

supply and demand as well as labor structure. In

some fields, with the appearance of Robots, the

number of employees needed will be only 1/10

of what it is today. Thus, the remaining 9/10

human resources will have to change jobs or

become unemployed. The development of this

revolution is urgently demanding new human

resources, at the national macro level as well as

in each organization and enterprise. The change

in human resources will take place

comprehensively in society, on the macro-

economy as well as where each social

organization, each enterprise operates,

especially in areas related to information

technology or technology. heavily influenced by

this new technology platform [14]. That requires

changes in the system of policies and laws

governing the labor market. The study raises

questions about how the labor market is adjusted

in terms of issues related to the environment,

institutions, policies, issues related to the subject

of the labor market and the labor market

mechanism. labor market adjustment. In

addition, the legal corridor regulating the labor

market has limitations, obstacles and

inadequacies that need to be studied. With that

in mind, in this study, we analyze and evaluate

the legal status of the labor market in the context

of the industrial revolution 4.0, and propose

solutions to improve the legal corridor on the

market. workers meet the requirements set out

in the current period.

2. Research Methods

This study is deployed based

on the analytical - descriptive method to clarify

the impact of the context of the industrial

revolution 4.0 on the labor market law. In

addition, the article uses a system of general

research methods of the social sciences,

including system, structure - function, history,

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logic to evaluate research on the industrial

revolution 4.0 and the impact of the industrial

revolution 4.0 on labor market legislation are

published in specialized scientific journals to

clarify limitations and inadequacies of labor

market legislation in the context of the

revolution industry 4.0. The methods are used

synthetically on the basis of research and

analysis of secondary documents from such

sources as: books, dissertations, yearbooks,

reports, articles published in research journals.

Scientific research, Workshop to clarify issues

raised about the labor market under the impact

of the industrial revolution 4.0 and requirements

and solutions to improve the efficiency of law

enforcement on the labor market in the first

period. current paragraph.

3. Discussion

Adjusting the Labor Market in the Current

Legal Framework

The term ‘labor market’ is

viewed from different perspectives. The

International Labor Organization (ILO) defines

it as: “ a market in which labor services are

bought and sold through a process that

determines the level of employment of workers,

as well as the level of wages paid to them” [4].

From another point of view,

the Russian researcher Kostin Leonit

Alecxeevich considered that "The labor market -

it is a mechanism of mutual performance

between employers and employees in a

identified economic space, showing the

economic and legal relations between them. The

labor market is a set of economic and legal

relations that exist between the owners of labor

force (employees) and its user (employers) in

certain workplaces where goods and services are

made” [4].

According to David Begg

(Professor of Economics at the University of

London): “A market is a set of agreements in

which labor buyers and sellers exchange certain

goods and services” [26]

From a legal perspective,

labor market is defined as the social relations

arising in the hiring and use of labor, ensuring

job security, salary payment, unemployment

settlement, adjustment of employees, employers,

representative organizations of the parties,

employment service organizations, competent

state agencies and state management of the labor

market.

In the market economy

transformation, the labor market has been

adjusted by the laws of value, competition and

supply and demand. The system of legal

documents regulating the labor market has

initially created a legal basis for the process of

labor buying and selling in the market,

protecting the legitimate rights and interests of

the entities in the labor market. Especially with

the Labor Code, Employment Law, Law on

Social Insurance, Law on Occupational

Training, Law on Vietnamese Laborers

Working Overseas under Contracts, Law on

Health insurance and other legal documents, it

can be said that the guidelines and policies of

our Party and State have recognized and created

the basis for the development of the labor

market to adjust and change, creating an open

environment for entities to exercise their rights

and obligations in the labor market.

For that purpose, the law has

stipulated the following issues for the labor

market: First, creating an environment

for the labor market to establish and develop

Law is a legal tool to form and

develop the labor market. Through the legal

documents of the State, groups of relations are

formed including: 1) Regulations on the entities

of the labor market such as employees,

employers, representative organizations of

employees, representative organizations of

employers, employment service centers,

competent state agencies...; 2) Regulations on

labor relations and mechanisms to regulate labor

relations; 3) Regulations on job creation and job

security for employees; 4) Regulations on salary

and social insurance regimes, occupational

safety and health, health insurance and

employee social security regimes when

employees sell their labor to the market; 5)

Regulations on the representation of employees

and employers in the labor market; 6)

Regulations on labor dispute settlement; 7)

Regulations on state management of the labor

market… Second, recognizing labor

market development policies

In addition to the contents that

establish the basis for the existing labor market,

the State has also promulgated legal documents

on labor market development policies focusing

on the following contents:1) Creating favorable

conditions for the development of job creation,

self-employment, occupational training;

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production and business activities that attract

many workers; 2) Focusing on development and

policies to allocate human resources; prioritizing

training, developing and improving occupational

qualifications and skills to meet the requirement

of the labor market; supporting to maintain and

change jobs for employees in accordance with

each period of socio-economic development; 3)

Encouraging the development of the labor

market, ensuring the balance between labor

supply and demand and the labor market's

constituent elements; 4) Developing information

channels about the labor market; 5) Paying

attention to expanding the labor market for

specific types of employee such as female;

minors, the elderly, and employees with high

professional and technical qualifications;

Vietnamese laborers to work oversea; foreigners

working in Vietnam…; 6) Concentrating on

policies on human resource development,

occupational training and skill improvement for

employees; developing high-quality human

resources to meet the requirements of the labor

market; Third, regulating issues to

settle the defects of the labor market

The factors of labor supply,

demand and labor prices are considered as

important factors affecting the operation of the

labor market [5]. Therefore, the labor supply-

demand relationship is always a key factor

determining the stability of the market. This

affects the system of policies and laws to ensure

the balanced relationship between supply -

demand and labor prices [11], an imbalance of

the labor supply-demand relationship may result

in either job redundancy or unemployment.

Therefore, the law has

regulated the issues to deal with the defects of

the labor market. These are: 1) Regulations on

cases that employees lose their jobs and regimes

for those; 2) Regulations on issues related to

unemployment insurance for employees such as:

Subjects; Conditions; Regimes; Procedures for

getting unemployment benefits of employees

and responsibilities of state management

agencies on unemployment insurance.

Fourth, recognizing the

operation mechanism of the labor market

To regulate and operate the

labor market, the law has recognized two-party

mechanism and tripartite mechanism. According

to the ILO, a two-way mechanism is any process

by which direct cooperative arrangements

between employers and employees are

established, encouraged and endorsed [13]. The

law has regulated the labor market through

recognizing the two-way mechanism from the

following perspectives: i) Rights and obligations

of the employees; Rights and obligations of the

employers; The coordination and interaction

between the employees and employers; Binding

responsibilities between employees and

employers in the implementation of

commitments related to labor contracts,

collective labor agreements, labor rules, labor

regulations and other internal documents of the

enterprises; Issues of job creation and job

security for employees of the employers; Issues

of the regime and policy resolutions for

employees who lose their jobs.

For the tripartite mechanism,

this is an active interaction among the

Government, employers and employees as equal

and independent parties in an effort to find

solutions to issues of mutual interests. A

tripartite process may include consultation,

negotiation and/or joint decision-making,

depending on the manner agreed upon by the

related parties [13]. In some fields, the law has

recognized the interaction between three parties

in the labor market such as: i) Regulation of the

National Wage Council; ii) Regulations on the

Collective Bargaining Council; iii) Regulations

on interaction issues between the State,

employers and employees in fields related to the

labor market, including: collective labor

agreements; labor regulations; enterprise salary

scale; procedures for employees who lose their

jobs; Labor dispute resolution...

Current Legal Status on the Labor Market in

the Context of the 4.0 Revolution

The development of the

Fourth Industrial Revolution based on the highly

integrated foundation of the digital - physical -

biological connection system with the

breakthrough of the Internet and Artificial

Intelligence (AI) has been fundamentally

changing the world's production. It is

characterized by making full use of the

pervasive power of digitization and information

technology. Although this new wave of

technology is developing at different speeds in

countries around the world, it is creating

increasingly significant impacts on all aspects of

socio-economic life, leading to changes in

production methods and labor forces of the

society [22].

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Under the impacts of the

Revolution, the law on the labor market has

inherited the suitable contents in the previous

legal document system, and these documents

have new and revised regulations,

supplementing legal regulations governing

issues of labor supply, labor demand; the

relationship between labor supply and demand;

labor prices; The issue of job security and job

creation for employees... Compared to the

previous regulations, the currents ones,

especially the Labor Code 2019, the Law on

Occupation Training, are progressive with many

advantages. Firstly, the current law

inherits the previous regulations and establishes

a legal framework to create the basis for the

formation and development of the labor market,

reflecting the correct line of the Party and State

in recognizing the constitutive elements of the

labor market in the law and the labor market

development policies.

Secondly, the system of legal

documents on the labor market has been

basically formed, creating a legal framework for

social relations in terms of employment, salaries

and unemployment to develop according to the

principles of the socialist-oriented market

economy, supporting and protecting the

employees, ensuring the balance between labor

supply and demand, and ensuring a reasonable

relationship between salaries and labor supply

and demand, promoting job security for

employees [3]. Third, the construction and

completion of the legal framework on the labor

market comes from the reality of social relations

in terms of employment, salaries,

unemployment, labor supply and demand for

labor based on the summary and assessment of

the legal documents on the field.

Fourth, the current law

encourages the development of employment

services, expanding information channels on the

labor market, expanding methods of creating

jobs for employees, mobilizing other channels

for employment, creating jobs through labor

export, recognizing and diversifying existing

labor relations in the market economy,

regulating job transformation in the context of

the Industrial Revolution 4.0, regulating

occupational training to meet the requirements

of the Revolution, creating a flexible open

mechanism for participants in the labor market.

Fifth, the law creates a legal

framework for labor market subjects to flexibly

negotiate labor relations individually without

extensive intervention from the State to this

relationship. In which, the State recognizes the

right to freely negotiate in labor relations of the

entities, many forms of labor contracts, in which

the form of electronic labor contracts is

recognized in addition to written and oral labor

contracts. This shows that the Revolution 4.0

has definitely affected the labor market.

With the above provisions, the

law has contributed to establishing a legal

framework for employees and employers to

implement labor market regulations, improving

the efficiency of state management of the labor

market.

In addition to the

achievements in the development of legislation

on the labor market, the legal framework on the

labor market also reveals some limitations and

inadequacies. Firstly, the system of legal

documents on the labor market is a collection of

groups of issues that are regulated in many

different legal documents such as: Labor Code,

Employment Law, and Social Insurance Law,

Law on Vocational Education, Law on

Vietnamese Laborers Working Abroad under

Contract...and many related sub-law documents

create overlaps with many layers, causing

difficulties for subjects to implement in the

labor market. Secondly, the regulations of

factors creating the basis for the operation of the

labor market still has many limitations,

obstacles and inadequacies.

First, the group of regulations

on the subjects of the labor market, in spite of

being regulated, these still have limitations and

inadequacies in the Industrial Revolution 4.0.

Entities who have the right to establish and join

labor representative organizations under the

current law are narrowed compared to those

according to the CPTPP Agreement. There have

not yet diversified forms of employee and

employer representatives.

Second, regulations on

employment and job security for employees has

been left open and have not been adjusted. The

framework for these have not yet been detailed

and defined employment by industry and

economic region. Therefore, the labor

restructuring is still slow, laborers mainly work

in the agricultural field or the informal sector

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with low labor productivity and low economic

efficiency. Issues related to policies on tax

exemption and reduction, tax incentives for

businesses, organizations, units and individuals

that create jobs for many employees, for the

ones that employ females or disabilities still

have problems and inadequacies. There also

have not had separate adjustment policies for

many groups such as ethnic minorities, youth,

people after drug rehabilitation, imprisonment

or informal workers..... Especially, issues related

to employment equality for employees and

specific types of employees have not been

specifically legislated [8].

Third, regulations on

unemployment insurance still remain limitations

affecting the labor market. This is considered a

defect of the labor market to be thoroughly

addressed. The limitations of legal framework

on this issue include: The law has not promoted

and properly performed the function of ensuring

comprehensive employment for workers; there

have been no policies or specific regulations to

prevent and limit unemployment, no legal

regulations on permanent employment for

employees. In addition, there are limitations on

foreign workers, domestic workers, seeking job

people, students, part-time workers, and flexible

hourly workers, self-employed workers…

participating in unemployment insurance.

Fourth, regulations on

occupational training has not met the

requirements of the current time, especially in

the context of the Industrial Revolution 4.0.

There have not been provisions on mechanisms

and policies to encourage enterprises to develop

occupational training activities. The law has not

specified the main responsibilities of enterprises

in determining the list of training occupations,

developing occupational skill standards and

occupational training programs according to the

needs of the labor market.

The current law has not

stipulated the participation of enterprises in

occupational training activities as a compulsory

obligation and there has not been a mechanism

to ensure the effective operation of enterprises

in the field of occupational training, retraining

to improve the skills of employees. The law has

not specified the types and levels of

participation of enterprises in occupational

training activities, not specified the ones with

occupational training institutions, the ones that

conduct both business and occupational training,

or the ones only engaged in business activities

and have a need for high-quality human

resources, meeting the requirements of the

current globalization process.

In addition, obstacles related

to the provisions on compensation for training

costs in the training contracts, limitations on

termination of the occupational training

contracts, the measures to ensure the

implementation of the training agreement, of

labor contracts after the completion of the

training course of employees who are directly

trained by enterprises or sent for training

abroad... are barriers to the development of the

labor market. Fifth, regarding to regulations

on salaries, the State has issued legal documents

to adjust the regional minimum wages; the

enterprise's salary scale system; rights and

obligations of employees and employers in

salaries; National Salary Council… These are

the basis for paying salaries to employees,

ensuring the stability of the labor market.

However, up to now, many regulations on

salaries have been left open, especially on new

jobs arising in the context of the Revolution 4.0.

The law on minimum wages has not yet been

promulgated, creating a solid legal framework

for the development of the labor market.

Third, the regulations on

sanctions to ensure the operation and

development of the labor market have been

limited and inadequate.

The law has provided for

sanctions to create a legal framework to ensure

the operation of the labor market, however, the

violations of these regulations have not been

fully codified and regulated. The administrative

sanctions for employers and employees who

violate regulations on the labor market have not

been strict enough to deter the violations. They

have not been commensurate with the

consequences of the violations of the law. This

hinders the operation of the labor market,

affecting factors such as: labor prices, labor

supply, labor demand…

The Industrial Revolution 4.0

has had a great influence on social relations in

general and the labor market in particular [17].

For employers, the Revolution brings a new

wind in technology transfer, using internet and

other technologies to improve their work

procedure, increase labor productivity and

promote the development and competitiveness

of enterprises in regional and international

markets. It is the combination of technologies,

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blurring the lines between physical, digital and

biological, giving businesses certain advantages.

The era of the digital economy opens up many

opportunities for businesses in the process of

production, business, technology transfer,

sharing and cooperation among businesses. This

enables them to affirm their status and brand

name in the market, increase their

competitiveness and develop the stable and

sustainable economy. The digital economy also

creates an electronic data warehouse for

businesses to use in regulating labor relations

between employers and employees; maintaining

stable employment for employees; operating

production and business activities; establishing

business order and stabilizing the labor market

through the digitalization system. In using

technology, businesses gain the following

benefits:

i) Increasing competitiveness

in business;

ii) Increase productivity and

revenue;

iii) Optimization of the

production process;

iv) Accelerated technology

development;

v) Better customer service;

However, digital technology

also poses many challenges for businesses: i)

Cybersecurity and privacy; ii) skills and

occupational training of workers; iii) machines

themselves have limitations [24].

In addition, the Revolution

brings employees certain positive effects. Under

the impact of digital technology, they get higher

income than in the traditional labor market [1];

employees will be equipped with technological

knowledge, their skills will be increased to

adapt to the changes of the economy. They have

to improve their working style, be active in

flexible working hours, find a variety of jobs

that adapt to the diverse changes of the labor

market. However, employers and employees

have encountered certain challenges in the

Revolution 4.0 [12]. One of that is the inequality

that may disrupt the labor market. When

automation replaces manual labor, when robots

replace humans in many fields, millions of

workers around the world may fall into

unemployment [11], especially those working in

the insurance sector, real estate brokerage,

financial consulting, transportation. The report

of the World Economic Forum has divided this

in different stages. The first phase will be

challenging for office workers, intellectuals, and

technical workers. The next stage, probably be

slower, will be for cheap labor. The world will

have a new look with the movement of this

revolution in the next 15 years, requiring

businesses to change [21].

The disruption of the labor

market stability leads to the fluctuations in

employment and unemployment; the changes in

the number of workers when machines

gradually replace humans; and certain problems

in arranging the labor force among regions. It is

hard to control national, regional and

international labor movement. The digital

economy and the impact of technology leads to

changes in the labor market [2]. It will gradually

form a variety of new labor relations. Some jobs

may be lost, but many new job groups may

appear. Individual labor relation exist in parallel

with collective one. Collective labor relation

expansion, negotiations and social dialogues

will gain more attention [16].

Under the impact of the

Industrial Revolution 4.0, the State has issued

many policies and laws to establish a legal

framework for the development of the labor

market. The State has promulgated many

regulatory adjusting documents on proactively

approaching and adapting to the Revolution

such as Resolution 52 dated September 27, 2019

on a number of key guidelines and policies to

active participate in the Fourth Industrial

Revolution; Directive 16/CT-TTg of the Prime

Minister dated May 4, 2017 on strengthening

the capacity to access the Fourth Industrial

Revolution; Resolution 78 on the Government

of the Socialist Republic of Vietnam signing a

Memorandum of Understanding with the World

Economic Forum on Vietnam's Fourth Industrial

Revolution Association; Decision 1532 of the

Prime Minister approving the task of

formulating the ICT infrastructure planning for

the period of 2021 - 2030, with a vision to

2050...

In which, the State performs

implementation tasks such as: 1) Perfecting

institutions to facilitate active participation in

the industrial revolution 4.0; 2) Developing

human resources to adapt to the requirements of

the industrial revolution 4.0; The Ministry of

Labor, War Invalids and Social Affairs has the

following tasks: 1) Innovate training and

occupational training in the system of vocational

training schools towards developing human

resources, changing occupations with suitable

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skills, abllitiy to acquire, master and exploit

effectively the technological advances of the 4th

Industrial Revolution; 2) Research and propose

policies and solutions to overcome and

minimize the impact of the 4th Industrial

Revolution on the labor market structure and

social security [22]. In which, the State's goals

to be proactive with the Industrial Revolution

4.0 include: 1) Maintaining the ranking of top

three leading ASEAN countries on the Global

Innovation Index (GII); Building digital

infrastructure to reach the advanced level of

ASEAN region [18]. Building at least three

smart cities in the three key economic regions of

the North, the South and the Central; 2)

Maintaining the ranking on the Global

Innovation Index (GII) among the top 40

countries in the world. Completing the

construction of the Digital Government.

Forming a number of smart urban chains in the

key economic regions of the North, the South

and the Central; step by step connecting to the

smart city network in the region and the world

[23]. These create opportunities for the labor

market operation, but pose certain challenges

and barriers for the legal framework on the labor

market as well [16], [19].

i) Adjusting the labor market

to adapt the changes and disruption of the

traditional labor market;

ii) Adjust the labor market

with many new job models appearing;

iii) Adjusting the labor market

in combination with the balance of labor supply

and demand for labor, creating jobs and solving

the consequences of the unemployment;

iv) Adjustment to the labor

market focusing on the labor prices, meeting the

flexibility of the labor market and supporting the

efficient operation of the labor market;

v) Adjust labor relations

focusing on occupational training for

employees, training high-quality human

resources to meet the requirement of advanced

technology and the context of the Industrial

Revolution 4.0;

vi) Adjusting the labor

market, focusing on the stability of the bilateral

mechanism and promoting the development of

the tripartite mechanism, especially the role of

the State in promulgating a transparent legal

system to establish a legal framework to protect

the rights and interests of the parties when

participating in the labor market;

vii) Adjusting labor relations

focusing on information, labor market control

and digital technology use in labor market

regulation.

4. Results and Recommendations

With the challenges posed in

the Industrial Revolution 4.0, the labor market

legislation needs to be completed as follows:

Firstly, the State should

promulgate the Law on Labor Relations to

regulate the entities of the labor market, the

relationship between employees, the labor

collective and the employers, the basic factors

affecting the labor market operation

The Law on Labor Relations

is a single document that specifically regulates

the labor market between entities involved in the

process of buying and selling labor. This legal

document will create a legal framework to

uniformly regulate issues of: i) Labor market

participants; ii) The State's policy on the

relationship between labor supply and demand;

iii) Operational content of the labor market; iv)

Operational mechanism of the labor market; v)

Labor market regulations and principles…

Currently in the world, many

countries have promulgated the Law on Labor

Relations to regulate the relationship between

the parties, the agreements, the employee and

employer representatives, the labor disputes...

(Law on Labor Relations 1975 of Thailand; Law

on Industrial Relations 1967 of Malaysia; Law

on National Labor Relations 1935, amended in

1947 of the US; Law on Labor Relations 2007

of Macedonia; Law on Labor Relations 1995,

amended in 2002 of South Africa; Law on

Labor Relations and Disputes1975 of Jamaica;

Law on Labor Relations of Indonesia; Law

Labor Relations1973 of Newzeland).... In

which, there are countries that have developed

the Labor Code but still develop a Single Act to

further regulate the issue, such as Malaysia

(Union Law, Labor Code); Indonesia (Human

Resources Law); Singapore (Union Law). The

promulgation of the Labor Relations Law will

meet the conformity with the legal framework of

countries around the world and the globalization

[7]. Secondly, the State should

continue to improve the legal regulations on

supporting and operating the labor market

To operate the labor market

effectively, the State needs to continue to issue

legal documents to guide the 2019 Labor Code.

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The State needs to amend the Employment Law;

on Occupational Training Law; Social Insurance

Law; Law on Occupational Safety and Health;

Law on Vietnamese workers working abroad

under contracts…

The State needs to

complete the Employment Law in the direction

of supplementing regulations to cover and have

policies for informal workers; develop

"unemployment insurance" into "employment

insurance" with the expansion of entities,

complete and supplement the policy system, and

a qualified management apparatus to create

employment and cope with unemployment. At

the same time, supplement regulations on

responsibilities in building and managing the

labor market information system to serve as a

basis for synchronous organization of factors,

connecting labor market information [20].

At the same time, it is

necessary to consider adjusting legal documents

on the entities of the labor market; job security

and job creation for workers; occupational

training for high-quality human resources in the

context of industrial revolution 4.0;

unemployment and unemployment benefits for

workers; labor market information; the contents

of ensuring the balance between labor supply

and demand and labor prices; occupation

transformation in the context of the industrial

revolution 4.0; labor movement; national,

regional labor movement; the distribution of the

workforce…

Especially, the State needs to

continue establishing and completing a solid

legal framework to ensure the adaptation of the

Revolution 4.0 to create a basis for the

development of the labor market. Legal issues

need to be completed in a synchronous,

comprehensive and feasible manner to ensure

the operation of the labor market.

Thirdly, the State should ratify

basic international conventions, especially those

governing the labor market.

Basic international

conventions include: Conventions 87 and 98 on

Freedom of Association and Collective Labor

Agreements; Conventions 29 and 105 on the

Abolition of Forced Labor; Conventions 138

and 182 on the Abolition of Child Labor;

Conventions 100 and 111 on the Elimination of

Discrimination in Employment and Occupation.

Currently, Vietnam has ratified 5 of the 8 basic

conventions mentioned above, in which

Convention No. 100 on Equal Remuneration

between male and female workers for work of

equal value (ratified in 1997); Convention No.

111 on Discrimination in Employment and

Occupation (ratified in 1997); Convention No.

138 on Minimum Age to Work (ratified in

2003); Convention No. 182 on Prohibition and

Urgent Actions for the Elimination of the Worst

Forms of Child Labor (ratified in 2000);

Convention No. 29 on Forced Labor (ratified in

2007). Among these conventions, Vietnam has

not yet ratified two basic international

conventions: Convention No. 87 on Freedom of

Association and Convention 105 on the

Abolition of Forced Labor [15].

In ratifying these international

conventions, Vietnam should pay attention to

the conformity of the provisions of the

Convention with the socio-economic and

political conditions of Vietnam. In addition, the

ratification also considers Vietnam's signing of

the Comprehensive and Progressive Agreement

for Trans-Pacific Partnership (CPTPP) which

has just been signed by Vietnam and 11

countries on March 8 in Chile as an opportunity

to modernize the Labor Code and the industrial

relations system within the given time frame [6],

[15]. In the coming time, when the CPTPP

Agreement is put into practice, it is certain that

the legal framework on the labor market will

continue to be improved, especially the early

ratification of core conventions on the rights of

workers in the workplace [9].

Fourthly, the State needs to

regulate the establishment of new types of

employment relations formed by the impact of

the Industrial Revolution 4.0, create a legal

framework for the to be recognized, expand the

employee and employer labor representatives.

At the same time, the law should clearly

stipulate the role and coordination mechanism

between representative organizations of workers

in the labor market. In addition, the State also

regulates the coordination between

representative organizations of employees and

of employers in building and promoting a stable

and developing labor market.

Fifth, the State should

promulgate the Law on Minimum Salary to

create the basis for the effective operation of the

labor market

The development of the labor

market is reflected in the development of paid

work. Salaries are a measure of value, a factor

affecting the operation of the labor market.

Therefore, the legal framework for adjusting

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salaries is the basis to ensure the stability and

development of the labor market. In the coming

time, the State should promulgate the Law on

Minimum Salary, which recognizes the

following contents: 1) Subjects of adjustment;

2) Scope of adjustment; 3) Minimum Wages

(Types of Minimum Wages; Statutory Minimum

Wages); 4) The enterprise's pay scales and

payrolls; 5) Salary payment in special cases; 6)

Salary payment for specific labor; 7) Overtime

pay; 8) Salary payment in cases of termination

of labor relations or compensation; 9) rights and

obligations of the parties in Salary payment; 10)

Settlement disputes related to salaries.

Sixth, the State stipulates the

mechanism to ensure the maintenance of the

traditional labor market and the labor market

transformation mechanism in the 4.0 Industrial

Revolution.

In addition to the above

issues, it is necessary to continue to improve the

law on enterprises, innovative start-ups,

intellectual property, trade, investment and

business; Promulgating an institutional

framework for controlled testing of new

technologies, products, services and business

models formed from the Fourth Industrial

Revolution; Completing laws and policies on

data, data governance, facilitating the creation,

connection, sharing and exploitation of data to

ensure safety and network security in the

country, towards connecting with ASEAN and

international regions [27]. Completing the

policies of production ordering and public

procurement for digital technology products

manufactured in Vietnam; Create a legal

framework for the implementation of new labor

and employment models on the basis of digital

technology and perfect social security policies

in line with the Fourth Industrial Revolution

[23].

5. Conclusion

The law on the labor market

has created a legal framework for the

development of the labor market; recognized the

policies to support labor market development.

At the same time, it also effectively solves the

defects in the labor market and created a

mechanism for the labor market to exist and

develop [29]. In parallel with those

achievements, the law still has some limitations,

inadequacies and certain obstacles. Some

regulations on the labor market have not been

thoroughly guided or are left open.

The Industrial Revolution 4.0

has a very strong impact on the labor market,

deeply affect the labor market operation and

adjustment mechanism. It also causes greater

inequality, that may disrupt the labor market.

When automation replaces workers of the

economy, it will exacerbate the disparity

between return on investment and return on

labor. This affects the labor relation between

employers and employees. Therefore, the issue

of employment and the narrowing of labor

relations as well as the replacement of humans

by technological means require the appropriate

adjustments in the labor law system [10].

In that context, perfecting the

law on the labor market also needs to be focused

to create a solid legal framework to protect the

rights and interests of the entities participating

in the labor market. The effectiveness of labor

market law enforcement depends on the process

of amending and supplementing legal

documents regulating the labor market and the

role of labor market participants who actively

innovate to adapt and cope with challengings

under the impact of the Industrial Revolution

4.0 and the digital economy era.

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final findings and solution.

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No funding was received for conducting this study.

Conflicts of Interest

The author has no conflict of interest to declare that

is relevant to the content of this article.

Creative Commons Attribution License 4.0

(Attribution 4.0 International, CC BY 4.0)

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