1. Value of labor contract in labor relations:

A labor contract is a legal document, establishing the rights and obligations of the employee and the employer in the labor relationship.

When the employee and the employer establish a labor relationship with each other, a labor contract must be concluded.

Labor contracts have a particularly important role and value in labor relations:

– This is the basis for determining the legal existence of the labor relationship between the employer and the employee.

– When risks or disputes arise, employees and employers will rely on the contents agreed in the contract to determine the rights and obligations of the parties.

– The labor contract is the basis for competent authorities to intervene to resolve rights and protect the legitimate rights and interests of the parties before legal events occur. At the same time, it helps the State manage labor activities and related legal responsibilities (social insurance contributions, labor accidents, labor safety and hygiene issues) in the most objective and comprehensive way. .

For the above reasons, the 2019 Labor Code has provided strict and clear regulations on labor contracts, including the form of the contract, as well as the contents that need to be guaranteed in the contract.

2. Is there a penalty for not having a labor contract?

According to the provisions of Article 14 of the 2019 Labor Code, for contracts with a term of 1 full month or more, the employer must enter into a written contract with the employee. Therefore, it can be affirmed that entering into a labor contract is an obligation that employees and employers must ensure when entering into labor relations with each other.

According to the provisions of Clause 1, Article 9 of Decree 12/2022/ND-CP, for employers who commit one of the following acts: entering into non-written labor contracts with employees doing the job: with a term of 1 full month or more, will be fined at one of the following levels:

+ Employers will be fined from 2,000,000 VND to 5,000,000 VND for violations of 01 to 10 employees;

+ Employers are fined from 5,000,000 VND to 10,000,000 VND for violations involving 11 to 50 employees;

+ For violations involving 51 to 100 employees, the employer will be fined from 10,000,000 VND to 15,000,000 VND.

+ For violations involving 101 to 300 workers, the violator will be fined from 15,000,000 VND to 20,000,000 VND.

+ For violations of 301 or more employees, the violator will be fined from 20,000,000 VND to 25,000,000 VND.

From the above analysis, it can be affirmed that without a labor contract, the employer will be fined. Administrative fines range from 2 million VND to 25 million VND (depending on the number of violations).

3. Latest labor contract form:

SOCIALIST REPUBLIC OF VIETNAM

Independence – Freedom – Happiness

…, day month Year ……

LABOR CONTRACT

Number:…

Pursuant to the Labor Code 2019

Based on the needs and capacities of both parties

Today, at ……

We include:

PARTY A (EMPLOYER): ……

Representative:…… Position:…

Nationality:……

Address: ……

Phone: …

Tax code: ……

Account number: …

At the bank: ……

PARTY B (WORKER): …

Date of birth: … Gender: …

Home town: ………

Permanent address:……

CCCD number:…… Date of issue: ……… Place of issue:………

Qualification: …….. Major: …….

After agreement, the two parties agreed to sign a Labor Contract with the following terms:

Article 1: General Terms

1. Type of labor contract: ……

2. Labor contract term: ………

3. Starting time: ………

4. Ending time (if any): ………

5. Work location: ………

6. Working department: Department………

7. Professional title (working position): ……..

8. Job duties are as follows:

– Under the direct management of Mr./Mrs.: ……….

– Perform work in accordance with your professional title under the management and administration of a competent person.

– Coordinate with other departments and divisions in the Company to maximize work efficiency.

– Complete other tasks depending on the Company's requirements and the Board of Directors' decision.

Article 2: Working mode

1. Working hours: ………

2. Due to the nature of work, business needs or organizational/department needs, the Company may apply flexible working hours. People with flexible working hours may not comply with the normal fixed work schedule but work in shifts, but must still ensure enough working hours as prescribed.

3. Equipment and working tools will be allocated by the Company depending on the needs of the job.

4. Labor safety and hygiene conditions at the workplace according to current laws.

Article 3: Rights and obligations of employees

1. Workers' rights

a) Salary and allowances:

– Main salary/remuneration: ………. VND/month.

– Responsibility allowance (if any): ……… VND/month

– Work performance allowance (if any): According to management's assessment.

– Effective salary (if any): According to department and company regulations.

– Per diem: Depending on the position, employees are entitled to it according to company regulations.

- Pay forms: …………

b) Other benefits:

– Rewards: Employees are encouraged physically and mentally when they have achievements at work or according to company regulations.

– Salary increase regime: According to State regulations and the Company's salary regulations.

– Vacation regime: According to general regulations of the State.

+ Weekly leave……

+ Annual leave: Employees who have signed an official contract and have worked for 12 months will be entitled to paid annual leave (12 days of leave per year). For employees with less than 12 months of service, annual leave is calculated proportionally to the number of working hours.

+ Holidays: Holidays as prescribed by law.

– Insurance regime according to State regulations: ………….

- Welfare regime:  ………….

– Benefits: Employees are entitled to benefits such as stopping work, severance pay or compensation according to current law.

– To unilaterally terminate the Contract according to the provisions of law and Company regulations.

2. Obligations of employees

a) Carry out work with the highest efficiency according to the assignment and management of competent persons.

b) Complete assigned work and be ready to accept any transfer when required.

c) Understand and strictly comply with labor discipline, labor safety, labor hygiene, fire prevention and fighting, company culture, labor regulations and the Company's guidelines and policies

d) Compensate for violations and material according to the Company's regulations and rules and State law.

e) Participate fully and enthusiastically in training sessions, seminars organized by the Department or Company.

f) Comply with commitments in the labor contract and other written agreements with the Company.

g) Absolutely commit to information security.

h) Pay all types of insurance, taxes and fees in full according to the provisions of law.

Article 4: Rights and obligations of the employer

1. Rights of the employer

a) Manage employees to complete work according to the Contract (arrange and transfer jobs to employees according to professional functions).

b) Have the right to temporarily transfer the employee to another job, stop work and apply disciplinary measures according to current law and the Company's internal regulations while the Contract is still valid.

c) Temporarily postpone, terminate the contract, discipline employees in accordance with the law and the Company's internal regulations.

d) Have the right to seek compensation and complain to relevant agencies to protect their rights if the employee violates the law or the terms of this contract.

2. Obligations of the employer

– Fully implement the necessary conditions committed in the labor contract for employees to achieve high work efficiency. Guarantee jobs for employees according to signed contracts.

– Full and timely payment of benefits and benefits to employees.

Article 5: Other agreements

During the implementation of the contract, if one party wishes to change the content of the Contract, it must notify the other party at least 03 days in advance and sign an Appendix to the Contract according to the provisions of law. During the agreement, both parties still comply with the signed Labor Contract.

Employees carefully read, understand and commit to implementing the terms and regulations stated in the Labor Contract.

Article 6: Implementation provisions

Labor issues not specified in this Contract shall apply according to the provisions of the collective agreement, labor regulations and labor law.

When the two parties sign the Labor Contract Appendix, the contents of the Labor Contract Appendix are as valid as the contents of this contract.

This contract is made into …… copies with equal legal value, each party keeps …….. copies.

EMPLOYER EMPLOYER

         (Sign and write full name) (Sign and write full name)

Legal documents used in the article:

Labor Code 2019;

Decree 12/2022/ND-CP on sanctioning administrative violations in the fields of labor, social insurance, and Vietnamese workers working abroad under contracts.