LABOR CONTRACT WITH FOREIGN WORKERS
I. Legal Basis
Labor Code 2019: This code stipulates the rights and obligations of employees and employers, governing issues such as employment contracts, wages, working hours, rest periods, social insurance, and labor dispute resolution.
Decree 152/2020/ND-CP: This decree provides guidance on implementing several provisions of the Labor Code 2019 regarding foreign workers in Vietnam. It outlines the procedures for obtaining work permits, documentation requirements, and the responsibilities of enterprises employing foreign labor.
II. Conditions for Foreign Workers to Work in Vietnam
Before signing employment contracts with foreign workers, candidates must meet the following general conditions:
Workers must be at least 18 years old and have full civil capacity. They need to possess relevant qualifications, skills, expertise, and work experience, as well as meet health requirements set by the Minister of Health.
Additionally, workers must not be serving a prison sentence, have not had their criminal record expunged, or be under criminal investigation according to the laws of their home country or Vietnamese law.
Finally, foreign workers need a work permit issued by the relevant Vietnamese authorities, except in cases exempt from requiring a work permit.
III. Signing Employment Contracts with Foreign Workers
In addition to the general regulations regarding employment contracts, contracts with foreign workers must pay special attention to their duration: The duration of the employment contract for foreign workers in Vietnam must not exceed the validity period of the work permit. When employing foreign workers in Vietnam, both parties can agree to multiple fixed-term contracts. This is one of the differences in regulations for foreign workers compared to Vietnamese workers. Accordingly, the maximum duration of a work permit is 02 years, and if renewed, it can only be extended once for a maximum of 02 years.
Thus, the duration of the employment contract with foreign workers will depend on the validity period of the work permit granted to the foreign worker. In this case, the type of contract between the employer and the foreign worker in Vietnam is a fixed-term employment contract, and the parties may agree to enter into multiple contracts if needed.
IV. Responsibilities of the Company After Signing Employment Contracts with Foreign Workers
After a foreign worker is granted a work permit, the employer and the foreign worker must sign a written employment contract in accordance with the law and must submit the signed contract to the relevant authority that issued the work permit (either the original or a certified copy). Failure to comply may result in the company being fined according to legal regulations (ranging from 1,000,000 VND to 3,000,000 VND).
V. About Us, Hankuk Law Firm
■ Hankuk Law Firm – Introduction
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