Question:
Dear Lawyer, in our company's internal regulations and labor agreements, the following is stated:
"1. Working hours: 08:00 - 17:00, lunch break from 12:00 - 13:00, Monday to Saturday, not exceeding 48 hours per week and 10 hours per day.
The company encourages employees to complete their work early to take Saturdays off. Department managers will decide based on the workload in their respective departments. If the work is completed, the manager may approve fully paid leave on Saturdays. If employees are required to work on Saturdays due to job demands, the company will provide an additional payment equivalent to 100% of the regular daily wage.
Employees in management-level salary grades are required to fulfill their job responsibilities. If employees work overtime, they will be compensated with time off or paid additional wages within the month."
If working hours do not exceed 48 hours per week, the standard number of working days used for calculating wages and salaries is 26 days.
However, currently, we are using 24 days as the standard number of working days. Is this against the law?
Response:
Regarding this matter, SB Law provides the following advice:
The company's policy of setting the standard number of working days at 24, while employees are scheduled to work no more than 48 hours per week corresponding to 26 standard working days, is not in compliance with the labor law.
According to Articles 105 and 111 of the 2019 Labor Code, the normal working hours for employees shall not exceed 8 hours per day, 48 hours per week, and employees are entitled to an average of at least 4 days off per month.
Based on Point a3, Clause 1, Article 54 of Decree 145/2020/ND-CP on Wage Payment Methods:
"In cases where the labor contract stipulates a monthly salary, the daily wage is determined by dividing the monthly salary by the number of normal working days in the month as determined by the law and chosen by the enterprise."
Accordingly, although the current Labor Code does not specifically regulate the number of working days per month, with the provision that working hours shall not exceed 8 hours per day, if an enterprise chooses a 40-hour workweek, the standard number of working days per month would not exceed 24 days, if an enterprise chooses a 48-hour workweek, the standard number of working days per month would not exceed 26 days.
Thus, for employees working 48 hours per week, the standard number of working days is 26. Therefore, applying a 24-day standard for wage calculation, based on the company's internal regulations and labor agreement, does not align with both the company's policies and the labor law.
To ensure compliance with the law and minimize risks, SB Law recommends that the company adjust the standard number of working days to accurately reflect the employees' working hours as stipulated in the internal labor regulations.
