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Guide · December 26, 2016

Probation Period in Vietnam: Limits Under the Labor Code

By the editorial panel · Vietnam Trusted Brands

Probation period in Vietnam is capped by law, and the cap depends on the level of the job. An employer cannot set a longer trial just because it wants more time. A worker should know the limit before signing anything.

This guide covers the Labor Code rules that apply to most employees. It is general information for employers and staff, not legal advice.

Probation is optional and happens once

Probation is not required. It exists only if the employer and the worker agree to it. The agreement can sit inside the labor contract, or it can be a separate probation contract.

The law allows probation only once for each job. If a worker passes and later moves to a different job, a new probation can be discussed. An employer cannot repeat a trial for the same job.

A separate probation contract should state the basics: the parties, the job, the workplace, the length of the trial, the pay, and the working hours and rest time. Write these down. A clear paper record protects both sides.

Sources: Labor Code No. 10/2012/QH13, adopted 18 June 2012, in force 1 May 2013, Articles 26 and 27.

Maximum length by job level

The Labor Code sets three ceilings. Each one is a maximum, so a shorter trial is always allowed.

Up to 60 days: jobs whose title needs a college level of training or higher. This covers many office, technical and management roles.

Up to 30 days: jobs that need intermediate vocational or professional training, technical workers, and professional staff.

Up to 6 working days: all other jobs. These are usually simple tasks with no formal training requirement.

Match the job title and its required training to one of the three tiers. Then pick a length that fits the real complexity of the work. A simple role does not need the full ceiling.

Sources: Labor Code No. 10/2012/QH13, adopted 18 June 2012, in force 1 May 2013, Article 27.

Pay during probation

Pay during probation is agreed between the two sides. The law sets one floor: the worker must receive at least 85 percent of the wage for that job.

Here is an example. If the job pays 10,000,000 dong a month, the probation pay cannot be below 8,500,000 dong a month. The employer may pay more. It may not pay less.

Say the figure in the contract in plain numbers. Do not leave it as "to be agreed". Vague pay terms are a common cause of disputes.

Sources: Labor Code No. 10/2012/QH13, adopted 18 June 2012, in force 1 May 2013, Article 28.

How probation ends

During probation, either side can cancel the probation agreement without advance notice and without compensation, if the trial does not meet the requirements the two sides agreed. This is why the probation pay floor matters: the worker is exposed to a quick exit.

When the trial is over, the employer must tell the worker the result. If the worker met the agreed requirements, the employer must sign a formal labor contract. If the worker did not, the employer should say so clearly and in writing.

If a separate probation contract was used and the worker passes, the next step is signing the labor contract. Do not let the trial run past the agreed end date without paperwork.

Sources: Labor Code No. 10/2012/QH13, adopted 18 June 2012, in force 1 May 2013, Articles 26 and 29.

Practical steps for employers and workers

Employers: pick the right tier for the job, put the length and pay in writing, and keep a note of how the worker is judged. Set the review date before day one. Tell the worker the result on time.

Workers: ask for the probation terms in writing before you start. Check the length against the three ceilings above. Check that the pay is at least 85 percent of the job wage. Keep a copy of every signed page.

Both sides: if the terms break the limits, the safer course is to correct them early. Guidance for applying the Labor Code was issued in Decree 05/2015/ND-CP in January 2015, and it is worth reading alongside the Code itself.

Sources: Labor Code No. 10/2012/QH13, adopted 18 June 2012, in force 1 May 2013; Decree 05/2015/ND-CP, January 2015.

Sources

  • Labor Code No. 10/2012/QH13 of the National Assembly of Vietnam, Articles 26 to 29
  • Decree 05/2015/ND-CP of the Government of Vietnam, January 2015

General information, not legal advice.

Filed December 26, 2016 · All news