From January 1, 2021, Annual Leave Days Will Be Calculated Favorably for Employees Who Do Not Work Full Year

This is a noteworthy content mentioned in the Draft Decree detailing some provisions of the Labor Code regarding working hours and rest periods.

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Specifically, Clause 2, Article 113 of the Labor Code 2019 stipulates annual leave as follows:

2. Employees who have not worked for 12 months for an employer shall have annual leave calculated proportionally to the number of months worked.

The current draft has specified the calculation method of annual leave for cases of working less than a year as follows:

The method of calculating annual leave stipulated in Clause 2, Article 113 of the Labor Code is as follows:

1. For the months in which the employee has worked for 12 days or more, it is considered as one full working month to calculate annual leave. (This provision is not specified in Article 7 of Decree 45/2013/ND-CP)

2. The number of annual leave days for employees who have not worked for 12 months shall be calculated as follows: Take the number of annual leave days plus additional days off according to seniority (if any), divide by 12 months, multiplied by the actual number of working months in the year to calculate the number of annual leave days; round up to the nearest whole number, if the decimal part is 0.5 or more, round up to the nearest unit.

Thus, according to this Draft, for example, if an employee works for a period of 5 months and 12 days:

- An employee working under normal conditions for 5 months and 12 days would be entitled to 6 days of annual leave, also known as 6 days of annual leave. (This group has 12 days of annual leave for the full duration of 12 months)

- Juvenile workers, workers with disabilities, and those doing heavy, hazardous, or dangerous jobs working for 5 months and 12 days would be entitled to 7 days of annual leave. (This group has 14 days of annual leave for the full duration of 12 months)

- Workers doing particularly heavy, hazardous, or dangerous jobs working for 5 months and 12 days would be entitled to 8 days of annual leave. (This group has 16 days of annual leave for the full duration of 12 months)

This is a new regulation beneficial for employees who have not worked for a full month to enjoy annual leave days. If this Draft is passed, this provision will be applied from January 01, 2021.

Details of the Draft Decree stipulating specific provisions of the Labor Code regarding working hours and rest periods can be found HERE.

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