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The probationary period for enterprise managers?

  • Perform: Le Thao (Translator by Hoang Nhat)
  • 16/04/2022

Question: Currently, for employees who are recruited into the position of enterprise managers, how long is the maximum duration of probation? If I exceed the probationary period as prescribed by law, will I be penalized? Thanks for the advice!

Pursuant to Clause 1, Article 25 of the 2019 Labor Code, the duration of probation is as follows:

Law Department - ACDC advises:

“Article 25. Duration of probation

The probationary period shall be negotiated by the two parties on the basis of the nature and complexity of the work but shall apply uniquely one time and ensure the following requirements:

1. The probationary period shall not exceed 180 days in respect of work of management of enterprise as stipulated in Law on Enterprise.

According to the above regulations, for a probationary employee in the position of an enterprise manager, the probationary period is not more than 180 days.

In case the probationary period exceeds the above-mentioned time limit, the employer will be administratively sanctioned for violating the regulations on probation according to the provisions of Point b Clause 2, Point a Clause 3, Article 10 of Decree 12/2022/ND-CP on sanctioning of administrative violations in the field of labor, social insurance, Vietnamese workers working abroad under contracts:

"2. A fine of between VND 2,000,000 and 5,000,000 shall be imposed on the employer who commits one of the following acts:

...b) Probationary work beyond the prescribed time;

3. Remedial measures

a) Forcing the employer to fully pay the salary for that job to the employee when committing violations specified at Point a Clause 1, Points a, b, c Clause 2 of this Article;”

Thus, for employees who are enterprise managers, the probationary period is not more than 180 days. If the probationary period exceeds the prescribed time, the employer will be fined from VND 2,000,000 to VND 5,000,000. In addition to the form of fine, the employer who violates the probationary period in this case will also be subject to the remedial measure of forcing the employee to pay the full salary of that job to the employee when committing violations specified.