Can Employees Receive an Advance on Their Salary for Tet 2023? What is the Maximum Number of Months' Salary That Can Be Advanced?
What are the provisions for advance salary payment?
Currently, the law does not provide a specific definition for advance salary payment. However, advance salary payment can be understood as an arrangement where the employee receives a portion or the entire salary of the month before the employer's scheduled payday according to the labor contract.
Advance salary payment is stipulated in Article 101 of the 2019 Labor Code as follows:
Advance Salary Payment
1. The employee is entitled to an advance salary under conditions agreed upon by both parties and is not subject to interest charges.
2. The employer must provide an advance salary to the employee equivalent to the number of days the employee temporarily takes leave to perform civil obligations for one week or more, but not exceeding one month's salary according to the labor contract, and the employee must repay the advanced amount.
Employees enlisting in accordance with the Military Service Law are not entitled to an advance salary.
3. During annual leave, the employee is entitled to an advance payment at least equal to the salary of the days taken off.
The employee can negotiate with the employer regarding advance salary payment. The advanced salary will not be subject to interest charges by the employer.
The employer must provide an advance salary to the employee corresponding to the number of days the employee temporarily takes leave to perform civil obligations for one week or more but not exceeding one month's salary according to the labor contract, and the employee must repay the advanced amount.
According to Article 97 of the 2019 Labor Code about advance salary payment:
Salary Payment Period
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3. Employees paid according to products or contracts shall be paid based on the agreement between both parties; if the work takes several months to complete, an advance salary corresponding to the amount of work done in the month shall be provided.
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Additionally, Clause 2, Article 128 of the 2019 Labor Code specifies:
Temporary Work Suspension
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2. The suspension period shall not exceed 15 days, and in special cases, it shall not exceed 90 days. During the suspension, the employee is entitled to an advance salary of 50% of the salary before the suspension.
Thus, based on the above regulations, employees are allowed to advance salary in the following cases:
- When agreed upon with the employer (no interest charged);- The employee temporarily takes leave to perform civil obligations for one week or more;- The employee takes annual leave but it is not yet payday;- The employee is paid according to products or contracts if the work takes several months to complete;- The employee is suspended from work temporarily.
Can employees advance their salary to take leave for Tet 2023? How many months of salary can be advanced?
Can employees advance their salary to take leave for Tet 2023?
Employees may advance their salary if they fall under the 05 cases stipulated in Article 101 of the 2019 Labor Code, Clause 3, Article 97 of the 2019 Labor Code, and Clause 2, Article 128 of the 2019 Labor Code.
Furthermore, based on Clause 1, Article 101 of the 2019 Labor Code, advance salary payment is conducted based on the agreement between the employee and the employer.
Therefore, when an employee needs an advance salary for Tet leave, they can fully negotiate and reach an agreement with the employer to receive an advance on the salary for January 2023.
What is the maximum amount of advance salary?
According to Article 101 of the 2019 Labor Code, Clause 3, Article 97 of the 2019 Labor Code, and Clause 2, Article 128 of the 2019 Labor Code, the maximum amount of advance salary under each advance scenario is as follows:
- A maximum of one month's salary in the case where the employee temporarily takes leave to perform civil obligations for one week or more;- An amount at least equal to the salary of the days taken off when the employee takes annual leave;- Based on the amount of work done in the month for employees paid according to products or contracts;- 50% of the salary when the employee is temporarily suspended;- In the case of an agreement, the advance amount is decided based on the mutual agreement between the employee and the employer. Usually, the advanced salary can range from 30%, 50%, 70%, up to a maximum of 100%.
Thus, the maximum amount an employee can receive when advancing salary for Tet 2023 is 100% of one month's salary.
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