Proposal to increase overtime from 40 hours to 72 hours/month

Overtime hours of employees will increase from 40 to 72 hours/month, not limited to some fields but in all occupations.

This is a proposal that has just been sent by the Ministry of Labour, Invalids and Social Affairs to the Government to submit to the National Assembly Standing Committee for promulgation a Resolution on increasing the number of overtime hours in a month and overtime hours in a year.

The Ministry of Labor, War Invalids and Social Affairs proposes to increase overtime in all occupations

According to Mr. Le Van Thanh, Deputy Minister of Labor, War Invalids and Social Affairs, Article 107 of the Labor Code  stipulates that the employer is allowed to negotiate with the employee to work overtime for no more than 40 hours/month, and at the same time only one a number of industries, trades and jobs (such as textiles, leather, shoes, seafood processing...) are allowed to work overtime from over 200 hours to 300 hours/year.

However, due to the Covid-19 pandemic lasting 2 years, especially the 4th wave of epidemics disrupting production, businesses lacked labor, especially at the end of the year; plus during the impact of the Covid-19 pandemic, due to a labor shortage, a part of the labor force applying "3 on the spot" has the need to work more than 40 hours in a month to compensate for the labor force. shortage, ... so when the production organization resumes, many businesses and employees also want to agree to work overtime to restore production, make up for the time they have to stop working, with the demand. overtime work over 40 hours/month and from over 200 hours to 300 hours/year without being limited to a number of occupations and jobs.

“The great need of businesses today is to have mechanisms and policies to focus on production as soon as the epidemic is under control. If there are no mechanisms and policies for businesses to recover, it can easily lead to the risk of slowing down the economic development momentum, becoming less attractive in attracting investment, and possibly transferring investment to other countries with mechanisms. better policies”, Mr. Thanh shared.

After receiving feedback from businesses and business associations about the workforce and the application of regulations on overtime, to ensure production activities and avoid supply chain disruptions , maintaining jobs and attracting investment, the Ministry of Labour, Invalids and Social Affairs proposes that the maximum number of overtime hours in a month increase from 40 hours to 72/month; The ceiling for overtime hours in the year increases from 200 to 300 hours/year and is applicable to all occupations, agreed upon by the employer and the employee.

The policy is expected to apply until December 31, 2022. Depending on the actual situation, if necessary, the Government will report to the National Assembly for consideration and decision at the 4th session of the XV term in October 2022.

According to the Ministry of Labour, Invalids and Social Affairs, if there is no policy for businesses to recover, it will easily lead to the risk of slowing down the economic development momentum, making it less attractive in attracting investment, and possibly businesses shifting investment to other countries. Other countries have better mechanisms. The proposed overtime work will contribute to limiting the risk of supply chain disruptions, reducing negative impacts on many economic sectors of Vietnam such as agricultural products, aquatic products, seafood...

Source: Thanh niên

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