Illegal agreements when signing a labor contract you need to know

Illegal agreement when signing a labor contract can pose serious legal risks for both employees and employers. Understanding illegal agreements when signing labor contracts is an important condition to help protect the rights of both employees and employers. This article will point out common illegal agreements and provide solutions for customers when drafting labor contracts.

What is a labor contract? Types of labor contracts

A labor contract is an agreement between an employee and an employer regarding paid employment, salary, rights and obligations of each party in the labor relationship. According to the Labor Code 2019, labor contracts are divided into two main types: fixed-term labor contracts and indefinite-term labor contracts. Each type of contract has different characteristics and legal conditions.

• Labor contract with a fixed term: This is a type of contract with a certain working period, usually from one to three years. After the contract term expires, the employee and employer can sign a new contract.
• Labor contract does not specify a term: This is a contract that does not stipulate a specific end time, is highly stable and lasts for a long time.

The labor contract must be concluded in writing and clearly state the terms related to the rights and obligations of both parties. Any illegal agreements in the labor contract will have no legal value.

The main points of the labor contract need to be noted

When signing a labor contract, the parties must note the following important contents:

• Personal information of the parties: Including name, title, address of the employer and information of the employee.
• Job and work location: Describe the job and workplace clearly to avoid future disputes.
• Working hours: This includes working hours, breaks, overtime hours, and prescribed leave benefits.
• Salary and allowances: It is necessary to clearly state the basic salary, allowances, bonus regime, and form of payment.
• Insurance regimes: According to regulations, employers must pay social insurance, health insurance and unemployment insurance for employees when meeting the legal conditions.

This ensures that the employment contract fully meets legal requirements and does not violate the provisions of the Labor Code.

Some illegal agreements when signing labor contracts should be avoided

Below are some common illegal agreements that employees and employers need to keep in mind when signing labor contracts:

• Agreement not to pay insurance contributions: Employers are not allowed to require employees to agree not to participate in social insurance, health insurance or unemployment insurance. This violates the provisions of the Labor Code and the Law on Social Insurance.
• Fine agreements: Some companies tend to apply fine agreements or salary cuts when employees violate rules. However, according to Article 127 of the Labor Code, fining or cutting wages is a violation of the law.
• Commitment not to get married or have children: Some businesses require employees to sign a commitment not to get married or have children during their working time. However, this agreement violates the personal rights of employees and is contrary to legal regulations on family planning.
• Long-term work commitment: Some companies require employees to commit to working for a long time (usually 5 years or more). However, requiring a long-term work commitment is illegal and does not protect workers’ freedom of labor.
• Agreement not to work for a competitor company: Some labor contracts require the employee to commit not to work for a competitor company. However, this is also contrary to the employee’s right to freely choose work, except in cases related to technological and business secrets.

Consulting services for drafting and reviewing labor contracts

To avoid illegal agreements when signing labor contracts, customers can use legal consulting services from experts. At Long Phan Consulting Company, experts will provide customers with the following services:

• Consulting on labor contract regulations.
• Support customers in drafting labor contracts to ensure rights and benefits for customers.
• Review the terms in the labor contract to ensure compliance with regulations.
• Consulting on ways to resolve disputes when disputes arise.
• Support employers in registering labor contracts with social insurance, health insurance and unemployment insurance agencies.
• Consulting on drafting and reviewing the company’s labor regulations to ensure legality and protect the rights of employees.

Frequently asked FAQs about regulations and terms in the Labor Contract

Below is a set of questions related to the Labor Contract that customers can refer to:

If a company requires employees to pledge not to disclose salary, is this legal?

This depends on the company’s internal regulations and the agreement between the parties, but must not violate the employee’s right to freedom of speech.

If the labor contract does not clearly state the salary, does the employee have the right to demand the regional minimum wage?

Yes, if the labor contract does not clearly state the salary, the employee has the right to be paid at least the regional minimum wage.

If an employee loses company property, does the company have the right to deduct wages for compensation?

The employer has the right to request compensation for damages according to the provisions of law. Salary deductions can only be made upon agreement or by court decision.

How many copies must the labor contract be made into?

The labor contract must be made in 02 copies, 01 copy is given to the employee and 01 copy is kept by the employer.

If the employee and the employer agree to an illegal agreement, is that agreement valid?

No, any illegal agreement is invalid, regardless of the consent of the parties.

Does an employee have the right to refuse to sign a labor contract that contains illegal terms?

Yes, employees have the right to refuse to sign any contract that contains illegal terms.

Does the labor contract need to be notarized or authenticated?

Not required, but notarization or authentication can enhance the legality of the contract.

If a labor contract is discovered to have illegal terms, what should the employee do?

Employees should request the employer to modify or remove that provision. If not resolved, a complaint can be made to the labor management agency.

Does the employer have the right to unilaterally change the content of the labor contract?

The employer is only allowed to unilaterally change the content of the labor contract in the cases specified in Article 35 of the Labor Code 2019 and must notify the employee in advance.

What types of allowances will employees receive?

There are many types of allowances. For example: Responsibility allowance, hazard allowance, night work allowance, seniority allowance.

Conclude

Illegal agreements in labor contracts can cause extremely serious legal consequences. Therefore, mastering the legal regulations related to labor contracts is very important. When needing advice and support in drafting labor contracts, customers can contact Long Phan Consulting Company via hotline 0906735386 for detailed and accurate advice.