{"id":1904,"date":"2021-05-18T21:27:31","date_gmt":"2021-05-18T12:27:31","guid":{"rendered":"http:\/\/suzuki-global.com\/?p=1904"},"modified":"2021-12-19T15:16:53","modified_gmt":"2021-12-19T06:16:53","slug":"overtime-work-regulations","status":"publish","type":"post","link":"https:\/\/suzuki-global.com\/en\/overtime-work-regulations\/","title":{"rendered":"Vietnam overtime regulation, overtime fee and compensation"},"content":{"rendered":"<h2>Vietnam overtime regulation, overtime fee and compensation<\/h2>\r\n\r\n\r\n\r\n<p>Overtime hours and their regulations refer to the hours worked in excess of normal working hours in Vietnam.<br \/>Understanding overtime is very important in calculating the cost of a company doing business in a country.<\/p>\r\n\r\n\r\n\r\n<p>We will briefly explain the laws and compensation that regulate overtime hours, and the comparison with neighboring countries in Vietnam.<br \/>Many of the reasons manufacturing companies are paying attention to Vietnam are the low labor costs in Vietnam.<br \/>Especially recently, the transfer from China to Vietnam, including Chinese companies, has become conspicuous because labor costs are cheaper than in China.<\/p>\r\n\r\n\r\n\r\n<p>The fact that work rules and overtime regulations can be said as a whole has many aspects similar to those adopted in China as the overtime and night shift rules of the Socialist Republic.<\/p>\r\n\r\n\r\n\r\n<p>And while it&#039;s important to understand the normal wage system,<br \/>It is also very important to consider the overtime rules that apply to a particular business.<\/p>\r\n\r\n\r\n\r\n<p>The Government of Vietnam lists all these regulations in the new Labor Code of 2019 (Law No. 45\/2019 \/ QH14) and Decree 145\/2020 \/ ND-CP. These laws and guidelines are important for many companies considering expanding into Vietnam for the purpose of labor costs.<\/p>\r\n\r\n\r\n\r\n<h2>What is Vietnam&#039;s overtime regulation?<\/h2>\r\n\r\n\r\n\r\n<figure class=\"wp-block-image size-large\"><a href=\"http:\/\/suzuki-global.com\/wp-content\/uploads\/2021\/05\/overtime-work.png\"><img loading=\"lazy\" src=\"http:\/\/suzuki-global.com\/wp-content\/uploads\/2021\/05\/overtime-work.png\" alt=\"overtime-work\" class=\"alignnone wp-image-1906\" width=\"588\" height=\"398\" \/><\/a><\/figure>\r\n\r\n\r\n\r\n<p>It is very important for employers to understand the definition of overtime.<br \/>Understanding where and how much is defined as overtime means maximizing productivity in time constraints.<\/p>\r\n\r\n\r\n\r\n<p>Normal working hours cannot exceed 8 hours a day and 48 hours a week.<\/p>\r\n\r\n\r\n\r\n<p>For employees who work in heavy labor or dangerous environments, the law may limit working hours separately.<br \/>For example, there are provisions to limit labor restrictions due to exposure to dangerous substances and chemical substances, and if workers exceed these restrictions, overtime pay will be applied.<\/p>\r\n\r\n\r\n\r\n<p>In general, working beyond a set time threshold is usually overtime.<br \/>Overtime hours include weekends, public holidays, and nights (between 22:00 and 6:00)<\/p>\r\n\r\n\r\n\r\n<h2>Calculation and compensation of overtime pay in Vietnam<\/h2>\r\n\r\n\r\n\r\n<p>If the company causes overtime, the employee is obliged to compensate the employee beyond the normal wage.<br \/>This applies to all employees, regardless of the wages offered.<\/p>\r\n\r\n\r\n\r\n<ul>\r\n<li>Weekday overtime 150%<\/li>\r\n<li>Weekend overtime 200%<\/li>\r\n<li>Overtime on public holidays and paid leave 300%<\/li>\r\n<li>Midnight 300%<\/li>\r\n<\/ul>\r\n<p><a href=\"https:\/\/suzuki-global.com\/en\/calculator-apps\/overtime-fee-apps\/\" target=\"_blank\" rel=\"noopener\"><span style=\"color: #0000ff;\"><strong>\u21d2Actually calculate overtime pay<\/strong><\/span><\/a><\/p>\r\n\r\n\r\n\r\n<h3>Regulations on overtime pay in Vietnam<\/h3>\r\n\r\n\r\n\r\n<p>Note: There is a limit to the amount of overtime an employee can work.<br \/>According to the new labor law, overtime hours will be changed from the traditional 30 hours to 40 hours and cannot be exceeded.<br \/>In addition, up to 300 hours of overtime per year is permitted.<br \/>These include highly technically qualified personnel in electronic products and manufacturing.<\/p>\r\n\r\n\r\n\r\n<h2>Pregnant, overtime work for minor employees<\/h2>\r\n\r\n\r\n\r\n<h3>Female employees during pregnancy and after childbirth<\/h3>\r\n\r\n\r\n\r\n<p>Women from the 7th month of pregnancy to the 12th month after childbirth are not allowed to work overtime, work late at night or travel long hours.<br \/>Women engaged in hard work should either move to light work or reduce their working hours.<\/p>\r\n\r\n\r\n\r\n<h3>Vietnamese labor law for minors<\/h3>\r\n\r\n\r\n\r\n<p>Vietnam Labor Law also provides strict regulations for minors who are workers under the age of 18.<br \/>Workers of the target age are prohibited from working in dangerous environments.<br \/>Underage employees between the ages of 15 and 18 can work up to 8 hours a day, 40 hours a week.<br \/>For workers under the age of 15, regulations stipulate that the maximum working hours are 4 hours a day and 20 hours a week, and overtime and night work are not permitted.<br \/>Working hours under the age of 13 will be further reduced to one hour a day.<\/p>\r\n\r\n\r\n\r\n<h2>Vietnam&#039;s overtime regulations and comparison with China<\/h2>\r\n\r\n\r\n\r\n<p>Chinese labor law provides similar regulations for employees.<br \/>Employees who work overtime are paid at least 150% overtime.<br \/>200% for work done on breaks \/ weekends.<br \/>Chinese workers are limited to one hour of overtime per day and can be up to three hours under special circumstances.<br \/>Overtime hours are limited to 36 hours per month.<\/p>\r\n\r\n\r\n\r\n<p>Wages in China have continued to rise, and recently, attention has been focused on the ASEAN region.<br \/>In particular, Vietnam has a high location advantage, but its labor cost is still low compared to Thailand, Malaysia, etc.<br \/>It is expected that the flow of more companies expanding into Vietnam will continue in the future.<\/p>\r\n<p>&nbsp;<\/p>\r\n<div id=\"attachment_2098\" style=\"width: 560px\" class=\"wp-caption alignleft\"><a href=\"https:\/\/suzuki-global.com\/en\/calculator-apps\/overtime-fee-apps\/\"><img aria-describedby=\"caption-attachment-2098\" loading=\"lazy\" src=\"http:\/\/suzuki-global.com\/wp-content\/uploads\/2021\/05\/overtime-working.jpg\" alt=\"overtime-working\" width=\"550\" height=\"180\" class=\"wp-image-2098 size-full\" \/><\/a><p id=\"caption-attachment-2098\" class=\"wp-caption-text\"><a href=\"https:\/\/suzuki-global.com\/en\/calculator-apps\/overtime-fee-apps\/\">Extra wage (overtime pay) calculation app<\/a><\/p><\/div>\r\n<p>&nbsp;<\/p>\r\n<p><a href=\"https:\/\/suzuki-global.com\/en\/establishment-of-foreign-company-in-vietnam-process-of-issuing-investment-registration-certificate-irc-and-enterprise-registration-certificate-erc\/\"><img loading=\"lazy\" src=\"http:\/\/suzuki-global.com\/wp-content\/uploads\/2020\/03\/ho-chi-minh-city.jpg\" alt=\"ho-chi-minh-city\" width=\"485\" height=\"323\" class=\"alignnone  wp-image-465\" srcset=\"https:\/\/suzuki-global.com\/wp-content\/uploads\/2020\/03\/ho-chi-minh-city.jpg 1920w, https:\/\/suzuki-global.com\/wp-content\/uploads\/2020\/03\/ho-chi-minh-city-600x400.jpg 600w, https:\/\/suzuki-global.com\/wp-content\/uploads\/2020\/03\/ho-chi-minh-city-768x512.jpg 768w, https:\/\/suzuki-global.com\/wp-content\/uploads\/2020\/03\/ho-chi-minh-city-1536x1024.jpg 1536w, https:\/\/suzuki-global.com\/wp-content\/uploads\/2020\/03\/ho-chi-minh-city-360x240.jpg 360w\" sizes=\"(max-width: 485px) 100vw, 485px\" \/><\/a><\/p>\r\n<p><strong><a href=\"https:\/\/suzuki-global.com\/en\/establishment-of-foreign-company-in-vietnam-process-of-issuing-investment-registration-certificate-irc-and-enterprise-registration-certificate-erc\/\">\u21d2 Vietnam&#039;s IRC \/ ERC (Investment Registration Certificate \/ Company Registration Certificate) Issuance Process<\/a><\/strong><\/p>\r\n<p>&nbsp;<\/p>\r\n\r\n\r\n\r\n\r\n<figure class=\"wp-block-table\"><\/figure>","protected":false},"excerpt":{"rendered":"<p>Vietnam&#039;s overtime regulations, overtime pay and compensation Overtime hours and their regulations work beyond normal working hours in Vietnam [\u2026]<\/p>","protected":false},"author":1,"featured_media":1906,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[6,74],"tags":[16,119],"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/suzuki-global.com\/en\/wp-json\/wp\/v2\/posts\/1904"}],"collection":[{"href":"https:\/\/suzuki-global.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/suzuki-global.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/suzuki-global.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/suzuki-global.com\/en\/wp-json\/wp\/v2\/comments?post=1904"}],"version-history":[{"count":20,"href":"https:\/\/suzuki-global.com\/en\/wp-json\/wp\/v2\/posts\/1904\/revisions"}],"predecessor-version":[{"id":7158,"href":"https:\/\/suzuki-global.com\/en\/wp-json\/wp\/v2\/posts\/1904\/revisions\/7158"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/suzuki-global.com\/en\/wp-json\/wp\/v2\/media\/1906"}],"wp:attachment":[{"href":"https:\/\/suzuki-global.com\/en\/wp-json\/wp\/v2\/media?parent=1904"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/suzuki-global.com\/en\/wp-json\/wp\/v2\/categories?post=1904"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/suzuki-global.com\/en\/wp-json\/wp\/v2\/tags?post=1904"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}