The 2012 Labor Code prescribes, before accepting employees into enterprises, employers and employees of these enterprises must enter into employment contracts in person. This article will clarify who employers are in this case.
“Employer means an enterprise, an agency, an organization, a cooperative, a household or an individual that hires or employs employees under labor contracts; if the employer is an individual, he/she must have full civil act capacity” – Clause 2 of Article 3 in the 2012 Labor Code.
This means that a contracting party mentioned in this case may be an enterprise and entity, etc., but is not the whole enterprise or entity as such party is just a representative of that enterprise or entity like head of an entity, Chairperson of a People's Committee, President of an association and legal representative of an enterprise, etc.
Specifically, Article 14 in the Circular No. 30/2013/TT-BLDTBXH providing instructions about implementation of the Decree No. 44/2013/ND-CP on instructions about the Labor Code regarding employment contracts has provided the following instructions:
Employer’s side:
- The enterprise’s legal representative according to the enterprise’s charter or authorized representative of the enterprise operating under the Law on Enterprises;
- The legal representative according to the charter of the cooperative, group of cooperatives, or person authorized by the legal representative as representative of the cooperative, group of cooperatives operating under the Law on Cooperatives;
- The head of a regulatory agency, public service agency, political organization, socio-political organization that hire employees under employment contracts or a person authorized by the head;
- The head of an agency, organization, branch, or representative office of a foreign or international organization in Vietnam or a person authorized by the head;
- The owner or representative of the household that hires the employee;
- The person who directly hires the employee.
Employee’s side:
- The employee who is 18 years of age or older;
- The employee aged 15 – 18 who has a written agreement of his/her legal representative;
- The representative of the employee aged below 15 who has the agreement of employee;
- The employee authorized by a group of employees to conclude the employment contract which is enclosed with the list of authorizing employees, including their names, ages, genders, permanent residences, occupations, and signatures.
In conclusion, when making employment contracts, employees and employers need to care about issues related to authority to avoid the situation in which employment contracts become null and void or both parties' interests are affected.
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