On March 22, 2023, I signed a Collaborator Contract to work for a company, but is this Contract a type of labor contract? Are there any legal risks in entering into a collaborator contract?
Answer
Because you have not provided specific content and terms of the Contract, we cannot determine whether it is a Labor Contract or not, so please refer to the content below:
1. To determine whether a Collaborator Contract is a type of Labor Contract or not, it is necessary to rely on the specific content agreed upon by the parties in this Contract. Pursuant to Clause 1, Article 13 of the 2019 Labor Code, it stipulates: “In case the two parties agree by a different name but with content expressing paid employment, wages, and management, administration, and supervision of one party is considered a labor contract.”
Thus, determining whether a Contract is a Labor Contract is not based on the name but must rely on the following contents of the Contract: (i) salary, wages, and (ii) management and conditions of implementation and supervision of one party in the contractual relationship. If the contract has all the above contents, it will be determined as a Labor Contract and governed by the provisions of labor law; otherwise, it will be governed by the provisions on Service Contracts according to the provisions of the the Civil Code.
2. In fact, there have been many cases where Enterprises deliberately signed Contracts with different names with employees to avoid the responsibility to participate in social insurance and other constraints of labor law.
For reference: https://sblaw.vn/services/