With the policy of opening the economy in Vietnam, not only
Vietnam attracts investors to set up company, but also the demand for foreign workers in
enterprises grows and diversifies. However, in order for Vietnam companies to
be able to use foreign workers, they must sign a labor contract.
After meeting the conditions specified in the Labor Code on meeting the requirements for recruitment and working in Vietnam, the foreign worker working in Vietnam shall sign a labor contract before the expected date intend to work for the employer. In this contract, the employer and the foreign worker will agree on all issues arising in the process of working as well as using labor together.
Firstly, on the working position in the labor contract, it must
show the correct position and position for which the employer has determined
the needs with the competent authority and in accordance with the working
position shown in the document and the work permits which have been granted to
foreign workers.
Regarding the working time, it will normally be agreed upon by the
two parties but must not exceed the number of working days (hours) as
prescribed by Vietnamese law. The number of overtime hours must be based on
voluntary work and must ensure rest time, rest during working time and weekends
for foreign workers.
According to the provisions of the Labor Code, in addition to Vietnamese
public holidays and New Year’s holidays, foreign workers are allowed to take
one more day off for the national traditional New Year and one national day of
the country. This is a humane
Regarding the term of the labor contract, the term of the labor contract
for foreigners is also governed by the duration of the work permit issued by
the competent Vietnamese authority. Accordingly, the term of the labor contract for
foreign workers working in Vietnam must not exceed the term of the work permit. Therefore, the
employer should pay attention to conclude the contract term in accordance with
regulations.
In addition, employers and foreign workers should be aware of the
terms of disputes which could potentially arise. Because, contract terms are an
important legal basis to resolve when a labor dispute arises, agreeing in
advance on how to resolve a dispute when a dispute arises will create a clear
legal foundation for easy settlement by both parties. Labour dispute lawyers in Vietnam are
suggested to be consulted at an early stage to avoid dispute escalation.
At most, it is important that the employers and foreign workers
need to pay attention and strictly comply with the provisions of the law so
that the process of entering into and performing the contract is conducted
smoothly and in compliance with the law in Vietnam.
ANT Lawyers in a law firm in Vietnam, recognized by Legal500, IFLR1000. We are an
exclusive Vietnam member of Prea Legal, the global law firm network covering
more than 150 jurisdictions. The firm provides a range of legal services to
multinational and domestic clients. For advice or services request, please
contact us via email ant@antlawyers.vn.
