Unusual CEO, Nearly 70, “Not Allowed” to Retire, Works for Free

For over a decade, General Director of Tra Tan Forestry One Member Co., Ltd. has been working without pay or insurance. Even though he is 7 years past the retirement age, the director has to stay in his position because he is waiting for the company to be dissolved.

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Tra Tan Forestry One Member Limited Liability Company

(abbreviated as

Tra Tan Company

) is a 100% state-owned enterprise. Due to business losses, the company was forced to close in 2016.

At that time, the Prime Minister of the Government requested that the

Quang Ngai

Provincial People’s Committee dissolve the company in accordance with regulations. However, the company still has a debt of more than 2 billion VND, most of which is

wage arrears

, social and health insurance of cadres and employees; The company cannot be dissolved due to unpaid debts.

Given the situation of the enterprise, Quang Ngai province proposed to switch from dissolution to bankruptcy for final settlement. However, in the guiding documents for this type of enterprise, there is only a form of dissolution, not bankruptcy.

Inside the premises of Tra Tan Company, weeds grow wildly.

Dissolving is not possible, and bankruptcy is not possible. While waiting for a solution, in 2016 Quang Ngai province decided to retain 3 key employees including the director, deputy director (retired in 2018) and a department head to handle related procedures.

Mr.

Le Tien Dung

– Director of Tra Tan Company – said that because the company was making losses and then closed down and could not be dissolved or bankrupt, many cadres and employees were owed wages. “If I had the right age, I would have retired 7 years ago, but now nearly 70 years old, I still

not allowed to retire

to enjoy the regime”, Mr. Dung lamented.

According to Mr. Dung, in theory, he and the head of the department are still working, but in fact, the two of them

working without salary

from 2012 up to now.

“At this age, I often get sick, but the company owes me wages,

insurance arrears

have not been resolved so I do not have insurance regimes as prescribed, nor can I retire”, said Mr. Dung.

Sharing the same situation, Mr.

Le Hong Dung

– Head of Organization – Administration Department of Tra Tan Company – shared that he himself was owed wages and social insurance for nearly 11 years. In 2016, he was retained with the board of directors to process documents and papers of the company. Since then, he has been forced to stick with the company as the head of the department in name only.

“Not only do I not get paid, I also

have no health insurance

when I get sick. Because the company

owes too much insurance

so I can’t buy voluntary health insurance either. I hope that the province and the central ministries and branches will soon find a solution to resolve the company’s difficulties and fully pay the employees’ benefits”, Mr. Hong Dung requested.

This row of houses is where the director and head of Tra Tan Company have been trying to keep for the past decades, even though they don’t receive any benefits.

In 2016, the debt of Tran Tan Company was more than 2 billion VND, but now it has increased to more than 5.2 billion VND, including: Social insurance debt, health insurance, unemployment insurance of more than 2 billion VND; Salary arrears of civil servants and employees of more than 2.5 billion VND; Land rent arrears of nearly 720 million VND… Meanwhile, the company’s capital is only nearly 79 million VND thanks to the sale and liquidation of assets.

Recently, Quang Ngai Provincial People’s Committee has sent a document to the Ministry of Agriculture and Rural Development requesting support of 5.2 billion VND to handle the debt that Tra Tan Company is unable to pay. Quang Ngai proposed that the Ministry provide guidance for the province to resolve the difficulties and carry out

dissolution

with Tra Tan Company.