Must a Company Pay the 2% Trade Union Fee Even Without a Grassroots Trade Union?

Date: 2026.05.28

Must a Company Pay the 2% Trade Union Fee Even Without a Grassroots Trade Union?

Many companies wonder whether they are required to pay trade union fees if they have not yet established a grassroots trade union or do not have any trade union members. Under current regulations, companies are generally subject to trade union fee payment, except in cases eligible for exemption under the law.

1. Is a company without a grassroots trade union required to pay the 2% trade union fee?

Under the 2024 Trade Union Law and Decree 105/2026/ND-CP, enterprises, cooperatives, cooperative unions, public service units not fully funded by the state budget, and other agencies or organizations employing workers are required to pay trade union fees.

This applies even when the company:

– Has not yet established a grassroots trade union;

– Does not have any trade union members;

– Employs workers in accordance with the law.

The trade union fee is 2% of the salary fund used as the basis for compulsory social insurance contributions.

Therefore, a company without a grassroots trade union must still pay the 2% trade union fee, unless it falls under an exemption category specified in Article 11 of Decree 105/2026/ND-CP.

2. How are trade union fees paid?

According to Clause 1, Article 4 of Decree 105/2026/ND-CP, trade union fees are paid as follows:

Monthly payment

Companies and organizations employing workers must pay trade union fees once a month, at the same time as compulsory social insurance contributions.

Applicable entities include:

– Enterprises, cooperatives, and cooperative unions;

– Agencies, organizations, and units employing workers;

– Public service units not fully funded by the state budget;

– Foreign agencies, foreign organizations, and international organizations operating in Vietnam that employ Vietnamese workers.

Monthly or quarterly payment

Organizations and enterprises in agriculture, forestry, fishery, or salt production that pay salaries according to their production or business cycles may register with the trade union organization to pay trade union fees monthly or once every three months.

3. What is the maximum fine for late payment of trade union fees?

Under Decree 12/2022/ND-CP, companies that delay payment of trade union fees may be subject to administrative penalties.

The fine imposed on a company ranges from 24% to under 30% of the total unpaid trade union fee at the time the violation record is made, but must not exceed VND 150,000,000.

In addition, within 30 days from the date of the penalty decision, the company must:

– Fully pay the unpaid or insufficient trade union fees;

– Pay interest on the unpaid amount based on the highest demand deposit interest rate announced by state-owned commercial banks at the time of the penalty.

Conclusion

Even if a company has not established a grassroots trade union, it must still pay the 2% trade union fee if it employs workers subject to compulsory social insurance. Late payment or non-payment may result in administrative penalties and late payment interest.