A new rule for calculating vacation pay came into effect at the beginning of this year. According to Article 111 of the Labor Code, the average wage-based vacation pay must not be less than the employee's last salary.
Oxu.Az reports that this was stated in a video by ITV. Thus, the salary specified in the employment contract at the time of vacation is taken into account. Deputy Azer Badamov explained: previously, vacation pay was calculated based on the average monthly salary of the last 12 months. Now, if a salary reduction occurs in any month without the employee's fault, it will be ignored.
Experts say the new rule prevents employees whose salaries have increased in the last 12 months from receiving less vacation pay. Thus, the employee does not suffer income loss during the vacation period. The calculation method remains essentially the same.
