ACDC’s Law Department advises:
Question: When a company signs a labour contract with an employee, what contents is required to consist of? Isn’t the salary increase regime specified in the labour contract? Thank you!
Answer by ACDC’s Law Department:
Pursuant to Clause 1, Article 21 of the 2019 Labour Code and Article 3 of Circular No. 10/2020/TT-BLDTBXH on guiding the implementation of a number of articles of the Labour Code regarding contents of a labor contract, collective bargaining councils and occupations and jobs that are harmful to reproduction and parenting functions, an employment contract must include the following 10 (ten) major contents:
(1) The employer’s name, address; full name and position of the person who concludes the contract on the employer’s side;
(2) 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;
(3) Jobs and workplace;
(4) Contract duration: contract performance duration (number of months or days), starting date and ending date (for a definite term employment contract); starting date (for an indefinite term employment contract);
(5) Job- or position-based salary, form of salary payment, due date for payment of salary, allowances and other additional payments;
(6) Regimes of promotion and salary increase: as agreed by the contracting parties concerning conditions, time, pay rate after promotion, salary increase, or as regulated in the collective bargaining agreement, or as stipulated by the employer;
(7) Working hours, rest periods: as agreed by the contracting parties or as regulated in the labour regulations, as stipulated by the employer, collective bargaining agreement and as per the law;
(8) Personal protective equipment for the employee: types of personal safety equipment as agreed by the contracting parties, as stipulated by the employer, collective bargaining agreement and as per the law on safety and labour hygiene;
(9) Social insurance, health insurance and unemployment insurance: in accordance with laws on labour, social insurance, health insurance, and unemployment insurance;
(10) Basic training and advanced training, occupational skill development: rights, obligations, and interests of the employer and the employee in ensuring time and funding for basic training and advanced training, occupational skill development.
Accordingly, the salary increase regime is one of the mandatory contents in the labour contract. The salary increase regime shall be implemented as agreed by both parties on the conditions, time, and pay rate after the promotion or salary increase, or as regulated in the collective bargaining agreement, or as stipulated by the employer.
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Above is our advice on your questions.
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