Contents of employment contracts with employees hired as Directors of enterprises 100% charter capital of which is held by the State of Vietnam

Recently, the Government of Vietnam has issued the Decree No. 145/2020/NĐ-CP guilding the Labor Code of Vietnam on working conditions and labor relations.

Nội dung HĐLĐ, Nghị định 145/2020/NĐ-CP

According to Article 5 of the Decree No. 145/2020/NĐ-CP of Vietnam’s Government, the employment contract with an employees hired as Director of an enterprise 100% charter capital of which is held by the State or an enterprise over 50% charter capital or voting shares of which is held by the State according to Clause 4 Article 21 of the Labor Code of Vietnam shall have the following primary contents:

1. Name, headquarters address of the enterprise according to its Certificate of Enterprise Registration; full name, date of birth, ID/passport number, phone number, mailing address of the President of the Board of Members or Company President or President of the Board of Directors.

2. Full name, date of birth; gender; nationality; professional qualifications; address of residence in Vietnam, address of overseas residence (if the employee is a foreigner); ID/passport number; phone number and mailing address; number of the work permit issued by a competent authority or a document confirming the work permit exemption; other documents requested by the employer (if the employee is a foreigner).

3. Works that may and may not be done by the employee; performance requirements and duties of the employee.

4. Location of work.

5. The contract duration shall be negotiated by both parties and shall not exceed 36 months. In case the employee is a foreigner, the contract duration shall not exceed the duration of the work permitted issued by a competent authority.

6. Details and duration of the employee’s responsibility for protection of the enterprise’s business and technological secrets and actions against violations.

7. Rights and obligations of the employer, including:

- Provision of information for the employee to serve the performance of his/her duties;

- Inspection, supervision and evaluation of the employee’s performance;

- The rights and obligations prescribed by law;

- Issuance of the work regulations applied to the Director;

- Fulfillment of obligations to the employee: payment of salary and bonuses; payment of social insurance, health insurance and unemployment insurance; provision of means of work, travel and accommodation; provision of training;

- Other rights and obligations agreed upon by both parties.

8. Rights and obligations of the employee, including:

- Performance of works specified in the employment contract;

- Reporting and proposing solutions for the issue that arise during performance of the works specified in the employment contract;

- Reporting the management and use of capital, assets, employees and other resources;

- Entitlement to: salary and bonus; specific working time and rest periods; means of work, travel and accommodation;  social insurance, health insurance and unemployment insurance; training; other benefits agreed upon by both parties;

- Other rights and obligations agreed upon by both parties.

9. Conditions and procedures for revising and unilateral termination of the employment contract.

10. Rights and obligations of the employer and the employee upon termination of the employment contract.

11. Labor discipline, material responsibility, settlement of labor disputes and complaints.

12. Other contents agreed upon by both parties.

View more details at the Decree No. 145/2020/NĐ-CP of Vietnam’s Government, effective from February 01, 2021.

Thuy Tram

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