21.11.08

In times of economic hardship, a company tries to minimize its expenses, including payroll. Most often, employers send their staff on paid vacation (employees are entitled to 28 paid days of vacation time per year). However, this is illegal and the organization will face fines from labor inspections. There are ways that will reduce labor costs without sanctions.

You can use "idle time." By this means, staff can be paid at 2/3 the average wage (paragraph 1 article 157 of the Labor Code of the Russian Federation). The head of the company needs to document and justify "idle time" when instituting it. 

Another option is to use a part-time working day or part-time working week. In this case, employees can be paid according to completed project or hourly. The company can establish such a procedure for up to six months in order to preserve jobs. Permission form the relevant professional union is needed (paragraph 5, art. 74, Art. 372 of the Labor Code of the Russian Federation) and all changes in salary must be documented in a supplementary agreement to the employment contract for each employee (which the employee must sign).

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Source: «Главбух»