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From January 1st 2021, employers and employees can enter into electronic labor contracts in the form of data messages. The conclusion of an electronic labor contract shall comply with the provisions of the Law on Electronic Transactions 2005.
Article 33 of the Law on Electronic Transactions 2005 stipulates that an electronic contract is a contract established in the form of a data message according to regulations. Data message is information created, sent, received and stored by electronic methods which are the operating activities based on electrical, electronic, digital, magnetic, wireless transmission, optical, electromagnetic or similar technology.
Therefore, businesses and employees need to pay attention to the conditions for the electronic labor contract to take effect. In other words, when the employee and the employer choose to enter into a labor contract via electronic means, they need to fully satisfy the legal conditions of electronic documents (Article 13 of the Law on Private Transactions 2005) and digital signatures used (Clause 6, Article 3 of Decree 130/2018/ND-CP) to enter into a legally valid contract.
Edited by DBRC, Dong Du International Accounting & Legal Consulting Group
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