Many new points in the Labor Code 2019 on labor contracts that employees need to know to ensure their legitimate rights.
1. Increase the recognition of actual labor relations
Additional provisions: Any contract, regardless of its name, is considered a labor contract if it has all 3 signs:
- Working on an agreement basis;
- Paid salary;
- There is the management, administration and supervision of one party.
This regulation is necessary to solve the situation of circumventing the provisions of the Law, using another name to avoid the responsibility of performing the obligations of the employer regarding wages and the responsibility to participate in social insurance for employees.
2. Form of labor contract
Acceptance of labor contracts through electronic means in the form of data messages.
An employment contract entered into via electronic means in the form of a data message in accordance with the law on electronic transactions has the same value as a written labor contract.
3. Type of labor contract From January 1, 2021, labor contracts will be concluded in one of the following categories
- An indefinite term labor contract.
- A definite-term labor contract, in which the two parties determine the term and the time of termination of the labor contract within a period of not more than 36 months from the effective date of the contract.
Thus, compared to the current regulations in the Labor Code 2012, there will be no more seasonal labor contracts or specific jobs.
4. The probationary period is not applied to labor contracts of less than 1 month
According to current regulations, only those who sign seasonal labor contracts are of course not required to work. From 2021, the probationary period will not be applied with labor contracts of less than 1 month.
5. Additional regulations on probation period Additional regulations
The probationary period shall not exceed 180 days for the job of an enterprise manager according to the provisions of the Enterprise Law, the Law on Management and use of state capital invested in production and business at the enterprise.
6. Additional cases of temporary suspension of labor contracts There are additional cases in which the employee is entitled to suspend the labor contract as follows
- Employees perform the obligation to join the Militia and Self-Defense Force;
- The employee is authorized to exercise the rights and responsibilities of the enterprise with respect to the capital portion of the enterprise invested in another enterprise.
7. Employees have the right to unilaterally terminate the labor contract without reason
- Labor Code 2012: An employee with a definite-term labor contract when unilaterally terminating a labor contract must have one of the reasons stated in Clause 1, Article 37 of the 2012 Labor Code, and at the same time satisfy the following conditions: notice period.
- Labor Code 2019: The employee has the right to unilaterally terminate the labor contract without reason, only needing to meet the conditions for notice period in Clause 1, Article 35 (except for 01 cases without prior notice).
8. Add provisions on cases in which the right to unilaterally terminate a labor contract without prior notice
The Labor Code 2019 stipulates the following special cases where the employee does not need prior notice:
- Not being arranged according to the right job, working location or not guaranteed the agreed working conditions, except for the case specified in Article 29 of this Code;
- Not being paid in full or on time, except for the case specified in Clause 4, Article 97 of this Code;
- Being abused, beaten by the employer or having insulting words or acts, acts affecting health, dignity and honor; forced labor;
- Being sexually harassed at work;
- Pregnant female employees must take leave as prescribed in Clause 1, Article 138 of this Code;
- Having reached the retirement age as prescribed in Article 169 of this Code, unless otherwise agreed by the parties;
- The employer provides untruthful information as prescribed in Clause 1, Article 16 of this Code, affecting the performance of the labor contract.
9. 02 cases where the employer has the right to unilaterally terminate the contract without prior notice
The employer also has the right to unilaterally terminate the labor contract without prior notice in the following two cases:
- The employee is not present at the workplace within 15 days from the expiration of the time limit for suspending the performance of the labor contract.
- The employee voluntarily quits his job without a valid reason for 5 consecutive working days or more.
10. Reasonable regulations on settlement time and responsibilities of both parties when terminating the labor contract
Labor Code 2012: Within 07 working days from the date of termination of the labor contract, the two parties are responsible for paying in full all amounts related to each party’s interests; In special cases, it can be extended but not more than 30 days.
Labor Code 2019: Within 14 working days from the date of termination of the labor contract, the two parties are responsible for fully paying the sums related to the interests of each party, except for the following cases: This may be extended but must not exceed 30 days:
- The employer who is not an individual terminates the operation;
- The employer changes the structure, technology or for economic reasons;
- Split, split, merge, merge; sale, lease, change the type of business; transfer of ownership, right to use assets of enterprises or cooperatives;
- Due to natural disaster, fire, enemy sabotage or dangerous epidemic.
