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Wednesday, February 18, 2026

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Weekly

Pros and cons of e-labor contracts

Digital transformation is reshaping the way the economy operates, impacting sectors ranging from trade and banking to education and human resource management. In the labor market, one significant advancement is the emergence and growing adoption of electronic labor contracts. These fully digital agreements streamline the processes of creation, storage, and management, effectively replacing traditional paper-based methods. The formation of electronic labor contracts through digital signatures is applied in many businesses in Vietnam today, especially in large corporations, foreign-invested enterprises, and companies in the technology, finance, and banking sectors. Several businesses have implemented the entire e-labor contract signing process, encompassing application receipt, contract drafting, e-signing, and storage and synchronization with the personnel management system. However, digital signing for labor contracts is not yet widely adopted in small- and medium-sized enterprises (SMEs), which represent the majority of Vietnamese businesses. Many enterprises only partially apply an electronic method, for example, signing on paper and scanning the signature as a PDF file or sending it via email. This method is more convenient than simply signing on paper, but it does not comply with the legal standard for e-labor contracts. The reasons include a lack of legal knowledge, the initial investment cost, concerns about the […]
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