Formula for Calculating Overtime and Night Shift Wages

Circular 23/2015/TT-BLDTBXH provides regulations on overtime pay and night work pay as follows:

A- OVERTIME PAY

For employees paid by time:

In which:

- The actual hourly salary of a regular working day is determined based on the actual salary paid according to the job performed in the month the employee worked overtime, divided by the actual working hours in the month (not exceeding 208 hours and excluding overtime hours).

In cases where the salary is paid daily or weekly, the actual hourly salary is determined based on the actual salary paid for that day or week (excluding overtime pay, additional salary for night work) divided by the actual working hours in the day or week (not exceeding 8 hours/day and excluding overtime hours).

The actual hourly salary DOES NOT include:- Overtime pay, additional salary for night work, salary for holidays, Tet, and paid leave;- Bonuses; meal allowances during shifts;- Allowances for transportation, phones, travel, housing, child care, and small child nurturing;- Allowances when the employee has a deceased relative, marriage, birthday, hardship allowance due to occupational accidents, occupational diseases, and other allowances not related to the performance of work or titles in the labor contract.- The minimum rate is:- 150% of the actual hourly salary for regular working days, applied on working days;- 200% of the actual hourly salary for regular working days, applied on weekly rest days;- 300% of the actual hourly salary for regular working days, applied on holidays, Tet, paid leave, excluding the salary for holidays, Tet, and paid leave.

For employees paid by product:

In which:

- The minimum rate is:- 150% of the unit price of the product of a regular working day, applied on working days;- 200% of the unit price of the product of a regular working day, applied on weekly rest days;- 300% of the unit price of the product of a regular working day, applied on holidays, Tet, paid leave.

B- NIGHT WORK PAY

For employees paid by time:

For employees paid by product:

C- OVERTIME PAY AT NIGHT

For employees paid by time:

The daytime hourly salary of a regular working day or weekly rest day or holiday, Tet, paid leave is determined as follows:

- The daytime hourly salary of a regular working day is calculated at least equal to 100% of the actual hourly salary of the regular working day for cases where the employee does not work overtime during the day (before working overtime at night); at least equal to 150% of the actual hourly salary of the regular working day for cases where the employee works overtime during the day (before working overtime at night).- The daytime hourly salary of a weekly rest day is calculated at least equal to 200% of the actual hourly salary of the regular working day.- The daytime hourly salary of a holiday, Tet, paid leave is calculated at least equal to 300% of the actual hourly salary of the regular working day.

For employees paid by product:

The unit price of the product in the daytime of a regular working day or weekly rest day or holiday, Tet, paid leave is determined as follows:

- The unit price of the product in the daytime of a regular working day is calculated at least equal to:- 100% of the unit price of the product of a regular working day for cases where the employee does not work overtime during the day (before working overtime at night);- 150% of the unit price of the product of a regular working day for cases where the employee works overtime during the day (before working overtime at night);- The unit price of the product in the daytime of a weekly rest day is calculated at least equal to 200% of the unit price of the product of a regular working day.- The unit price of the product in the daytime of a holiday, Tet, paid leave is calculated at least equal to 300% of the unit price of the product of a regular working day.

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