Enterprises must enter into a written labor contract with each employee working for them; each party will keep 1 copy. Enterprises and Employees can also enter into Labor Contracts through electronic means in the form of data messages in accordance with the law on electronic transactions. This labor contract is as valid as a written labor contract.
In case of entering into a labor contract with a term of less than 01 month, the contract can be concluded verbally, EXCEPT for seasonal work and certain jobs with a term of less than 12 months; between a person under 15 years old and that person’s legal representative and a labor contract with an employee who is a domestic worker, the parties must enter into a written labor contract.
1. Authority to enter into labor contracts
On the business side: Legal representative of the business or authorized person according to the provisions of law;
In case the legal representative authorizes another person to sign a labor contract with the employee on his behalf, a Power of Attorney must be drawn up to sign the labor contract .
On the Employee side:
– Employees aged 18 years or older;
– Employees from 15 years old to under 18 years old with the written consent of that person’s legal representative;
– People under 15 years old and that person’s legal representative;
– The employee is legally authorized by the Employees in the group to enter into a labor contract.
Note : The person authorized to enter into a Labor Contract may not authorize another person to enter into a Labor Contract.

2. Regulations on entering into labor contracts
Depending on the nature of the work and the need for labor, the parties must enter into a labor contract of one of the following types:
– Indefinite-term labor contract : is a contract in which the two parties do not specify the term or termination date of the contract.
– Fixed-term labor contract : is a contract in which both parties determine the term and the date of termination of the contract within a period of no more than 36 months from the effective date of the contract.
Within 30 days from the date the Labor Contract expires, if the parties continue the labor relationship, a new Labor Contract must be concluded. 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.
On the contrary, if the 30-day period expires and the parties do not sign a new labor contract, then by default, the signed fixed-term labor contract will become an indefinite-term labor contract. .
In case the parties sign a new labor contract that is a definite-term contract, they can only sign it one more time. After that, if the employee continues to work, they must sign an indefinite labor contract. period, except for the following cases:
1/ For people hired as directors in state-owned enterprises.
2/ In case of employing elderly workers, the two parties can agree to enter into multiple fixed-term labor contracts.
3/ The duration of foreign workers working in Vietnam must not exceed the term of the Work Permit. When using foreign workers to work in Vietnam, the two parties can agree to sign multiple fixed-term labor contracts.
4/ Employees who are members of the leadership board of the employee representative organization at the facility and are in a term whose labor contract expires must have the signed contract extended until the end of the term.
Currently, there are no legal documents issued with labor contract samples, but the way they are expressed is completely agreed upon by the parties; provided that the conditions and contents specified in Article 21 of the 2019 Labor Code and related documents are met.
Note:
Businesses absolutely must NOT :
– Keep original copies of employee’s identification documents, diplomas, and certificates.
– Require Employees to provide security measures in money or other assets for the performance of the Labor Contract.
– Forcing Employees to execute Labor Contracts to repay debts to businesses.
After concluding the labor contract, the enterprise is responsible for notifying monthly labor fluctuations in the enterprise. The declaration must be made before the 3rd of the adjacent month.
At the same time, carry out the procedure for reporting labor increase to the direct management Social Insurance agency within 30 days from the date of signing the labor contract.