Q&A about labor law No. (03)

To help readers understand more about Labor Law and issues related to Labor Law, ANT Legal specifically answers questions related to Labor Law as follows:

Q&A (03) – Delivery Labor Contract:

How is a labor contract concluded?

The labor contract is concluded in writing and is made into 02 copies, the employee keeps 01 copy, the employer keeps 01 copy.

Labor contracts concluded through electronic means in the form of data messages according to the law on electronic transactions are as valid as written labor contracts.

(Clause 1, Article 14 of Labor Code No. 45/2019/QH14)

How many types of labor contracts are there?

There are 02 types of labor contracts:

1) Indefinite-term labor contract: is a contract in which the employer and employee do not specify the term or termination date of the contract;

2) Fixed-term labor contract: is a contract in which the employer and employee determine the term and termination date of the contract within a period of no more than 36 months from the effective date of the contract.

(Clause 1, Article 20 of the Labor Code No. 45/2019/QH14)

What happens when the labor contract expires but the employee continues to work?

a) Within 30 days from the date the labor contract expires, the employer and employee must sign a new labor contract; While a new labor contract has not yet been signed, the rights, obligations and interests of both parties will be implemented according to the signed contract;

b) If at the end of 30 days from the date the labor contract expires, the employer and employee do not sign a new labor contract, the signed contract becomes a labor contract of indefinite term;

c) In case the employer and employee sign a new labor contract that is a definite-term labor contract, it can only be signed one more time. After that, if the employee continues to work, he or she must sign an indefinite-term labor contract.

(Clause 2, Article 20 of Labor Code No. 45/2019/QH14)

 What contents does a labor contract have?

A labor contract must have the following 10 main contents:

1) Name and address of the employer and full name and title of the person concluding the labor contract on the employer’s side;

2) Full name, date of birth, gender, place of residence, Citizen Identification Card number, ID card or passport of the person entering into the labor contract on the employee’s side;

3) Work and work location;

4) Term of the labor contract;

5) Salary according to job or title, form of payment, payment period, salary allowances and other supplements;

6) Promotion and salary increase regime;

7) Working time, rest time;

8) Providing labor protection equipment for workers;

9) Social insurance, health insurance and unemployment insurance;

10) Training, fostering, improving professional qualifications and skills.

(Clause 1, Article 21 of the Labor Code No. 45/2019/QH14)

Do employees need to be on probation?

Employers and employees can agree on the probation content stated in the labor contract or agree on probation by signing a probation contract.

(Clause 1, Article 24 of Labor Code No. 45/2019/QH14)

What content does a probationary contract include?

The main contents of the probationary contract include:

1) Probation period:

The probationary period is agreed between the employer and the employee based on the nature and complexity of the job, but the probationary period can only be once for a job and must ensure the following conditions:

+ No more than 180 days for the work of a business manager;

+ No more than 60 days for jobs with professional titles requiring professional and technical qualifications from college or higher;

+ No more than 30 days for jobs with professional titles that require intermediate professional and technical qualifications, technical workers, and professional staff;

+ No more than 06 working days for other jobs.

2) Name and address of the employer and full name and title of the person concluding the labor contract on the employer’s side;

3) Full name, date of birth, gender, place of residence, Citizen Identification Card number, ID card or passport of the person entering into the labor contract on the employee’s side;

4) Work and work location;

5) Salary according to job or title, form of payment, payment period, salary allowances and other supplements;

6) Working time, rest time;

7) Provide labor protection equipment for workers.

(Clause 2, Article 24, Article 25 of Labor Code No. 45/2019/QH14)

 Regulations on the employee’s salary during the probationary period?

The employee’s salary during the probationary period is agreed upon by the employer and employee but must be at least equal to 85% of the salary of that job.

(Article 26 of Labor Code No. 45/2019/QH14)

At the end of the probationary period, does the employer need to notify the probationary results to the employee?

At the end of the probationary period, the employer must notify the probationary results to the employee.

In case the probationary period is satisfactory, the employer must continue to perform the concluded labor contract in the case of a probationary agreement in the labor contract or must sign a labor contract in the case of a probationary contract.

In case the probationary period does not meet the requirements, the signed labor contract or probationary contract will be terminated.

(Clause 1, Article 27 of Labor Code No. 45/2019/QH14)

Does the employer or employee have the right to cancel the probationary contract?

During the probationary period, the employer or employee has the right to cancel the probationary contract or the concluded labor contract without prior notice and without compensation.

(Clause 2, Article 27 of Labor Code No. 45/2019/QH14)