Regulations on annual leave are stipulated in the 2019 Labor Code, effective from January 1, 2021, and Decree 145/2020/ND-CP, effective from February 1, 2021, which specifies the method for calculating annual leave as follows:
Regulations regarding annual leave
According to Clauses 1 and 2 of Article 113 of the 2019 Labor Code, employees who have worked for 12 months for an employer are entitled to annual leave with full pay as stipulated in their labor contract, specifically:
- Twelve working days for those working under normal conditions;
- 14 working days for underage workers, workers with disabilities, and those working in strenuous, hazardous, or dangerous occupations (Currently, the 2012 Labor Code stipulates that those working in places with harsh living conditions are also entitled to 14 days).
- 16 working days for those engaged in particularly strenuous, hazardous, or dangerous occupations (Currently, this regulation applies to workers in areas with exceptionally harsh living conditions).
Regulations regarding annual leave for employees who have worked for less than 12 months for an employer stipulate that the number of annual leave days is proportional to the number of months worked (Clause 2, Article 113 of the 2019 Labor Code).
Regulations on annual leave stipulate how to calculate annual leave in certain special cases (Article 66 of Decree 145/2020/ND-CP).
+ The number of annual leave days for employees who have worked for less than 12 months as stipulated in Clause 2, Article 113 of the Labor Code is calculated as follows:
Take the number of annual leave days plus any additional leave days granted based on seniority (if applicable), divide by 12 months, and multiply by the actual number of working months in the year to calculate the total number of annual leave days.
+ In cases where an employee has not worked a full month, if the total number of working days and paid leave days (public holidays, annual leave, paid personal leave as stipulated in Articles 112, 113, 114, and 115 of the Labor Code) accounts for 50% or more of the normal working days in the month as agreed upon, then that month will be counted as one working month for the purpose of calculating annual leave.
+ The entire time an employee works at agencies, organizations, and units in the state sector and state-owned enterprises is counted as working time for calculating additional annual leave days as stipulated in Article 114 of the Labor Code if the employee continues to work at agencies, organizations, and units in the state sector and state-owned enterprises.
Businesses need to base their actions on the Regulations regarding annual leave.