According to the instructions in Clause 3, Article 55 of Decree 145/2020/ND-CP, employees who work overtime on holidays or Tet that coincide with weekly days off will be paid overtime on holidays or Tet. Therefore, if the employee goes to work on a Saturday or Sunday that coincides with a holiday, the employee will be paid overtime pay on the holiday. Let’s learn more about full regulations on weekly rest day in this article.
1. How to Understand Overtime Pay?
According to the provisions of Article 98 of the 2019 Labor Code, overtime refers to the effort and time an employee spends working beyond their regular working hours. To safeguard the rights and health of workers, Vietnam's laws, as well as those of many other countries, have established regulations regarding overtime pay.
As per current regulations, overtime pay on weekdays must be at least 150% higher than the normal salary for the same job. If an employee works overtime on a weekly day off, they must receive at least 200% of their regular salary. In the case of overtime work on holidays or paid days off, the employee is entitled to at least 300% of their usual salary. Additionally, when working overtime at night, employees not only receive overtime pay but also allowances for night work.
If the employer arranges for the employee to take compensatory time off for their overtime work, the employee will only receive the difference compared to their original overtime salary. These regulations ensure that workers receive fair and equitable compensation for the effort and time they devote to working overtime, while also safeguarding their rights and well-being during the working process.
Understand the regulations on weekly rest days
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2. How Is Overtime Pay on an Employee's Weekly Rest Day Calculated?
According to the provisions of Article 55 of Decree 145/2020/ND-CP, overtime pay on an employee's weekly rest day is calculated as follows:
2.1 For workers receiving a salary based on time
Overtime wage = Actual hourly wage for the job performed on a regular working day x Rate of at least 150%, 200%, or 300% x Number of overtime hours
The actual hourly wage is calculated by dividing the actual hourly wage for the job in the month, week, or day by the total number of actual hours worked in the month, week, or day when the employee works overtime. This calculation excludes the number of normal working days in a month and the number of normal working hours in a day or week, in accordance with the chosen business law, and excludes overtime hours.
2.2 For employees receiving a salary based on product
Overtime pay is granted when working outside of regular working hours to produce additional quantities and volumes of products beyond the agreed labor norms with the employer. It is calculated using the following formula:
Overtime salary = Unit product wage price of a regular working day x At least 150%, 200%, or 300% x Number of overtime products
In this regard:
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Overtime work on regular working days: The minimum wage is at least 150% of the unit wage of the product on a regular working day, ensuring that workers receive at least 1.5 times their actual salary for overtime work on regular working days.
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Overtime work on weekly rest days: The minimum wage is at least 200% of the unit wage of the product on a regular working day, ensuring that workers receive at least twice their actual salary for overtime work on weekly rest days.
How much is wages for working on weekly rest days?
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3. Cases Where Overtime Is Not Allowed
According to the provisions of the 2019 Labor Code, the following cases prohibit overtime work:
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Pregnant individuals: Individuals who are pregnant from the 7th month or from the 6th month when working in highland, remote, border, or island areas are not allowed to work overtime.
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Parents of young children: Individuals raising children under 12 months old are not allowed to work overtime, except when otherwise agreed upon by the employee.
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Age restrictions: Individuals under 15 years old are not allowed to work overtime. Moreover, individuals between 15 and under 18 years old are only permitted to work overtime in certain occupations and jobs listed by the Minister of Labor, War Invalids, and Social Affairs, unless otherwise agreed upon by the employee.
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Disabilities: Individuals with mild disabilities reducing their working ability by 51% or more, as well as those with severe or extremely severe disabilities, are not allowed to work overtime, unless otherwise agreed upon by the employee.
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Faro Vietnam
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