Is it possible for employees to work on Sundays and receive salary payment as usual and then have compensatory time-off in Vietnam?
Is it possible for employees to work on Sundays and receive salary payment as usual and then have compensatory time-off in Vietnam? If I suspend my employees' work due to water outage, will I have to pay suspension pay in Vietnam? Is it necessary to re-sign a employment contract after it has been converted into an indefinite-term contract in Vietnam? Looking forward to your support
Is it possible for employees to work on Sundays and receive salary payment as usual and then have compensatory time-off in Vietnam?
In case an enterprise arranges employees to work on normal Sundays and then arranges a compensatory time-off during the week, is it possible? Hope to receive a response soon.
Reply:
In Article 111 of the 2019 Labor Code, there are regulations on weekly breaks as follows:
1. Each week an employee is entitled to a break of at least 24 consecutive hours. Where it is impossible for the employee to have a weekly day off due to the work cycle, the employer has the responsibility to ensure that on average the employee has at least 04 days off per month.
2. The employer has the right to determine and schedule the weekly breaks either on Sunday or for another fixed day in a week, which must be recorded in the internal labor regulations.
3. In case a public holiday falls on an employee’s weekly break coincide with a public holiday as prescribed in Clause 1 Article 112 of this Labor Code, he/she will have compensatory time-off on the next working days.
Thus, according to the above regulations in Vietnam, businesses must arrange for employees to have 1 day off per week. That day off can be defined as Sunday or other days of the week.
So in the above case, the enterprise is allowed to arrange for employees to work on Sundays and receive salaries as usual and arrange for employees to have compensatory time-off during the week in Vietnam.
Is it possible for employees to work on Sundays and receive salary payment as usual and then have compensatory time-off in Vietnam? (Image from the Internet)
If I suspend my employees' work due to water outage, will I have to pay suspension pay in Vietnam?
I received notice that my plant's water supply was stopped for two days to upgrade and repair pipes. I let the employees rest because without water, production cannot be done. In this case, do I have to pay workers for these two days off?
Reply:
Pursuant to Clause 3, Article 99 of the 2019 Labor Code has regulations on termination pay as follows:
3. In case the suspension is caused by an electricity or water supply issue that is not at the employer’s fault, or by a natural disaster, fire, major epidemic, hostility, relocation requested by a competent authority, or for economic reasons, both parties shall negotiate the salary as follows:
a) If the suspension does not exceed 14 working days, the salary shall not fall below the statutory minimum wages;
b) If the suspension is longer than 14 working days, the salary shall be negotiated by both parties and the salary for the first 14 days must not fall below the statutory minimum wages.
Thus, according to the above regulations in Vietnam, when giving an employee less than 14 days off due to an electricity or water problem that is not the employer's fault, the employee and the employer shall agree on the suspension pay.
In your case, you still have to pay your employees. The salary for termination of employment is agreed upon by both parties, but must not be lower than the statutory minimum wage in Vietnam.
Is it necessary to re-sign a employment contract after it has been converted into an indefinite-term contract in Vietnam?
The Labor Code stipulates that "If at the end of 30 days from the date of expiration of the employment contract, the two parties do not sign a new employment contract, the contract has been concluded as prescribed in Point b, Clause 1 of this Article become an indefinite-term contract. So let me ask in this case, is it necessary to re-sign an indefinite-term employment contract?
Point b Clause 2 Article 20 of the 2019 Labor Code stipulates:
2. If an employee keeps working when an employment contract mentioned in Point b Clause 1 of this Article expires:
a) Within 30 days from the expiration date of the employment contract, both parties shall conclude a new employment contract. Before such a new employment contract is concluded, the parties’ rights, obligations and interests specified in the old employment contract shall remain effective;
b) If a new employment contract is not concluded after the 30-day period, the existing employment contract mentioned in Point b Clause 1 of this Article shall become an employment contract of indefinite term;
c) The parties may enter into 01 more fixed-term employment contract. If the employee keeps working upon expiration of this second fixed-term employment contract, the third employment contract shall be of indefinite term, except for employment contracts with directors of state-invested enterprises and the cases specified in Clause 1 Article 149, Clause 2 Article 151 and Clause 4 Article 177 of this Labor Code.
Point b Clause 1 Article 20 of the 2019 Labor Code regulates the type of fixed-term employment contract.
b) A fixed-term employment contract is a contract in which the two parties fix the term of the contract for a duration of up to 36 months from the date of its conclusion.
And there are no regulations that require the parties to sign an indefinite-term employment contract in this case. In our opinion, the signed contract will automatically be converted and will be valid as an indefinite term contract in Vietnam.
So whether or not to re-sign the contract is not mandatory in Vietnam.
Best regards!
