Salary payment is delayed for more than 15 days and additional money must be paid.

The wage for the simplest work under normal working conditions and working hours must not be lower than the regional minimum wage prescribed by the Government; if the salary payment is delayed for 15 days or more, an additional amount must be paid...

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Above are some contents stipulated in the Decree detailing and guiding the implementation of some contents of the Labor Code recently issued by the Government.

Specifically regarding wages, the Decree stipulates that wages paid to employees are based on the wages stated in the labor contract, labor productivity, and the volume and quality of work performed by the employee.

The salary stated in the labor contract is agreed upon by the employee and the employer to perform a certain job, including the salary according to the job or position, salary allowances and other supplements. In which, the salary according to the job or position is the salary in the salary scale, salary table built by the employer according to the provisions of Article 93 of the Labor Code. The salary for the simplest job under normal working conditions and working hours (excluding additional payments when the employee works overtime or works at night) must not be lower than the regional minimum wage prescribed by the Government.

The Decree clearly states that the time of salary payment is agreed upon by both parties and is set at a fixed time of the month. Employees are paid directly, fully and on time.

The employer must pay the employee extra for late payment of wages as follows: If the late payment period is less than 15 days, no extra payment is required.

If the salary payment is delayed by 15 days or more, an additional amount must be paid at least equal to the late payment amount multiplied by the ceiling interest rate for 1-month term deposits announced by the State Bank of Vietnam at the time of salary payment. When the State Bank of Vietnam does not stipulate a ceiling interest rate, it shall be calculated according to the 1-month term deposit interest rate of the commercial bank where the enterprise or agency opens a transaction account as announced at the time of salary payment.

Regarding overtime wages, the Decree stipulates that overtime wages are calculated according to the unit price of wages or actual wages paid for the work being done; specifically, on weekdays, at least 150%; on weekly days off, at least 200%; on holidays, Tet, and paid leave days, at least 300%, not including wages on holidays, Tet, and paid leave days according to the provisions of the Labor Code for employees receiving daily wages.

Annual leave pay

The Decree also stipulates the salary as the basis for paying employees during work suspension, annual leave, holidays, paid personal leave, salary advances and salary deductions.

Specifically, the salary used as the basis for payment to employees for untaken annual leave days or untaken annual leave days in Article 114 of the Labor Code is stipulated as follows:

- For employees who have worked for 6 months or more, it is the average salary stated in the labor contract of the 6 consecutive months before the employee quits or loses his/her job. For employees who have not taken annual leave or have not taken all of their annual leave for other reasons, it is the average salary stated in the labor contract of the 6 consecutive months before the employer calculates to pay in cash for the untaken annual leave days.

- For employees with a working period of less than 6 months, it is the average salary stated in the labor contract for the entire working period.

The salary calculated to be paid to employees for the days of annual leave not taken or not used up is the salary prescribed above divided by the number of normal working days as prescribed by the employer in the previous month immediately before the time the employer calculates the payment, multiplied by the number of days of annual leave not taken or not used up.

According to Chinhphu.vn