Question 102. Does the Labour Code have a definition of “paid vacation days”? Is the Employee working on paid holidays as prescribed by the Employer (eg, the Employee’s birthday, Christmas holidays, etc.), are they entitled to overtime pay?


According to the Labour Code, the Employee who works on public holidays and paid leave will be paid overtime salary by the Employer[1]. However, the Labour Code does not define “paid leave”, but prescribe a number of paid days off as follows:

i. The annual leave and additional annual leave depending on seniority[2]; and

ii. Personal leave with full pay[3].

Accordingly, the Employee who hasto work overtime on paid days off will be paid by the Employer at least 300%, excluding the salary for holidays and paid days off for the Employee enjoying daily wages.

Thus, the Employee who hasto work overtime on days that have not been included within the above-listed paid leave will not be recognised as working overtime on paid leave. Accordingly, for overtime work on specific leave under internal company culture (for example, the Employee’s birthday, Christmas holidays, the date of incorporation), the Employee may not be considered for overtime pay in accordance with the above provisions. However, it should be noted that if the Employer has proposed and specified these extra leave in the ILR, CLA of the Employer, or the LC with the Employee, those extra leave will be considered paid leave. The Employer who requires the Employee to go to work on those leave are obliged to pay the Employee with overtime wages as prescribed above.

[1] Article 98.1 (c) of the Labour Code.

[2] Articles 113 and 114 of the Labour Code.

[3] Article 115.1 of the Labour Code.