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Common mistakes in the implementation of the Labor Contract

  1. Signing a collaborator contract or a contract of employment without having to participate in compulsory insurance (including: Social insurance; Labor accident insurance, Occupational disease; Health insurance and Unemployment insurance ).
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Currently, many businesses and employees still have the opinion that:

Signing the Contributor’s Contract and Employment Contract are NOT participating in compulsory insurance (Social Insurance; Occupational Accident Insurance, Occupational Disease; Health Insurance and Unemployment Insurance).

This notion is incorrect:

Because: Contributor contracts and employment contracts are still labor contracts when these contracts contain the content of the nature of the labor relationship and show the content as a labor contract as prescribed in Article 23 of the Ministry of Industry and Trade. Labor Law 2012.

  1. Where the employee with the first contract of employment will be responsible for participating in compulsory insurance

In case the employee works in many places, the determination of liability to participate in compulsory insurance must be based on the regulations corresponding to each type of insurance. As follows:

For Social Insurance and Unemployment Insurance, employees and employers under the first signed labor contract are responsible for participating.

For Health Insurance, employees and employers under labor contracts have the highest salary among the contracts with the responsibility to participate.

For Insurance of Occupational Accident and Occupational Disease, all employers are responsible for participating, regardless of the first place or the high or low salary.

  1. An addendum to the labor contract can be signed without limitation to amend and supplement the contents of the labor contract

The above statement is wrong.

Because: The labor contract appendix is ​​an integral part of the labor contract and has the same effect as the labor contract. However, the signing and use of the Labor Contract Annex must ensure the following principles:

The Labor Contract Appendix details a number of articles and clauses of the labor contract that must not have content that leads to a different interpretation from the signed labor contract.

The term of a labor contract may be modified only once by the labor contract and must not change the type of contract entered into, except in the case of prolonging the term of the labor contract with the elderly employee and the employee being a part-time trade union official. prescribed in Clause 6, Article 192 of the 2012 Labor Code.

The labor contract appendix used to amend and supplement the labor contract must clearly state the content of the amended and supplemented articles and clauses and the effective date.

  1. The employee does not have to pay compensation for training costs if the labor contract is terminated legally

This statement is wrong.

Because: The training contract and the labor contract are two independent contracts. Therefore, the employee is obliged to compensate the training costs in accordance with the provisions on the refund of training costs contained in the signed training contract (not depending on whether the labor contract is terminated correctly/or incorrectly). law).

Note: In case the employee unilaterally terminates the labor contract illegally, then of course, he must pay compensation for training costs as prescribed in Clause 3, Article 43 of the 2012 Labor Code (without necessarily considering review the content of the training contract).

  1. The probationary salary must be equal to 85% of the official salary

According to the provisions of Article 90 of the Labor Code 2012, an employee’s salary is composed of 03 components: Salary according to the job or title, Salary allowance and other additional amounts.

On the other hand, Article 28 of the 2012 Labor Code stipulates: “The salary of the employee during the probationary period shall be agreed upon by the two parties but must be at least 85% of the salary of that job”.

Therefore, the above concept is not correct. Because: The probationary salary is agreed upon by the two parties (employee and employer), but not lower than 85% of the official salary for that job…

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