How are employees working during the Tet holiday 2021 in Vietnam compensated?

There are only 4 months left until everyone can rest and enjoy the Tet holiday 2021 after a year of hard work. However, some workers, due to economic needs, will still work during the New Year. In this case, how will employees be compensated in Vietnam?

Tet  Am  lich  2021

How are employees working during the Tet holiday 2021 in Vietnam compensated? (Illustrative image)

Are employers in Vietnam allowed to requested employees to work during Tet holiday 2021?

According to Clause 1, Article 112 of the 2019 Labor Code (effective January 1, 2021), employees are entitled to leave with full pay on the following holidays and Tet:

- New Year's Day: 1 day (January 1);

- Tet (Lunar New Year): 5 days;

- Victory Day: 1 day (April 30);

- International Labor Day: 1 day (May 1);

- National Day: 2 days (September 2 and either the day before or after);

- Hung Kings' Festival: 1 day (10th day of the 3rd lunar month).

Additionally, under Point a, Clause 2, Article 107 of the 2019 Labor Code, one of the requirements for enterprises to use overtime labor is the consent of the employee.

Thus, according to the above regulations in Vietnam, Tet holiday 2021 is a benefit for each employee. However, depending on the needs and nature of the work, enterprises have the right to require employees to work during Tet, but must have the employee's consent and must pay wages in accordance with the law when working additional hours during the Tet holiday.

How are employees working during the Tet holiday 2021 in Vietnam compensated?

Employees working during Tet holiday 2021 in Vietnam are considered working overtime during holidays. Therefore, the total salary for working on Tet holiday 2021 includes the holiday pay and overtime pay.

To be specific, according to Article 98 of the 2019 Labor Code, enterprises must pay employees based on the wage unit price or the actual wage paid for the work being done when using overtime labor as follows:

- Overtime on regular days: at least 150%;

- Overtime on weekly rest days: at least 200%;

- Overtime on holidays, Tet, paid leave days: at least 300% not including the wage of the holiday, Tet, or paid leave day.

- If employees work at night, they are entitled to an additional 30% of the wage calculated based on the wage unit price or the actual wage of a regular working day.

- In addition to the above wage payment regulations, employees working overtime at night are also entitled to an additional 20% of the wage calculated based on the wage unit price or the wage for daytime work on a regular working day or a weekly rest day or a holiday, Tet day.

Thus, according to the above regulations, employees will be entitled to at least 300% of a regular day and 100% of the holiday, Tet, or paid leave day for employees who are paid daily. Especially, in the case employees work overtime at night on Tet holiday 2021, they will be entitled to at least 300% of a regular day's wage (excluding the Tet wage if they are paid daily), an additional 30% of the regular day's wage, and an additional 20% of the Tet wage.

The total salary for working overtime at night on Tet = (300% x A) + (30% x A) + 20% x (300% x A)

**(Note: A is the regular daily wage)

Ty Na

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