The Labor Code 2019 (Labour Code 2019; effective from January 1, 2021) stipulates many new points about wages and bonuses that employees need to know to ensure their legitimate rights and interests in the relationship. the labor system with the employer (employer), specifically:
- Employers must not force employees to use their salaries to buy goods and services of their own/other units (Clause 2, Article 94).
Employers must pay wages directly, in full and on time to employees. In case the employee cannot receive the salary directly, the employer may pay the salary to the person legally authorized by the employee.
Employers may not:
– Restricting or interfering with the employee’s right to self-determination of salary expenditure;
– Forcing employees to spend wages on buying goods or using services of the employer or other units designated by the employer.
- The employer must notify the employee’s salary statement at each time of salary payment (Article 95).
Employers pay wages to employees based on the agreed salary, labor productivity and quality of work performance.
Each time a salary is paid, the employer must notify the employee’s salary payment list, clearly stating the following contents:
– Salary;
– Overtime pay;
– Wages for working at night;
– Content and amount to be deducted (if any);
- New point on interest rate when calculating compensation for late payment of wages to employees (Article 94)
In principle, employers must pay wages directly, fully and on time to employees. In case the employee cannot receive the salary directly, the employer may pay the salary to the person legally authorized by the employee.
However, in the event that due to force majeure, the employer has tried all remedies but cannot pay wages on time, it must not be more than 30 days late;
If the salary is paid late for 15 days or more, the employer must compensate the employee an amount at least equal to the interest of the late payment amount calculated at the interest rate on mobilizing deposits with a term of 1 month, which is issued by the bank where the employer opens the account. the salary payment to the employee announced at the time of salary payment.
(Currently, the amount of compensation will be calculated according to the ceiling interest rate on deposits with 1-month term announced by the State Bank of Vietnam at the time of salary payment; if the State Bank of Vietnam does not prescribe the ceiling. the interest rate is calculated according to the 1-month term deposit interest rate of the commercial bank where the enterprise or agency opens a transaction account notified at the time of salary payment).
- Employers must bear the cost of opening accounts for employees if salary is paid via bank (Article 96).
Employers and employees agree on the form of payment by time, product or contract. Wages are paid in cash or through the employee’s personal account opened at a bank.
In case the salary is paid through the employee’s personal account opened at a bank, the employer must pay fees related to the account opening and salary transfer.
(Currently, fees related to opening and maintaining an account are agreed upon by the employer and the employee ).
- Wages for work stoppage when employees have to stop working because of electricity and water problems that are not due to the fault of the employer or due to natural disasters, fires, dangerous epidemics, enemy sabotage, relocation of operation locations at the request of employees. competent state agency or for economic reasons
According to Clause 3, Article 99 of the Labor Code 2019, in this case, the two parties agree on the salary for stopping work as follows:
– In case of stopping work for 14 working days or less, the agreed-upon stoppage salary is not lower than the minimum wage;
– In case of having to stop working for more than 14 working days, the salary for stopping work shall be agreed upon by the two parties but must ensure that the salary for stopping work in the first 14 days is not lower than the minimum salary.
(Currently, only the salary for termination of work is agreed upon by the two parties, but must not be lower than the regional minimum wage prescribed by the Government).
- There are many more cases where employees are allowed to take separate leave and receive full salary
Specifically, according to the Labor Code 2019, an employee is entitled to take a leave of absence from work while still receiving the full salary and must notify the employer in the following cases:
– Marriage: 3 days off;
– Natural or adopted children get married: 1 day off;
– Natural father, natural mother, adoptive father, adoptive mother; natural father, natural mother, adoptive father, adoptive mother of a spouse; wife or husband; If natural or adopted children die: 3 days off.
Thus, compared with the current regulations, the Labor Code 2019 adds the case of adoptive father, adoptive mother; If the adoptive father or adoptive mother of the spouse dies, the employee is entitled to 3 days of leave and full salary.
At the same time, it is more clear that in case “natural children”, “adopted children” get married, they are entitled to 01 day off (currently, “married children” have 01 day off) ; If a “natural child” or an “adopted child” dies, he/she will be entitled to 03 days of leave (currently, a dead “child” shall have 03 days of leave) .
- Employees are entitled to 2 days off on National Day on September 2 and receive full salary
From 2021, employees will be entitled to 2 days off and full salary on the National Day holiday (currently, employees can only take 1 day off and receive full salary on September 2nd) according to one of the following two options proposed by the Prime Minister: The government decides:
– Option 1: Rest on September 1 and September 2.
– Option 2: Rest on September 2 and September 3.
- Employees can quit without notice if they are not paid on time
Specifically, according to Point b, Clause 2, Article 35 of the Labor Code 2019, the employee has the right to unilaterally terminate the labor contract without prior notice to the employer if the salary is not paid in full or the salary is not paid on time, except for the case specified specified in Clause 4, Article 97 of the Labor Code 2019 (currently, 3 days notice is required) .
- Female employees who do heavy work while pregnant may have their daily working hours reduced by 01 hour and receive full salary.
Clause 2, Article 137 of the Labor Code 2019 stipulates that female employees do heavy, hazardous, dangerous or particularly heavy, hazardous or dangerous occupations or jobs or do occupations or jobs that adversely affect reproductive function. and raising children during pregnancy and having notified the employer, the employer may switch to a lighter, safer job or reduce the daily working hour by 1 hour without any reduction in wages and rights and benefits until the end of the time to raise children under 12 months of age.
(Currently, female employees who do heavy work when they are pregnant from the 7th month can be transferred to lighter jobs or reduced by 1 hour of daily work and still receive full salary).
- Employees are rewarded with money or property or in other forms
Pursuant to the provisions of Article 104 of the Labor Code 2019, the bonus is the amount of money or property or in other forms that the employer rewards the employee based on the production and business results, the job completion level of the employee . The current Labor Code only provides for bonuses);
The bonus regulation is decided by the employer and publicly announced at the workplace after consulting the employer’s representative organization for the place where the employee representative organization is located.
