What is the probation contract in Vietnam? Shall employees enter into the employment contracts after the probationary period?
What is the probation contract in Vietnam?
Pursuant to Article 24 of the 2019 Labor Code, regulations on probation are as follows:
Probation
1. An employer and an employee may include the contents of the probation in the employment contract or enter into a separate probation contract.
2. The probation contract must include the probation period and the contents specified in Points a, b, c, dd, g and h Clause 1 Article 21 of this Code.
3. Probation is not allowed if the employee works under an employment contract with a duration of less than 01 month.
Probationary contract is an agreement for probation by entering into a probationary contract between the employee and the employer.
Regarding the content of the employment contract, according to Clause 2 of Article 24 of the 2019 Labor Code and Clause 1 of Article 21 of the 2019 Labor Code, the probationary contract will include the following contents:
- The employer’s name, address; full name and position of the person who concludes the contract on the employer’s side;
- Full name, date of birth, gender, residence, identity card number or passport number of the person who concludes the contract on the employee’s side;
- The job and workplace;
- Job- or position-based salary, form of salary payment, due date for payment of salary, allowances and other additional payments;
- Working hours, rest periods;
- Personal protective equipment for the employee;
What is the probation contract in Vietnam? Shall employees enter into the employment contracts after the probationary period? (Image from the Internet)
Vietnam: May the probationary period last 04 months?
Pursuant to Article 25 of the 2019 Labor Code, regulations on probationary period are as follows:
Probationary period
The probationary period shall be negotiated by the parties on the basis of the nature and complexity of the job. Only one probationary period is allowed for a job and the probation shall not exceed:
1. 180 days for the position of enterprise executive prescribed by the Law on Enterprises, the Law on management and use of state investment in enterprises;
2. 60 days for positions that require a junior college degree or above;
3. 30 days for positions that require a secondary vocational certificate, professional secondary school; positions of or for technicians, and skilled employees;
4. 06 working days for other jobs.
Thus, the probationary period may last 180 days for the position of enterprise executive prescribed by the Law on Enterprises, the Law on management and use of state investment in enterprises.
Thus, for the position of enterprise executive, the probationary period may last 04 months.
Vietnam: May the probationary salary be equal to 50% of the offered salary?
Pursuant to Article 26 of the 2019 Labor Code, regulation on probationary salary is as follows:
Probationary salary
The probationary salary shall be negotiated by both parties and shall not be lower than 85% of the offered salary.
The probationary salary shall be negotiated by both parties and shall not be lower than 85% of the offered salary. Therefore, having the probationary salary equal to 50% of the offered salary is not in compliance with the legal regulations.
In addition, pursuant to point c, clause 2, Article 10 of Decree 12/2022/ND-CP, violations against regulations on probation are as follows:
Violations against regulations on probation
1. A fine ranging from VND 500.000 to VND 1.000.000 shall be imposed upon an employer for commission of one of the following violations:
a) Requesting employees who work under employment contracts with a term of less than 01 month to undergo probation;
b) Failing to inform employees of their probation results as prescribed.
2. A fine ranging from VND 2.000.000 to VND 5.000.000 shall be imposed upon an employer for commission of one of the following violations:
a) Requesting an employee to undergo more than 01 probationary period for a job;
b) Having employees take probation for a period longer than prescribed;
c) Paying probationary salary at the rate lower than 85% of the offered salary;
d) Failing to conclude the employment contract with the employee whose probation result is satisfactory in case a probation contract has been concluded.
3. Remedial measures
a) The employer that commits the violation specified in Point a Clause 1 or Point a, b or c Clause 2 of this Article is compelled to pay full salary to affected employees;
b) The employer that commits the violation specified in Point d Clause 2 of this Article is compelled to conclude employment contracts with affected employees..
A fine ranging from VND 2.000.000 to VND 5.000.000 shall be imposed upon an employer paying probationary salary at the rate lower than 85% of the offered salary:
The employer that commits the violation is compelled to pay full salary to affected employees.
Note: The fine imposed upon an organization is twice as much as that imposed upon an individual for committing the same administrative violation. (Clause 1, Article 6, Decree 12/2022/ND-CP).
LawNet