How to caculate night work pay for employees in Vietnam in 2023?
What is the period of working hours at night in Vietnam?
According to the provisions of Article 106 of the Labor Code 2019 regulating night working hours:
Working hours at night
Working hours at night is the period from 22 pm to 06 am.
According to the above regulations, working hours at night is the period from 22 pm to 06 am.
How to caculate night work pay for employees in Vietnam in 2023? (Image from the Internet)
How to caculate night work pay for employees in Vietnam in 2023?
Article 98 of the Labor Code 2019 stipulates overtime pay and night work pay specifically as follows:
Overtime pay, night work pay
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2. An employee who works at night will be paid an additional amount of at least 30% of the normal salary.
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Accordingly, an employee who works at night will earn higher wages than workers who work during the day.
Thus, the night work pay for employees is determined according to Article 56 of Decree 145/2020/ND-CP as follows:
Night work pay prescribed in Clause 2 Article 98 of the Labor Code 2019 is elaborated as follows:
1. Night work pay for employees receiving time-based salaries:
Where: Normal hourly salary is determined in accordance with Point a Clause 1 Article 55 of this Decree.
2. Night work pay for employees receiving piece rate pay:
What are the penalties for failing to make or insufficiently making night work pay in Vietnam?
Article 94 of the Labor Code 2019 specifically stipulates the salary payment rules as follows:
Salary payment rules
1. Employers shall directly, fully and punctually pay salaries to their employees. In the cases where an employee is not able to directly receive his/her salary, the employer may pay it through a person legally authorized by the employee.
2. Employers must not restrict or interfere their employees’ spending of their salaries; must not force their employees to spend their salaries on goods or services of the employers or any particular providers decided by the employers.
In addition, in Clause 2, Article 17 of Decree 12/2022/ND-CP stipulating the handling of violations against regulations on salaries:
Violations against regulations on salaries
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2. The following fines shall be imposed upon an employer for commission of one of the following violations: Failing to pay salaries on schedule as prescribed by law; failing to pay or insufficiently paying salaries to employees as agreed in their employment contracts; failing to make or insufficiently making overtime pay; failing to make or insufficiently making nightshift pay; failing to pay or insufficiently paying work suspension allowances as prescribed by law; restricting or interfering employees’ spending of their salaries; forcing employees to spend their salaries on goods or services of the employer or any particular providers decided by the employer; deducting from employees’ salaries in breach of law; failing to pay or insufficiently paying salaries to employees how are reassigned to perform works which are not specified in their employment contracts or during a strike; failing to make or insufficiently making payments to employees who, due to employment termination or job loss, have not taken or not entirely taken up their annual leave in compensation for their untaken leave days; failing to make or insufficiently making advance payments to employees who temporarily leave their works in accordance with regulations of law; failing to pay full salaries to employees who are not disciplined for their work suspension period:
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5. Remedial measures
a) The employer that commits the violation specified in Clause 2 or Clause 3 of this Article is compelled to pay full salaries plus interests on late payments or insufficient payments of salary, which are calculated at the highest rate of the demand deposit interest rates publicly quoted by state-owned commercial banks on the date of penalty imposition, to employees.
b) The employer that commits the violation specified in Clause 4 of this Article is compelled to pay full amounts of money equal to total sums of compulsory social insurance, compulsory health insurance, and unemployment insurance premiums payable plus interests on such amounts, which are calculated at the highest rate of the demand deposit interest rates publicly quoted by state-owned commercial banks on the date of penalty imposition, to employees.
* Note: The above penalty level for individuals, the penalty level for organizations is double the penalty level for individuals.
Thus, in case the company does not pay enough salaries to employees working night shifts, they will be subject to administrative sanctions according to the following regulations:
- A fine ranging from VND 5.000.000 to VND 10.000.000 shall be imposed if the violation involves 01 - 10 employees;
- A fine ranging from VND 10.000.000 to VND 20.000.000 shall be imposed if the violation involves 11 - 50 employees;
- A fine ranging from VND 20.000.000 to VND 30.000.000 shall be imposed if the violation involves 51 - 100 employees;
- A fine ranging from VND 30.000.000 to VND 40.000.000 shall be imposed if the violation involves 101 - 300 employees;
- A fine ranging from VND 40.000.000 to VND 50.000.000 shall be imposed if the violation involves 301 employees or more.
In addition, the employer that commits the violation specified in Clause 2, Article 17 of Decree 12/2022/ND-CP is compelled to pay full salaries plus interests on late payments or insufficient payments of salary, which are calculated at the highest rate of the demand deposit interest rates publicly quoted by state-owned commercial banks on the date of penalty imposition, to employees.
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