According to current law, employers are not allowed to enter into labor contracts with indefinite terms with foreigners.
LEGAL GROUNDS:
Clause 2, Article 151 of the Labor Code 2019 stipulates:
“The duration of an employment contract for a foreign worker working in Viet Nam shall not exceed the validity period of the worker’s work permit. When employing a foreign worker working in Viet Nam, the two parties may agree to conclude definite-term employment contracts multiple times.”
Thus, the employer is only allowed to sign a definite-term labor contract with the foreign worker, the term of the labor contract cannot exceed the duration of the work permit, and the two parties may agree to enter into multiple definite-term labor contracts.
According to the current law, where the two parties conclude a new employment contract with a definite term, only 01 additional definite-term employment contract may be signed. After that, if the worker continues to work, an indefinite-term employment contract must be signed. However, this provision does not apply to foreign workers (Article 20 Labor Code 2019) because the maximum duration of the work permit is 2 years.
Therefore, when signing a labor contract with a foreign worker for the third time, the company will continue to sign a definite-term labor contract. The term of the labor contract must be consistent with the term of the issued work permit of the employee.
Please contact us for further assistance:
EZ TOURISM AND INVESTMENT CONSULTING COMPANY LIMITED
Address: No. 42, 26 Nguyen Hong, Lang Ha Ward, Dong Da District, Hanoi City, Vietnam
Phone: 0869 907 519 | 0867 439 725
Email: support@eztour.vn
Website: www.ez-consulting.com.vn/
