Ministry seeks feedback on State capital representatives decree

Ministry seeks feedback on State capital representatives decree

The Ministry of Home Affairs is seeking public feedback on a draft decree regulating the management of people holding titles and positions, as well as representatives of State capital at enterprises.

The Ministry of Home Affairs headquarters in Nam Từ Liêm District, Hà Nội. VGP Photo

The Ministry of Home Affairs is seeking public feedback on a draft decree regulating the management of persons holding titles and positions, as well as representatives of State capital at enterprises, that would restrict their capacity to resign in certain cases.

According to the ministry, the Government's Decree 159/2020/NĐ-CP governs the assessment, planning, appointment, re-appointment, transfer, rotation, resignation, dismissal, commendation, discipline and retirement of persons holding titles and positions, and of controllers at wholly State-owned enterprises.

The decree also regulates the evaluation, assignment, re-assignment, termination, commendation, discipline and retirement of representatives of State capital at enterprises, and was amended and supplemented under Decree 69/2023/NĐ-CP.

However, several recent Party regulations on authority, procedures, standards and conditions for appointment, evaluation, commendation and discipline have not yet been synchronised or aligned with existing State laws.

This new decree therefore aims to establish clear, unified and transparent rules governing the management of persons holding titles and positions at State-owned enterprises and representatives of State capital.

It is meant to serve as a legal basis for ministries, sectors, provincial People’s Committees, representative agencies and State-owned enterprises to implement uniform procedures in the appointment, dismissal, commendation, discipline, termination and retirement of executives and controllers.

The draft decree also seeks to improve corporate governance efficiency at State-owned enterprises, ensuring openness, transparency and the prevention of negative practices and conflicts of interest in the management of State capital and assets at enterprises.

Authorisation to resign

Under the draft, the Ministry of Home Affairs proposes new regulations concerning the resignation of enterprise managers, controllers and representatives of State capital.

Specifically, such persons may resign in the following cases: organisational restructuring; voluntary resignation with the approval of relevant authorities; or where an enterprise manager has been dismissed after receiving two consecutive years of unsatisfactory performance evaluations.

If a representative fails to fulfil their duties for two consecutive years without a justifiable reason accepted by the ownership agency, they shall be reassigned to another position or have their resignation processed in accordance with the law.

Resignation will also not be permitted if the individual has not yet fulfilled financial or asset-related obligations to the enterprise, agency or organisation; if the enterprise’s operational needs require them to remain; or if no replacement has been arranged. 

Enterprise managers, controllers and representatives of State capital who resign will be entitled to severance allowances in accordance with labour law.

In addition, based on the Politburo’s Regulation 377-QĐ/TW dated October 8, 2025, the draft decree revises provisions on planning for managers at wholly State-owned enterprises, to ensure alignment with annual guidelines issued by relevant authorities, maintaining flexibility and appropriateness amid organisational changes.

It also amends procedures for appointing both internal and external candidates to managerial or controller positions in State-owned enterprises, and supplements cases of resignation, dismissal or termination of State capital representatives to align with regulations on cadre management.

Furthermore, the draft removes provisions related to the evaluation, commendation and disciplining of direct ownership representatives, State capital representatives and controllers.

This adjustment aims to ensure consistency with regulations on supervision, inspection and evaluation of investment efficiency and management of State capital at enterprises, in association with compliance with State policies and laws. The results of enterprise performance evaluations will be incorporated into implementation provisions. 

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