Authorization to sign labor contracts: Important notes

Authorization to sign labor contracts is a solution that helps businesses and workers be more flexible in the contract signing process. According to the law, authorization must ensure the correct subject and scope and cannot be reauthorized. Understanding the principles of authorization not only helps the labor contract be effective but also protects the rights of both parties and avoids legal risks.

In which cases can the employee provide authorization to sign labor contracts?

Pursuant to the provisions of Clause 1 and Clause 2, Article 18 of the  Labor Code 2019, employees must directly enter into labor contracts. However:

• For seasonal work or certain jobs with a term of less than 12 months, a group of workers aged 18 or older can authorize a worker in the group to enter into a labor contract;
• In this case, the labor contract must be concluded in writing and has the same effect as if it were signed with each employee.

Thus, in cases where a group of employees performs seasonal work or a certain job with a term of less than 12 months, a representative can be authorized to enter into a labor contract with the employer on their behalf.

Conditions for authorization to sign labor contracts

According to the provisions of Article 18 of the Labor Code 2019, when authorizing the signing of a labor contract, the signing representative employee and the employer must meet the following conditions:

1. The labor contract signed by an authorized person must be accompanied by a list clearly stating the full name, date of birth, gender, place of residence and signature of each employee.
2. The person who signs the labor contract on the employer’s side is a person who falls into one of the following cases:

• The legal representative of the enterprise or an authorized person according to the provisions of law;
• The head of an agency or organization with legal status according to the provisions of law or an authorized person according to the provisions of law;
• Representatives of households, cooperative groups, or other organizations without legal status or authorized persons according to the provisions of law;
• Individuals directly employing workers.

3. The person entering into the labor contract on the employee’s side is a person in one of the following cases:

• Employees aged 18 years or older;
• Employees from 15 years old to under 18 years old with the written consent of that person’s legal representative;
• Person under 15 years old and his/her legal representative;
• The employee is legally authorized by the employees in the group to enter into a labor contract.

4. A person authorized to enter into a labor contract may not authorize another person to enter into a labor contract.

Basic content must be included in the labor contract

The labor contract must have the following main contents:

• Name and address of the employer and full name and title of the person concluding the labor contract on the employer’s side;
• Full name, date of birth, gender, place of residence, Citizen Identification card number, ID card or passport of the person entering into the labor contract on the employee’s side;
• Work and work location;
• Term of the labor contract;
• Salary according to job or title, form of payment, payment period, salary allowances and other additional payments;
• Promotion regime, salary increase;
• Working time, rest time;
• Labor protection equipment for workers;
• Social insurance, health insurance and unemployment insurance;
• Training, fostering, improving qualifications and vocational skills.

When an employee works directly related to business secrets or technological secrets according to the provisions of law, the employer has the right to agree in writing with the employee on the content and duration of protection of business secrets, protection of technological secrets, rights and compensation in case of violation.

For employees working in the fields of agriculture, forestry, fishery, and salt production, depending on the type of work, the two parties can reduce some of the main contents of the labor contract and agree to supplement content on settlement methods in case the contract performance is affected by natural disasters, fires, or weather.

Basis: Article 21 of the Labor Code 2019.

Important considerations for authorization to sign labor contracts

Authorization to sign labor contracts is a solution to help businesses operate flexibly, but to ensure the legality and rights of all parties, authorization needs to comply with the provisions of the Labor Code 2019. Below are important points to note:

1. Authorized person: According to regulations, the employer can authorize a competent individual in the enterprise or organization to sign a labor contract. Employees are authorized to sign labor contracts in certain cases. However, the authorized person may not continue to authorize another person.
2. Form of authorization: Authorization to sign labor contracts must be made in writing, clearly stating the scope, duration of authorization and related terms to avoid disputes.
3. Subjects authorized to sign labor contracts:

• For employers, the authorized person must meet the conditions in Clause 3, Article 18 of the Labor Code 2019.
• For employees, the labor contract must be signed by the employee themselves, except in cases where a group of seasonal workers or workers with a term of less than 12 months are authorized to have a representative in the group sign the contract.
• This labor contract must still ensure complete information for each employee.

4. Legal responsibility: The authorized person must comply with the authorization content and not abuse authority to cause disadvantages to employees or businesses.

Correct implementation of regulations on authorization to sign labor contracts helps businesses operate effectively, while ensuring the rights of all parties according to current law.

Authorization consulting service to sign labor contracts and labor contracts at Long Phan

Long Phan specializes in providing consulting services and support for authorization to sign labor contracts, helping businesses and employees comply with legal regulations, optimize human resources processes and limit risks. With an experienced team, we ensure that labor contracts demonstrate strictness, transparency, and protect the rights of both employees and employers.

Our scope of services includes:

• Detailed guidance on regulations related to labor contracts, rights and obligations of the parties, insurance and salary regimes according to regulations.
• Drafting & reviewing labor contracts.
• Support for authorization to sign labor contracts from A to Z.
• Support negotiations, conciliation, and protect the interests of businesses against labor disputes, complaints or lawsuits related to contracts.

Proper authorization to sign labor contracts in accordance with regulations helps clients reduce risks, optimize the contract signing process, and save time. If you need detailed advice on authorization procedures, please contact Long Phan via the hotline 0906735386 for quick and accurate support.