Many employees — and even employers — confuse “overtime on a normal working day” with “working on public holidays”: two situations with very different pay rates under Vietnam’s Labor Code 2019. Understanding the difference protects employees’ rights and helps companies stay compliant.
This article compares three scenarios side by side: overtime on a normal working day, overtime on the weekly day off, and working on public holidays (Tết) — under one consistent legal framework.
Quick comparison table
| Criteria | Overtime (normal day) | Overtime (weekly day off) | Working on public holidays |
|---|---|---|---|
| Minimum pay rate | 150% of the actual hourly wage | 200% of the actual hourly wage | 300% of the actual hourly wage (excluding the holiday day’s own wage for daily-paid employees) |
| Legal basis | Article 98.1, Labor Code 2019 | Article 98.1, Labor Code 2019 | Article 98.1, Labor Code 2019 |
| Night-time overtime | Plus 30% (Article 98.2), and 20% on the overtime wage rate (Article 98.3) | Same | Same |
| Conditions | Employee’s consent; no more than 50% of normal daily working hours; no more than 200 hours/year (300 hours for special sectors/occupations, with written notice to the labor authority) | Same as normal-day overtime | Public holidays are paid days off (Article 112) — no separate “overtime consent” required under Article 107 |
Analysis of each difference
1. 150% – 200% – 300% are “at least” floors
Common to all three scenarios: the percentages in Article 98.1 are minimums. A collective labor agreement, internal labor regulations, or the employment contract may set higher rates — and the more favorable rate for the employee applies.
2. Why 300% for public holidays?
Public holidays are paid days off under Article 112 of the Labor Code 2019. When an employee must work on such a day, they lose both the day off and expend effort — hence the law sets 300% of the actual hourly wage. Important note: for daily-paid employees, this 300% does not yet include the wage of the holiday day itself (which is already paid because it is a paid day off).
3. Night-time overtime stacks on top
In any of the three scenarios, if the overtime falls at night, the employee additionally receives 30% of the wage under Article 98.2, plus 20% calculated on the overtime wage rate under Article 98.3. These are cumulative, not alternative, amounts.
4. Overtime conditions are stricter than many think
Article 107 is clear: overtime requires the employee’s consent, must not exceed 50% of normal daily working hours, and must not exceed 200 hours per year. For special sectors/occupations allowed up to 300 hours per year, the employer must notify the provincial labor authority in writing. Breaching these limits can trigger administrative penalties even if the overtime pay itself was correct.
5. Holiday coinciding with the weekly day off is paid as a holiday
When a public holiday falls on the weekly day off, the employee gets a compensatory day off — and actual work performed on the holiday is paid at the 300% holiday rate, not the 200% weekly-day-off rate.
Practical notes
- Employers should clearly classify each workday on timesheets: normal hours, overtime, holiday hours — each has a different rate.
- Any agreement to pay above the statutory floor should be recorded in the employment contract or collective agreement to prevent disputes.
- Employees should keep payslips, timesheets, and overtime assignment records as evidence in case of wage disputes.
Conclusion
Overtime on a normal day: at least 150%; overtime on the weekly day off: at least 200%; working on public holidays: at least 300% (excluding the holiday day’s own wage for daily-paid staff) — all under Article 98 of the Labor Code 2019. Knowing these rates and their conditions helps both employees and employers comply with the law and avoid disputes.
Disclaimer: This article was prepared by the AI Legal Council based on research of the Labor Code 2019 and guiding documents in force at the time of writing, for general reference only. It does not constitute legal advice for any specific case. Readers should consult a lawyer before applying.
Transparency notice: This article was drafted by an artificial intelligence system (AI Legal Council) and has undergone internal quality review; it does not purport to be the opinion of a licensed human lawyer.
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