Does the labor contract end when the company is suspended?

Does the labor contract end when the company is suspended?

A reader has email address such as tuanhungx @ xx asked: because of business’s difficulty, my company has to suspend business. During the business suspension, did the labor contract between the company and the employee terminate?

Lawyer Pham Thi Hang, YouMe Law Firm answers:

Article 36 of the Labor Code 2012 provides for the following cases of labor contracts:

1. The labor contract expires, except the case specified in Clause 6, Article 192 of this Code.

2. The work stated in the labor contract has been completed.

3. Both parties agree to terminate the labor contract.

4. The employee fully meets the requirements on the time of payment of social insurance premiums and the age of retirement stated in Article 187 of this Code.

5. The employee is sentenced to imprisonment or death or is prohibited from performing the job stated in the labor contract under a legally effective judgment or ruling of a court.

6. The employee dies or is declared by a court to have lost civil act capacity, be missing or dead.

7. The individual employer dies or is declared by a court to have lost civil act capacity, be missing or dead; the institutional employer terminates operation.

8. The employee is dismissed under Clause 3, Article 125 of this Code.

9. The employee unilaterally terminates the labor contract under Article 37 of this Code.

10. The employer unilaterally terminates the labor contract under Article 38 of this Code; the employer lays off the employee due to structural or technological changes or because of economic reasons, merger, consolidation or division of the enterprise or cooperative.

News Related

OTHER NEWS

Guidance on converting VAT calculation method

JQTEC Consulting Production and Trading One Member Limited Company (in Khanh Hoa Province) was established on November 21, 2012, using invoice deduction method from 2012 to 2016. Due to knowledge of law Tax... Read more »

Inconsistency in calculating the area of commercial and resettlement apartments

According to Ha Duong Law Firm (in Hanoi), the Company recently received a number of questions from households who are able to arrange resettlement houses regarding the identification of apartment area. Specifically, these... Read more »

Moving head office, do businesses have to apply for a work permit again?

Foreign workers who have been granted a work permit and are still in force can be sent, transferred or dispatched to work in another province or city that is differentfrom province or city... Read more »

Competence to approve investment policies

The amended Law on Investment project (the “LOI 2020”) dated June 17, 2020 comprises seven chapters, 77 articles and four attached appendices. The law took effect on January 1, 2021 and stipulates competence... Read more »

Requirements for suspension of pension fund and death benefit fund

The Ministry of Labor, Invalids and Social Affairs (MOLISA) released Official Letter 1511/LDTBXH-BHXH, dated May 4, 2020 to specify conditions for enterprises to suspend contributions to the pension fund and death benefit fund.... Read more »

Can intellectual property be used to mortgage a bank loan?

Inventions products with registered intellectual property can be considered as collateral for loans at credit institutions. However, the reality of operating in Vietnam and internationally shows that the mortgage of intellectual property rights... Read more »

How to calculate license fees for individual business households

Ms. Nguyen Thi Nhan (in Hochiminh City) is an individual business household, who sells groceries, registered tax on April 3, 2018. The tax authority sets the revenue of VND 50,000,000 / month and... Read more »

How to determine a non-consulting or consulting service supply package

Mr. Tong Ngoc Thuong (in Bac Kan Province) asked, 2 bidding packages formulating outlines and cost estimates for the project of delimiting prohibited areas, temporarily banning mineral activities and bidding packages for delimiting... Read more »

Policies to support businesses to invest in agriculture

Phuc Hung Organic Co Ltd., (in Kien Giang Province) started a business in 2018, owning 20 hectares of land specializing in rice cultivation with an average yield of 8 tons / ha. The... Read more »

Waiting time for registration of intellectual property rights of 2 years is too long

Although the expertise of the application form and the content of an application require a lot of time, but the waiting time for registration of intellectual property rights of 2 years as current... Read more »