Regulations on Signing Labor Contracts

Before that, the Director of the agency authorized the General Administrative Department to issue a notice of contract expiration under Article 47 of the Labor Code. On the expiration date, a decision was made to terminate the contract and guide the employee to reapply for a job, then renew the agreement for consideration of signing a new contract (complete paperwork as if the employee is newly applying for a job). Is this action legal? What should the employee do to be protected by the law?

Answer:

According to the provisions of the Labor Code 2012, Article 22 Types of Labor Contracts

1. Labor contracts must be concluded in one of the following types:

a) An indefinite-term labor contract;

An indefinite-term labor contract is one in which both parties do not determine the period, the time of termination of the contract's validity.

b) A definite-term labor contract;

A definite-term labor contract is one in which both parties determine the term, the time of termination of the contract's validity within a period from 12 to 36 months.

c) Seasonal or specific job labor contracts with a duration of less than 12 months.

2. When the labor contracts stipulated in points b and c, clause 1 of this Article expire, and the employee continues to work, within 30 days from the expiration date, both parties must sign a new labor contract; if a new labor contract is not signed, the previously concluded contract according to point b, clause 1 of this Article becomes an indefinite-term labor contract, and the previously concluded contract according to point c, clause 1 of this Article becomes a definite-term labor contract with a term of 24 months.

In the case that the two parties sign a new definite-term labor contract, it can only be signed one more time. After that, if the employee continues to work, an indefinite-term labor contract must be signed.

According to the information you provided, you and other employees were signing definite-term labor contracts. When the contract expires, both parties have the right to terminate the contract under clause 1, Article 36. If you continue to work, only one more definite-term labor contract can be signed. If after that, the employee continues to work, an indefinite-term labor contract must be signed.

According to Article 17 of the Labor Code 2012: Principles of labor contract conclusion

1. Voluntary, equal, cooperative, and truthful.

2. Freedom to conclude labor contracts but must not contravene the law, collective labor agreement, and social ethics.

The conclusion of labor contracts is voluntary by both parties but must not violate labor laws, collective labor agreements.

Lawyer Pham Thi Bich Hao

(Duc An Law Company Limited, Thanh Xuan, Hanoi)

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