Currently, there are many cases where employees work for two employers simultaneously to meet their economic needs. Therefore, to protect their own rights, employees working for two employers simultaneously in Vietnam should pay attention to these 03 things.
Article table of contents
From January 01, 2021, employees working for two employers simultaneously should pay attention to these 03 things (Illustrative photo)
According to the provisions of the Labor Code 2019 (effective from January 01, 2021) and the Social Insurance Law 2014, employees working for two employers simultaneously should pay attention to the following 03 important points:
Firstly, employees in Vietnam should thoroughly check the information in the employment contract
According to the provisions of Article 13 Labor Code 2019, an employment contract is an agreement between an employee and an employer on a paid job, salary, working conditions, and the rights and obligations of each party in the labor relations. Upon entering into an employment contract, employees should thoroughly check that the contract includes the following details:
- Name and address of the employer or its legal representative;
- Full name, date of birth, gender, residential address, ID card number or other legal documents of the employee;
- Job and workplace;
- Duration of the employment contract;
- Salary, salary payment method, due date for salary payment, salary allowances, and additional payments;
- Salary step upgrade and pay rise;
- Working hours and rest periods;
- Labor safety equipment for employees;
- Social insurance and health insurance;
- Training, skill enhancement, and vocational skills development.
Additionally, in certain cases, the enterprise may include a clause in the employment contract prohibiting the employee from working for two employers simultaneously. It is important to note that this is an agreement contrary to the provisions of the law. Moreover, employees working for two employers simultaneously should pay attention to specific regulations concerning confidentiality, trade secrets, etc., to minimize risks during the execution of the contract.
Secondly, employees in Vietnam are only required to pay social insurance (SI) and unemployment insurance (UI) premiums for the first employment contract
Under Clause 4 Article 85 of Social Insurance Law 2014, employees working for two employers pay 8% of their monthly salaries to the retirement and survivorship funds for the first employment contract.
Furthermore, according to Clause 1 Article 43 of Employment Law 2013, where employees work for two employers simultaneously, the employer of the first employment contract is responsible for paying unemployment insurance premiums.
Thus, according to the above regulations, employees working for two employers simultaneously must only pay social insurance and unemployment insurance premiums for the first employment contract and are exempt for the second one. Additionally, the second employer must compensate the employee with an amount equivalent to the social insurance and unemployment insurance premiums that they would otherwise owe.
Moreover, according to Clause 1 Article 42 Decision 595/QD-BHXH, employees working for two employers should participate in health insurance (HI) at the place where the salary is higher.
Thirdly, employees in Vietnam should choose to register for personal deduction for PIT calculation
According to Point c Clause 1 Article 9 Circular 111/2013/TT-BTC, employees working for two employers simultaneously should choose to register for personal deduction for themselves at one place at any point in time (counted fully per month).
“c.1) Personal deduction for the taxpayer:
c.1.1) Taxpayers with multiple income sources from salaries, remunerations, and business should choose to register the personal deduction for themselves at one place at any point in time (counted fully per month).”
Therefore, employees working for two employers simultaneously can choose to register Personal deductions in one place. Meanwhile, PIT on income from salaries and remunerations of employees will still be calculated according to the progressive tax rate.
Ty Na
