I have signed a 3-year labor contract which will expire at the end of this month. I want to move to another company for a higher salary. However, my current labor contract has a clause that: “Within 04 years after the termination of this labor contract, the employee is not allowed to work for the opponents of the Company and is responsible for concealing the business secrets and technological secrets of the company. In case the employee violates this term, the employee shall compensate the Company in accordance with the law”. With this clause, can I work for the opponent of my company after quitting my job?
FDVN’s opinion:
Regarding your consulting requirements, after studying the legal documents, FDVN Law Firm offers the following advice:
According to the provision of Clause 2, Article 23 of Labor Code 2012 on the Contents of a labor contract: “When an employee performs a job which is directly related to business or technology secrets as prescribed by law, the employer may reach a written agreement with the employee on the content and duration of protection of business or technology secrets, and benefits and compensation in case of violation by the employee”
If the two parties have committed to concealing the business secrets and technological secrets, the employee must comply with the commitment and absolutely not reveal the business secrets and technological secrets of the Company, even though the employee has quit his/her job.
However, the agreement on not working for the opponents of the company after quitting the job is contrary to the Constitution 2013. In detail, it is stipulated in Clause 1, Article 35 of Constitution 2013 that: “Citizens have the right to work and to choose their occupations, employment and workplaces”. Thus, that agreement will be considered being partially invalid, the employee can work for any employer in any location that is not prohibited by law.
Above is FDVN Law Firm's opinion for your request of a consultant based on studying the relevant legal provisions. Hopefully, FDVN's advice would be helpful to you.
Legal expert: Nguyen Thi Lan Anh
FDVN Law Firm
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