In principle, FTA negotiations are preceded by a Human Rights Impact Assessment, but the European Commission waived the mandatory requirement announcing it was not necessary for Vietnam. The matter was brought before the EU Ombudsman in 2014 who charged the European Commission with “maladministration” before demanding the assessment be conducted without delay.

 

After that, Vietnam’s human rights abuses were back in the spotlight when human rights lawyer and blogger Nguyen Van Dai was arrested while on his way to the European Union delegation participating in the bilateral human rights dialogue with Hanoi. He was charged with conducting propaganda against the State and is still awaiting trial.

 

Last year, Germany also made international headlines when it accused Vietnam of kidnapping former Vietnamese oil executive Trinh Xuan Thanh from a Berlin park. A Vietnamese intelligence officer was expelled from the country following the incident. Last month, Thanh was convicted by a Hanoi court of embezzlement and sentenced to life in prison.

 

Despite this, Vietnam manager of Fair Wear Foundation Annabel Meurs, believes the EVFTA will improve labour and human rights in the communist state while opening trade opportunities for the EU.

 

“At the moment there is only one legally recognised state-controlled labour union in the country and overtime remains the biggest issue with some factory workers clocking more than 72 hours a week with no days off every seven days. This is usually because people can’t survive on the wages they are on and have to work more,” she said.

 

“Vietnam has already made considerable progress to reform its Labour Code, notably agreeing to legalise independent and field specific unions. The country is really showing willingness to compromise.”

Meurs said labour reforms may take time to pass through Vietnam’s National Assembly since the first set of revisions of the Labour Code were delayed after the collapse of the TPP, while a draft Law on Associations is under consideration.

 

“Although our stakeholders in Vietnam believe the sustainably chapter of the EU deal is rather weak, in terms of the monitoring and remedy mechanisms for violations, most agree the deal will improve human rights…and become somewhat of a blueprint for further deals with other Asian nations,” she said.

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Vietnam's commitment to labour rights

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Last month, Head of the Vietnam Mission to the EU Vuong Thua Phong attended a meeting held by the EP’s Committee on International Trade (INTA) in Brussels to review the progress of the EVFTA.

 

He reiterated Vietnam’s commitment to work on reforming its Labour Law and legal system to incorporate all ILO conventions. Earlier this year, the Vietnamese government also raised the minimum wage to $120 a month.

 

 

Although the EVFTA was signed three years ago, its ratification was delayed pending an opinion of the European Court of Justice (ECJ) which ruled that some aspects of the EU-Singapore trade deal, similar the EU-Vietnam agreement, was subject to 'mixed competences'. The ECJ also argued EU trade policy should contain more binding sustainability chapters highlighting basic workers' protections and environmental protections.

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Vietnam's textile industry

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Hanoi is a major player in the global textile and garment industry, particularly for sports and footwear. In the last couple of years, Pou Chen Corp, the world's largest contract shoemaker for brands like Nike and Adidas even relocated its operations from China to Vietnam. Today, the company owns seven large manufacturing plants employing more than 200,000 Vietnamese.