1. What is the labor contract?

Labor contract is an agreement in writing between the employer and the employee about the salary, working condition, benefit and obligation of each other. In case two parties agree by another name but have contents showing the job, salary and the management, administration, and supervision of one party, it is also considered the labor contract.

Independence — Freedom — Happiness

…….., date 02  month 03 year 2021



- Pursuant to the Labor Code No. 45/2019/QH14 dated November 20, 2019.

- Pursuant to Decree 145/2020/ND-CP detailing and guiding the implementation of a number of articles of the Labor Code regarding working conditions and labor relations.
- Pursuant to the Circular 10/2020/TT-BLDTBXH guiding some contents of the Labor Code

We included:

The employer: ABC CO., LTD


Representative by: Mr.  NGUYỄN VĂN A
Job position: Director


Email: Anguyen@abc.vn
And the employee:


D.O.B: 01/12/1991.             

Gender: Nam
ID no: 123456789 issued on 12/11/2014 in HCMC.
Permanent address:

Current address:

We agreed to sign this labor contract with the following:

Article 1. Job description and working place:
1) Job description:
- Job position: Sales Manager.
- Job description:

  • ………………….
  • ………………….
  • ………………….

2) Working place:

Head office address:
Article 2: Duration of the contract:

- Type of labor contract: definite term: 24 months

- Starting from 02/03/2021 to 1/3/2023.
Article 3: Working time and leaves: 
1) Working time:

- In day: 8h/day – Morning: from 7h30 to 11h30/Afternoon from: 1h30 to 17h30
- In the week: 6 days/week: From Mon to Sat

2) Break time and leaves:

- Weekly: Off from work on Sunday
- Annual leave, holidays, personal leaves: based on the labor code.

Article 4: Benefit and obligation of the employee

I. Benefit:

1. Salary:

- Basic salary: 8.000.000 dong/month

2. Allowance:

- Responsibility allowance: 1.000.000 dong/month

3. Payment method:

- Base on the actual working days in the month
- Paid by cash or transfer via bank

4. Payment time: Paid at the end of the month.

5. Salary review: Twice per year based on the performance of the employee.
6. Compulsory insurance: following the labor code.

II. Obligation:

- Complete the tasks committed in the labor contract.
- Compliance with the production-business executive order, labor discipline rules, labor safety...

Article 5: Right and obligations of the employer
1. Obligation:

- Ensuring the work and fully implementing the commitments in the labor contract.
- On-time payment of the benefits committed in this contract.

2. Right:

- Managing the employee to complete the work under the contract (assigning, transferring, suspending work)
- Temporarily suspending, terminating labor contracts, disciplining the employee according to the provisions of law and the internal labor regulations of the company.

Article 6Others

Besides the benefit stated in Article 4 of this contract, the employee could be entitled some of allowances as below:

1. Lunch break:

- Lunch allowance: 730.000 dong/month

2. Supporting amounts:

- Phone: 700.000 dong/month

- Gasoline: 500.000 dong/month

- Clothing: 5,000,000 dong/year

3. Other benefits:

- Getting married: 500.000 dong/month

- Having funerals: 1.000.000/person

- Yearly birthday gifts, company trips, … will be followed to the Company regulation.

4. Holiday bonus: Enjoyed according to the general salary and bonus regulation of the whole company.

Article 7: Term’s enforcement
- Labor issues that are not specified in this labor contract are subject to the company's labor regulations.
- The labor contract is made into 02 copies with equal value, each party keeps one copy and takes effect from March 2, 2021. When the two parties sign an annex to a labor contract, the contents of the annex is as valid as the contents of this labor contract.

This contract is prepared at HCMC, March 2, 2021.

The employee
(Sign and full name)


The employer
(Sign, full name, and stamp)


- Labor code no: 45/2019/QH14

- Decree 145/2020/NĐ-CP detailing and guiding the implementation some of the articles of the Labor Code for the working conditions and labor relations.
- Circulars 10/2020/TT-BLĐTBXH guiding some contents of Labor code 2019.

  1. The most important part of the contract is the employee’s benefit, meaning that defines which amounts should be included in the income and how much they are.

“Basic salary” is determined according to the 2021 regional minimum wage range. The lowest salary range for untrained employees is VND 4.420.000 (Regional 1) (for employees such as cleaners, security guards, ...) Those who have trained such as graduated from intermediate, college or university, the lowest salary must be at VND 4,729,400 ( Increasee 7% of VND 4.420.000). 

Above are the lowest salary that can be stated in the labor contract, and those who have signed a labor contract of 1 month or more must participate in compulsory insurance on this salary and other allowacallowancessponsibility, capacity, position, seniority...

Allowance: Depending on the characteristics of each company, there will be different "names" of different allowances. 

The allowance to salary is the item showing the allowances that the two parties have agreed upon, specifically: 

  • The allowance to salary is to compensate for factors of working conditions, complexity of work, living conditions, and level of labor attraction for which the salary agreed in the labor contract has not been calculated or incomplete calculation. 
  • The allowance to salary is associated with the employees' working history and performance. 

Other additional amounts: separately recorded according to the provisions of Clause 5, Article 3 of Circular 10/2020/TT-BLDTBXH to not have to participate in compulsory insurance on these terms.

- The payments define the specific amount along with the salary agreed upon in the labor contract and are paid regularly in each pay period.

- Unspecified additional amounts of income together with the salary agreed in the labor contract, regular or irregular payments in each pay period associated with the working process, the performance of the work of the employee. 

2. Lunch allowance; gasoline, phone, transportation, housing, child care; why not include these allowances in Article 4 of the labor contract but record it as a separate one?

Because of:

According to Clause 5, article 3 of Circulars 10/2020/TT-BLĐTBXH: guiding on salary and benefits: other benefits listed in the labor contract are separately written.

"For the other amounts such as bonus regulated in Article 104 of Labor code, initiative bonus; lunch; gasoline, phone, transportation, housing, childcaring; supporting for funerals, married, birthday, allowances for employees facing difficult circumstances when suffering from occupational accidents occupational diseases and others, stated into a separate part in the contract."