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What exactly is an "employment contract?"
An employment contract is a contract that establishes an employment connection between an employee and an employer in which the employee performs work under the authority of the employer and the employer pays the compensation, according to Article 664 of the Civil Code of the Kingdom of Cambodia. That is labor. It should be mentioned that the form of employment contract can be done orally or in writing. An oral contract can be formed by one party making an oral request and the other party consenting to the oral request. When one party provides its conditions in writing, the other party agrees to the terms, and the parties express their assent in the form of a signature or otherwise, a written contract is formed.
Employment Contract Types: There are two forms of employment contracts, according to the 1997 Labor Law: Fixed-Duration Contracts (FDC) and Undetermined Duration Contracts (IEC) (UDC).
1. Employment Fixed Duration Contract (FDC): "It must be in writing and specify a clear start and end date, and an agreement with a stated time restriction cannot last longer than two years." This contract, however, may be renewed one or more times as long as the renewal duration does not exceed two years.
2. Long-Term Employment Contract (UDC): A contract (UDC) is non-terminable employment. Contracts (UDCs) typically last more than two years, with the parties allowed to reach both oral and written agreements. On the other hand, if the parties have entered into an employment contract that differs from any of the contract's terms (FDC), we can argue that it is a contract (UDC).
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