Storms, floods and epidemics force factories and offices to shut down — employees stay home, the company earns nothing. Who pays wages for the stoppage days? Article 99 of the 2019 Labor Code answers through three scenarios, depending on who caused the stoppage.
1. Scenario 1: The employer’s fault — full salary
Under Article 99.1, if the stoppage is the employer’s fault, the employee receives full contractual salary. Note: even where the apparent cause is a natural disaster, if the employer could have arranged work (remote work, relocation…) but did not, it may still be deemed the employer’s fault.
2. Scenario 2: The employee’s fault — the wrongdoer gets nothing
Under Article 99.2: where the stoppage is the employee’s fault, that employee receives no pay; other employees in the same unit who must stop work receive wages at an agreed rate not lower than the minimum wage.
3. Scenario 3: Disasters, epidemics and other objective causes
Under Article 99.3, where the stoppage results from power or water incidents not attributable to the employer; natural disasters, fires, dangerous epidemics, enemy sabotage; relocation required by a competent state authority; or economic reasons, stoppage wages are set by mutual agreement:
- Stoppage of 14 working days or fewer: the agreed rate must be no lower than the minimum wage;
- Stoppage of more than 14 working days: the rate is agreed by the parties, but the first 14 days must be no lower than the minimum wage.
Three key points: (1) “14 days” means working days, not calendar days; (2) the stoppage wage must be agreed — the employer may not unilaterally impose it; (3) “minimum wage” means the regional minimum wage in effect at the time of the stoppage.
4. Two common employer mistakes
- Forcing employees to take annual leave instead of a work stoppage: annual leave is the employee’s right to rest (Article 113) and cannot substitute the obligation to pay stoppage wages;
- Unilaterally setting stoppage wages below the minimum wage or without agreement: this violates Article 99.3, and employees may complain or sue for the difference.
5. Stoppage vs. other regimes
- Work stoppage (Art. 99) is not contract suspension (Art. 30): suspension is an agreed pause of the contract (military service, detention, prolonged sickness…) — during suspension the employee receives no wages;
- Work stoppage is not unpaid leave: unpaid leave is requested by the employee and approved by the employer, while a stoppage is an objective situation forcing production to halt.
6. Frequently asked questions
Q: A one-month epidemic shutdown — is paying only the regional minimum wage lawful?
A: For stoppages over 14 working days the rate is agreed by the parties, but the first 14 days must be no lower than the minimum wage. The employer must negotiate with employees, not impose a rate unilaterally.
Q: Is a power outage (not the employer’s fault) covered?
A: Yes — Article 99.3 applies like disasters and epidemics: agreed rate, with the minimum-wage floor.
Q: Are social insurance contributions due on stoppage wages?
A: Stoppage wages remain monthly wages forming the compulsory social insurance contribution base where the employee is still covered.
Need a wage plan for disaster or epidemic shutdowns? Contact us for advice.
Prepared by the FLAW AI Legal Council. This content has passed independent quality review (2 reviewers + chief, 16/10/2026); it is for reference only and does not replace legal advice for your specific situation.