Labor Code 2019 was passed during the 8th session of the 14th National Assembly on November 20, 2019, and officially came into effect on January 1, 2019. One of the notable new contents in this Code is the regulation on the principles of salary payment and bonuses for employees.
Article table of contents
Labor Code 2019: New regulations on salary and bonus for employees (Illustrative photo)
LABOR CODE 2019 (OFFICIAL)
To be specific, according to the provisions of Article 94 of the Labor Code 2019, employers are required to pay salaries directly, fully, and on time to employees. However, in cases where the employee cannot directly receive the salary, the employer may pay the salary to a person authorized by the employee. (The current Labor Code 2012 only stipulates that the employee must be directly paid in full and on time without allowing the employer to pay to an authorized person.)
At the same time, the Labor Code 2019 also emphasizes that employers are not allowed to restrict or interfere with the employees' autonomy in spending their salaries, and may not compel employees to spend their salaries on purchasing goods or using services provided by the employer or by other entities designated by the employer.
Additionally, the Labor Code 2019 has expanded the forms of bonuses for employees compared to the Labor Code 2012. Accordingly, a bonus can be money, assets, or in other forms that the employer grants to the employee based on production and business results and the level of work performance of the employee. (The Labor Code 2012 only stipulated that a bonus was a specific amount of money and did not include other forms.)
View the full contents of the Labor Code 2019 HERE****.
Nguyen Trinh
