How to pay salary for Employee during the Covid 19 (NCOV) epidemic, Vietnam Labour Law, Vietnam labor law

Vietnam labour law: How to pay salary for employees during the Covid 19 (NCOV)

During the past time, due to the impact of Covid – 19 epidemic production and business of many enterprises have encountered difficulties. The question is how to pay salary to employees during the Covid 19 (NCOV)? Recently, Ministry Of Labour, War Invalids And Social Affairs has issued guidance on this with the following highlights.

Workers have to stop working from effects of epidemics

Due to the Covid 19 (NCOV) epidemic, some enterprises have to suspend or narrow production, some workers have to stop working from effects of epidemics such as:

  1. foreign workers have not returned to the enterprise during the epidemic period as prescribed;
  2. workers must perform quarantine at the request of competent authority;
  3. the employee has to stop working because the enterprise or the enterprise division cannot operate because other workers have not returned to work at the request of the competent authority;
  4. the enterprise  encountering difficulties due to epidemics affecting the source of raw materials and markets, leading to a narrowing of production and insufficient job placement for laborers.
How to pay salary for Employee during the Covid 19 (NCOV) epidemic, Vietnam Labour Law, Vietnam labor law
How to pay salary for Employee during the Covid 19 (NCOV) epidemic, Vietnam Labour Law

From the above reality, in order to implement the salary payment regime during the period of work stoppage and settle the cover for employees in accordance with the labor law, the Ministry of Labor, War Invalids and Social Affairs requests the Department of Labor, War Invalids and Social Affairs instruct enterprises in the area as follows:

  1. The payment of job discontinuation shall comply with the provisions of Article 98 of the Vietnam Labour Code to consider cases of job discontinuation (due to the fault of the employer or the employee or due to objective causes) to determine the payment for employees.
  2. In case the employee has to stop working due to the direct impact of the Covid – 19 epidemic, such as: (i) the foreign worker has not returned to the enterprise at the request of the competent authority;  (ii) the employee has to stop working during the quarantine period at the request of the competent authority;  (iii) the employee has to stop working because the enterprise or its division cannot work because the employer or other workers in the same enterprise or enterprise are in the quarantine period or have not returned to the enterprise, the employee’s salary during the period of suspension shall comply with Clause 3, Article 98 of the Labor Code, the wage agreed by the two parties but not lower than the minimum wage level  regulated by the Government.
  3. In case the enterprise meets with difficulties in material sources and the market leads to not having enough jobs, the employer may temporarily transfer the employee to work for other jobs compared to the labor contract in accordance with Article 31 of the Labor Code; if the prolonged period of stoppage affects the solvency of the enterprise, the employer and the employee may agree to postpone the performance of the labor contract in accordance with Article 32 of the Labor Code; If the enterprise has to narrow its production, leading to a reduction in the working place, the labor arrangement shall comply with Article 38 or 44 of the Labor Code.

For other arising cases, the Department of Labor, Invalids and Social Affairs is requested to base on each specific content and case to guide the settlement in accordance with law or report to the Ministry of Labor, Invalids and Social Affairs for guidance and timely handling./.

If you have any legal issue on labour dispute in Vietnam, you could contact ASL LAW, Vietnam Labour law Firm.

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