Headlines 13/12/2019 09:29 SA

Labor Code’s 2019 update is now released

Châu Thanh

In the 8th meeting held on November 20, 2019, the XIVth National Assembly passed the 2019 Labor Code. Pursuant to the 2019 Labor Code, there are the significant matters mentioned below:

Sexual harassment at workplace is clearly interpreted.

Sexual harassment at workplace refers to an act of sexual characteristics that any person inflicts upon any other person at workplace against the latter's will or without the latter’s consent. Workplace refers to any place that employees work in reality according to an agreement between employee and employer, or authorization granted by employers.

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.

Mandatory retirement age is officially increased to 62 years for male employees and 60 years for female employees.

According to the schedule of adjustment to mandatory retirement age, male employees hired in ordinary working condition will retire at 62 years of age by 2028 while female employees hired in ordinary working condition will retire at 60 years of age by 2035. 

From 2021 onwards, mandatory retirement age of male and female employees hired in ordinary working condition will be 60 years and 3 months, and 55 years and 4 months, respectively; each year following 2021, 3 months and 4 months will be added, respectively, to age of male and female employees to reach the mandatory retirement age. 

Probationary period of employees working in several sectors may be extended for up to 6 months. 

The probationary period must be agreed upon between parties based on the nature and complicatedness of job positions. In several particular jobs, employees are required to make only one job probation effort which must meet the following requirements:    

- Last for the maximum duration of 180 days with regard to employees hired to hold corporate administration positions as provided in the Law on Enterprises, the Law on Management and Use of State Capital Investments in Enterprises.

- Last for the maximum period of 60 working days with regard to employees hired to hold professional titles conforming to professional and technical qualification requirements which are at least associate degrees.

- Last for the maximum period of 30 working days with regard to employees hired to hold professional titles requiring secondary or postsecondary vocational qualifications, technical workers and operation staff.

- Last for the maximum period of 06 working days with regard to other job positions.

2019’s Labor Code is officially entering into force from January 1, 2021, replacing 2012's Labor Code.

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