Pursuant to the Code, from January 1, 2021, employment contracts can take one of the following forms:
- Indefinite-term employment contracts.
- Fixed-term employment contracts under which both contracting parties can determine contractual duration and expiry date provided that the term is not longer than 36 months from the effective date of employment contract.
This means that, in comparison to existing regulations in 2012’s Labor Code, seasonal employment contracts no longer exist.
In addition, 2019’s Labor Code (in force on January 1, 2021) allows employees to unilaterally terminate an employment contract without having to send prior notice in several following cases:
- Employees wising to terminate employment contracts do not hold agreed-upon job positions or work at predetermined addresses; are not assured of agreed working conditions, unless otherwise prescribed in Article 29 in this Code.
- Employees wishing to terminate their employment contracts have not received salaries in full or have been paid late, unless otherwise prescribed in clause 4 of Article 97 in this Code.
- Employees wishing to terminate their employment contracts are suffering from sexual harassment at workplace, etc.
Mr. Bui Tuong Vu - Legal Advocate and Director of THƯ VIỆN PHÁP LUẬT – stressed that the 2019 Labor Code prescribes that employees working under fixed-term employment contracts may unilaterally terminate employment contracts (without cause in contrast to contract termination prescribed in current regulations) by informing employers at least 30 days in advance with respect to employment contracts in effect for the term of between 12 months and 36 months; at least 03 working days with respect to employment contracts in effect for the term of less than 12 months. This enables employees who have no longer kept their mind on working with a company to leave work without being obliged to strict regulations, also helping them find other better job opportunities and preventing the company from compromising uncommitted employees.
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