1- Overview of Decree 337/2025/ND-CP (Electronic Employment Contracts)
Decree 337/2025/ND-CP, issued by the Government of Vietnam on December 24, 2025, marks an important milestone in the digitalization of labor relations. This Decree focuses on providing detailed regulations on electronic employment contracts, aiming to promote digital transformation in human resources and labor management.
Although the Decree takes effect on January 1, 2026, the specific regulations on the conclusion and implementation of electronic employment contracts will be fully applied from July 1, 2026, coinciding with the official operation of the National Electronic Employment Contract Platform.
The Decree consists of 5 chapters and 30 articles, developed based on the 2019 Labor Code and the 2023 Law on Electronic Transactions. Its main contents focus on the following aspects:
Definition and legal validity
An electronic employment contract is defined as an employment contract concluded in the form of electronic data messages and has the same legal validity as a traditional paper-based employment contract. This ensures that electronic employment contracts are fully legally enforceable, provided that they comply with regulations on digital signatures, trusted timestamps, and data security
(Source: Decree 337/2025/ND-CP, Article 4).
Principles of application
The parties involved must strictly comply with laws on labor, electronic transactions, cybersecurity, personal data protection, and electronic data storage. The Decree emphasizes voluntariness, equality, and protection of employees’ rights, while encouraging the use of electronic employment contracts to gradually replace traditional paper-based contracts, thereby reducing administrative burdens.
National platform
Developed and managed by the Ministry of Home Affairs, the national platform will assign a unique identification code (ID) to each electronic employment contract, enabling state authorities to easily search, manage, and supervise employment relationships. This not only enhances transparency but also supports enterprises in periodic labor reporting
(Source: Government News Portal).
Scope of application
The Decree applies to all enterprises, employers, and employees in Vietnam, including foreign employees working in Vietnam. It also clearly regulates the conversion of paper-based employment contracts into electronic form, requiring digital signatures to confirm the accuracy and authenticity.
2- How does this impact businesses?
The issuance of Decree 337/2025/ND-CP will bring significant changes to businesses in Vietnam, especially in the context of accelerating digital transformation. Electronic employment contracts are not only a modernization tool but also offer substantial practical benefits, while also posing certain challenges that businesses must address.
2.1 Key benefits for businesses
- Cost and time savings:
Instead of printing, storing, and physically transferring documents, businesses can conclude electronic employment contracts remotely via digital platforms. For example, a multi-branch company can sign contracts with employees in different provinces without face-to-face meetings, potentially reducing administrative costs by up to 50%, according to HR experts. - Greater flexibility and management efficiency:
With identification codes assigned on the national platform, businesses can easily search, update, and report employment data. This is particularly beneficial for large companies managing thousands of employment contracts. In addition, electronic employment contracts can be integrated with internal HR systems, helping to automate recruitment, payroll, and attendance processes. - Enhanced transparency and legal compliance:
Electronic contracts protected by digital signatures and trusted timestamps reduce the risk of forgery or document loss. Businesses can easily demonstrate compliance with the Labor Code during inspections by state authorities while protecting the rights and interests of both parties. - Competitive advantage:
Enterprises that adopt electronic employment contracts early are more attractive to young, tech-savvy talent and are better aligned with modern remote-working trends.
2.2 Challenges and potential risks
- High technical requirements:
Businesses must invest in digital signatures, security systems, and connectivity with the national platform. Without timely preparation, companies may face difficulties from July 1, 2026, leading to delays in signing new employment contracts. - Data security risks:
Electronic storage increases the risk of personal data breaches if cybersecurity measures are inadequate. Although the Decree requires compliance with the 2018 Cybersecurity Law, many small businesses may lack sufficient resources. - Transition from existing contracts:
Existing paper-based employment contracts need to be converted into electronic form in oder to be integrated into the national platform, requiring time and costs for digital signature authentication. - Impact on employees:
Some older employees or workers in remote areas may not be familiar with digital tools, requiring additional training and support from employers.
Overall, Decree 337/2025/ND-CP promotes deeper integration of Vietnamese businesses into the digital economy but requires careful preparation to maximize benefits while minimizing risks.
3 – What should businesses prepare for electronic employment contracts before 01 July 2026?
To comply with Decree 337/2025/ND-CP and effectively implement electronic employment contracts, businesses should develop a detailed preparation plan as early as possible. The following practical steps are recommended:
- Build technical infrastructure:
Register digital signatures for legal representatives and HR staff with licensed public certification authorities (CAs) such as Viettel CA or VNPT CA. Ensure that internal systems support secure digital signing and data storage, in compliance with ISO 27001 standards. - Select an eContract service provider:
Choose reputable providers licensed to authenticate electronic data messages, such as FPT, Viettel, or VNPT. Providers must meet 13 technical requirements stipulated in the Decree, including API connectivity with the national platform and robust data security measures. - Prepare digital identification documents:
Collect electronic citizen IDs, business registration certificates, and Level-2 electronic identification accounts for both individuals and enterprises. Employees should be encouraged to use biometric authentication (fingerprints or facial recognition) to enhance security. - Training and internal process updates:
Organize training sessions for HR teams on electronic employment contract workflows, including sending and receiving contracts, dispute handling, and reporting via the national platform. Update internal HR manuals to incorporate the new regulations.
To support businesses in implementation, companies such as Vina TPT—a professional provider of HR, payroll, and labor compliance services in Vietnam—can serve as an ideal partner. With extensive experience in payroll outsourcing, Vina TPT helps enterprises integrate electronic employment contracts effectively and in compliance with regulations.
Decree 337/2025/ND-CP is not only a legal requirement but also an opportunity for Vietnamese businesses to modernize HR management. Early preparation will help minimize risks and maximize the benefits of electronic employment contracts.
If you need advice tailored to your company’s specific situation, please contact Vina TPT for prompt and professional support.