Labor Code 2019: Additional 03 Cases Where Enterprises Are Allowed to Unilaterally Terminate Labor Contracts

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 LABOR CODE 2019 (OFFICIAL)

Labor Code 2019 has added 03 new cases in which employers can unilaterally terminate a labor contract with employees, in addition to those stipulated in the previous Labor Code 2012, specifically including:

- The employee reaches the retirement age as stipulated in Article 169 of this Code, unless otherwise agreed;

- The employee voluntarily leaves work without a legitimate reason for 05 consecutive working days or more;

- The employee provides dishonest information as stipulated in Clause 2 Article 16 of this Code when entering into the labor contract, affecting the recruitment of employees.

Notably, the provision allowing unilateral termination of the labor contract when the employee voluntarily leaves work without a legitimate reason for 05 consecutive working days or more is significant. Currently, according to the Labor Code 2012, this is one of the cases where the employee may be subject to disciplinary dismissal. Under current regulations, the disciplinary process must follow legal principles and procedures, such as:

- The employer must prove the fault of the employee;

- The participation of the organization representing the collective labor at the workplace is required;

- The employee must be present and has the right to self-defense, hire a lawyer or another person for defense; if the employee is under 18 years old, the participation of a parent or legal representative is required;

- The labor discipline handling must be recorded in writing.

With the new regulation in the Labor Code 2019, from January 1, 2021, for employees who voluntarily leave work without a legitimate reason for 05 consecutive working days or more, employers have the right to unilaterally terminate the labor contract immediately without prior notice, and without undergoing the labor disciplinary process.

Nguyen Trinh

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