The application of self-supply method must comply with the provisions of Article 25 of the Law on Bidding, Article 61 of Decree No. 63/2014/ND-CP. The unit appointed to perform the bidding package must prove its ability to mobilize manpower and equipment satisfying the requirements to execute the bidding package.

Ms. Le Thi Doan Chinh's enterprise (Thanh Hoa) was assigned a self-supply construction and installation contract worth less than 2 billion VND. But due to the short-term construction bidding package of less than 3 months, the existing long-term contract labors of the enterprise are not enough to meet the construction time, so the enterprise has a plan to hire seasonal workers for under 3 months to add to existing employees to ensure construction progress.

Ms. Chinh asked whether signing a seasonal labor contract violates Article 61 of Decree No. 63/2014/ND-CP of the Government stipulating conditions for self-supply, specifically, the bidding package is not allowed to transfer the work volume with the total amount from 10% of the package price or more or less than 10% of the package price but over VND 50 billion?

The Ministry of Planning and Investment responded to this issue as follows:

Article 25 of the Law on Bidding stipulates that self-supply shall apply to packages of projects and estimates of procurement in case organizations directly managing and using such packages have technical and financial capability, and experience satisfying requirements of packages.

Article 61 of the Government's Decree No. 63/2014/ND-CP stipulates that the application of self-supply method must be approved in the contractor selection plan in accordance with Article 25 of the Law on Bidding, and satisfy preconditions below:

- Having functions, tasks, fields of operation and business lines suitable to the requirements of the bidding package;

- Having demonstrated and proven in the self-supply plan the ability to mobilize manpower, machinery, and equipment to satisfy the requirements on the progress of the bidding package;

- The unit appointed to perform the bidding package must not transfer any part thereof if its value is 10% of the package value or higher than VND 50 billion, whichever comes first.

In the case of Ms. Chinh's enterprise, the application of self-supply must comply with the above provisions.

Accordingly, the unit appointed to perform the bidding package must demonstrate its ability to mobilize manpower and equipment that satisfy the requirements to execute the bidding package.