Circular No. 14/1999/TT-BLDTBXH guiding the implementation of working hours and rest periods for workers engaged in seasonal production work and export processing based on orders.

CIRCULAR

To implement the working hours and rest time regime for workers engaged in seasonal production activities and export processing work based on orders.

Implementing Decree No. 10/1999/NĐ-CP dated March 1, 1999 of the Government regarding the supplementation of Decree No. 195/CP dated December 31, 1994 of the Government "providing detailed regulations and guidance on implementing certain provisions of the Labor Code concerning working hours and rest time," the Ministry of Labor - Invalids and Social Affairs stipulates and guides the implementation of the working hours and rest time regime for workers engaged in seasonal production activities and export processing work based on orders as follows:

I. OBJECTS AND SCOPE OF APPLICATION

1. The scope of application includes the following enterprises and production and business establishments:

- State-owned enterprises;

- Other economic sector enterprises;

- Enterprises belonging to other economic sectors and organizations and individuals employing labor.

2. The subjects of application include workers with fixed-term employment contracts from one to three years and indefinite-term employment contracts performing the following jobs:

- Seasonal production jobs such as harvesting and processing agricultural, forestry, and fishery products that require immediate harvesting or processing right after harvesting without long-term storage;

- Processing export goods according to orders, which often depend on the time requested by customers.

II. WORKING HOURS AND REST PERIODS

1. Working hours for the aforementioned subjects are regulated as follows:

2.1. The standard number of working hours per day shall be determined as follows:

a) Calculating the annual standard working hour quota:

d.1. Amount of taxable income in Vietnam:_{Article 24} = [365 - (T_{organize credit institutions, foreign bank branches are responsible for organizing the implementation of this Circular.}+ T_{"5. The pre-tax weighted average cost of capital i (%) is determined according to the formula below:} + T_L )] x t_n (hours)

+ T_{Article 24}: Standard annual working hour quota for workers;

+ T_{organize credit institutions, foreign bank branches are responsible for organizing the implementation of this Circular.}: Total weekly rest days as prescribed in Article 72 of the Labor Code;

+ T_{"5. The pre-tax weighted average cost of capital i (%) is determined according to the formula below:}: Annual leave days as prescribed in Articles 74 and 75 of the Labor Code, Point 3, Section II of Circular No. 07/LĐTBXH-TT dated April 11, 1995;

+ T_L: Public holiday days: 8 days;

+ t_n: Working hours in a day: 8 hours; specifically for workers engaged in particularly arduous, dangerous, and toxic jobs, it is 6 hours.

Example 1: Company A's annual standard working hour quota in 1999 is as follows:

b) Determining the standard number of working hours per day.

Based on the annual standard working hour quota (T_{Article 24}) calculated above, employers determine the standard number of working hours per day for workers as follows:

b1) Normal working day: 8 hours; specifically for workers engaged in particularly arduous, dangerous, and toxic jobs, it is 6 hours;

b2) Working day exceeding 8 hours but not more than 12 hours; specifically for workers engaged in particularly arduous, dangerous, and toxic jobs, it is more than 6 hours but not more than 9 hours. Overtime hours exceeding 8 hours per day (or 6 hours per day for workers engaged in particularly arduous, dangerous, and toxic jobs) are not counted as overtime hours;

b3) Working day less than 8 hours but not less than 4 hours. Employers are not required to pay wages for the difference in hours compared to normal working hours. Workers are not arranged to work less than 4 hours;

b4) Full-day off without wage payment for idle time.

- The total number of working hours mentioned in point b above (including hours counted as paid working hours under current Labor Code regulations) does not exceed the annual standard working hour quota. For each specific worker, employers must arrange for them to have personal leave with pay, breastfeeding leave, and other leave as they actually enjoy according to current Labor Code regulations.

If the standard number of working hours per day has been determined but not arranged for workers to work, employers must pay wages for idle time.

Example 2: Determining the standard number of working hours per day for Company A:

1.2. Overtime hours

a) Hours worked by workers exceeding the standard number of working hours per day determined in point b of Item 1.1 above shall be counted as overtime hours.

b) The total number of standard working hours and overtime hours in a day shall not exceed 12 hours or 9 hours for workers engaged in particularly arduous, dangerous, and toxic jobs.

Example 3: According to the example above, due to urgent requirements, in April, Company A must work overtime. Company A can organize and implement as follows:

- From Monday to Friday of the second week, overtime cannot be organized;

- From Monday to Friday of other weeks, maximum 1 hour of overtime can be organized;

- On Saturdays every week, maximum 4 hours of overtime can be organized.

c) The total number of overtime hours in a year shall not exceed 200 hours/person.

2. Rest time:

2.1 Excess hours over 8 hours in the standard working hours per day can be used for compensatory rest or reduced hours when the seasonal period ends or there are no export processing orders;

2.2 During months of peak season or rush export processing based on orders, if weekly rest cannot be implemented, employers must ensure at least 4 rest days per month for workers;

2.3 Rest periods during shifts, shift breaks, and transitional breaks between shifts for workers shall be implemented according to current Labor Code regulations; in cases where workers work more than 10 hours in a day, employers must arrange at least 30 minutes of additional rest, which is included in working hours;

2.4 Employers organize for workers to have rest days, compensatory rest days for holidays and festivals, and implement annual leave, personal leave, and other leave for workers according to current Labor Code regulations.

III. IMPLEMENTATION

1. Employers are responsible for:

- Pursuant to the provisions of this Circular, the employer shall coordinate with the grassroots trade union regarding the annual working hours and rest periods plan, and incorporate it into the collective labour agreement and employment contracts. The monthly working hour schedule must be publicly announced and posted at relevant workshops, teams, and production units; in cases where enterprises have not established trade unions, the annual working hours and rest periods plan must be approved at the enterprise's workers' and staff congress;

- The employer shall be responsible for negotiating with employees on the method of paying wages on a seasonal basis or evenly throughout the year;

- Annually, enterprises that wish to operate under the provisions of this Circular must register with the provincial Department of Labour, Invalids and Social Affairs according to the attached form. The Department of Labour, Invalids and Social Affairs may delegate the management boards of industrial zones in centrally governed cities and provinces to receive the registration plans for working hours and rest periods from enterprises within industrial zones, export processing zones, and high-tech parks, and submit them to the Department of Labour, Invalids and Social Affairs;

2. The provincial Departments of Labour, Invalids and Social Affairs shall be responsible for guiding the implementation of this Circular to units and enterprises within their jurisdiction; receiving registrations and organizing inspections and audits of its implementation;

3. This Circular shall take effect fifteen days from the date of signature. Any difficulties encountered during implementation should be reported to the Ministry of Labour, Invalids and Social Affairs for resolution.