Category: Payroll

  • End of Service Gratuity in Oman [A Detailed Guide]

    End of Service Gratuity in Oman [A Detailed Guide]

    Oman has a well defined labour system and in the last few years the rules around employee benefits and final settlements have become more structured. When an employee leaves an organization, End of Service gratuity becomes a critical part of the exit process. Oman Labour Law clearly outlines how EOS should be calculated and paid, and it forms an important part of employee compensation and compliance.

    Employers often face confusion around eligibility, salary components and calculation methods, especially when managing expatriate employees or setting up new offices in Oman. 

    Yomly has helped hundreds of businesses automate payroll, EOS and final settlements across the region. With our experience working closely with HR teams, we want to help further through this guide. This guide will cover how EOS gratuity works in Oman, who is eligible, how it is calculated and how employers can manage it accurately and confidently.

    Disclaimer: The information shared in this article is for general informational purposes only. It does not constitute legal, financial, or professional advice. We do not take responsibility or liability for any decisions made based on this content. For accurate and up-to-date guidance, please consult official Omani labour authorities or a qualified legal professional.

    What Is End of Service Gratuity in Oman

    Oman’s Labour Law clearly defines End of Service (EOS) gratuity as a mandatory benefit paid to eligible employees when their employment ends. The law states that EOS is meant to compensate employees for their period of service and to provide financial support at the time of exit. EOS becomes payable once the employment relationship legally comes to an end and the employee meets the minimum service requirement.

    When EOS becomes payable:

    • On resignation after completing the minimum service period
    • On termination by the employer
    • On expiry of a fixed term contract
    • On mutual agreement to end employment
    • On retirement, where applicable

    Who EOS applies to:

    EOS gratuity primarily applies to expatriate employees working in Oman. Omani nationals are covered under the social insurance system and typically do not receive EOS gratuity under Labour Law. Employers must always check the employee’s nationality and coverage status before applying the EOS rules.

    Who Is Eligible for EOS in Oman?

    The most confusing part for many employers is understanding who actually qualifies for End of Service gratuity. Let us make this simple and clear. Here are the categories of employees who are eligible for EOS under Oman Labour Law.

    Eligible employees:

    • Expatriate employees who have completed at least one full year of continuous service
    • Employees working under fixed term contracts who complete their contract or exit lawfully
    • Employees working under indefinite contracts who resign or are terminated in line with labour law
    • Employees whose contracts end due to mutual agreement
    • Employees whose employment ends due to business or operational reasons, where EOS is legally payable

    Employees who complete less than one year of service are not eligible for EOS gratuity. Omani nationals are generally excluded from EOS under Labour Law because they are covered under the social insurance system.

    One of the best features of Yomly is that it automatically tracks employee nationality, contract type and service duration. This ensures EOS eligibility is applied correctly every time, so you never risk overpaying or underpaying during final settlement.

    Salary Components Used for EOS Calculation

    Just like other GCC countries, Oman Labour Law requires employers to use specific salary components when calculating End of Service gratuity. Using the wrong components can lead to incorrect payouts and disputes. Here are the salary elements that must be considered.

    Salary components included in EOS calculation:

    • Basic salary as stated in the employment contract
    • Fixed contractual allowances that are paid regularly and mentioned in the contract

    These components together form the employee’s last drawn wage, which is used as the base for EOS calculation.

    Salary components excluded from EOS calculation:

    • Overtime payments
    • Bonuses and incentives
    • Commissions
    • Performance based or variable allowances
    • One time or ad hoc payments

    Only amounts that are guaranteed and paid consistently are included. Any variable or irregular earnings must be excluded, even if they were paid close to the employee’s exit date.

    Employers must also ensure that the most recent salary is used. If an employee received a salary revision before leaving, the updated salary must be reflected in the EOS calculation.

    EOS Gratuity Formula Under Oman Labour Law

    It will be better to understand End of Service gratuity in Oman by breaking down the exact formula defined under Labour Law. The calculation is straightforward, but it must be applied correctly based on the employee’s total years of service and last drawn wage.

    Standard EOS Gratuity Formula

    EOS is calculated based on the employee’s last basic salary plus fixed contractual allowances and the total completed years of service.

    For the first three years of service:

    • Employee is entitled to 15 days’ wage for each completed year

    For service beyond three years:

    • Employee is entitled to 30 days’ wage for each completed year after the third year

    Important points to note:

    • EOS is calculated only for completed years of service
    • Partial years are generally calculated on a pro rata basis, depending on company policy and legal interpretation
    • The wage used must be the last drawn wage, not the average or starting salary

    Applying the correct formula ensures compliance and avoids disputes during final settlement. Yomly automatically applies Oman Labour Law formulas based on service duration and salary records, so employers do not need to calculate EOS manually.

    EOS Calculation Examples for Oman (Step by Step)

    We have shared two practical examples below to help you clearly understand how End of Service gratuity is calculated in Oman. These examples follow Oman Labour Law formulas and use realistic salary figures. Please understand that these are illustrative examples and actual payouts depend on contract terms and final salary details.

    Example 1: Employee with Less Than 3 Years of Service

    Employee details:

    • Employment type: Expatriate
    • Last drawn wage (basic + fixed allowances): OMR 600
    • Total service period: 2 years

    Step 1: Identify applicable formula

    For the first three years, EOS is calculated at 15 days’ wage per year.

    Step 2: Calculate daily wage

    Monthly wage ÷ 30 = Daily wage

    600 ÷ 30 = OMR 20

    Step 3: Calculate EOS per year

    15 days × 20 = OMR 300 per year

    Step 4: Calculate total EOS

    300 × 2 years = OMR 600

    Final EOS payable: OMR 600

    Example 2: Employee with More Than 3 Years of Service

    Employee details:

    • Employment type: Expatriate
    • Last drawn wage: OMR 800
    • Total service period: 6 years

    Step 1: Calculate daily wage

    800 ÷ 30 = OMR 26.67

    Step 2: EOS for first 3 years

    15 days × 26.67 = OMR 400 per year

    400 × 3 years = OMR 1,200

    Step 3: EOS for remaining 3 years

    30 days × 26.67 = OMR 800 per year

    800 × 3 years = OMR 2,400

    Step 4: Total EOS calculation

    1,200 + 2,400 = OMR 3,600

    Final EOS payable: OMR 3,600

    When EOS Is Reduced or Not Payable

    Not every employee exit results in full End of Service gratuity in Oman. Oman Labour Law clearly defines situations where EOS may be reduced or not payable at all. Employers must understand these cases to avoid incorrect payouts and compliance issues.

    EOS is not payable in the following situations:

    • The employee has completed less than one year of continuous service
    • The employee is dismissed for serious misconduct as defined under Oman Labour Law
    • The employee is terminated due to proven violations such as fraud, theft, assault or breach of trust
    • The employee causes intentional loss or serious damage to the employer and the case is legally established

    EOS may be reduced in certain resignation scenarios:

    • If an employee resigns before completing the required service period for full entitlement, EOS may be reduced as per applicable labour provisions and contract terms
    • If the resignation violates contractual notice requirements, deductions or adjustments may apply

    Employers must always review the reason for termination, service duration and legal justification before finalizing EOS. Incorrect application of reductions or denial of EOS can lead to labour disputes and penalties.

    Yomly helps employers apply the correct EOS rules by linking termination reasons, service records and labour law conditions automatically, ensuring gratuity is paid accurately and only where legally required.

    Common Termination Mistakes Employers Make

    When we onboard a new client at Yomly, we often find the same termination and final settlement issues repeating across organizations. These mistakes usually happen due to manual processes, lack of documentation or misunderstanding of labour laws. Below are some of the most common termination mistakes employers make.

    Incorrect EOS Calculation

    Many employers calculate EOS using only the basic salary and ignore fixed contractual allowances. This leads to underpayment and employee disputes. In some cases, outdated salary figures are used instead of the last drawn wage, which is also non compliant.

    Ignoring Service Duration Details

    Employers sometimes miscalculate service duration by excluding partial years, unpaid leave periods or rejoined service. Even small errors in service calculation can significantly impact EOS and final settlement amounts.

    Wrong Termination Reason Mapping

    Applying the wrong termination reason can result in incorrect EOS payout. For example, treating a normal resignation as misconduct or vice versa can either wrongly reduce EOS or expose the employer to legal claims.

    Delayed Final Settlement Payments

    Delays in paying EOS and other dues after termination are a common issue. Labour laws require timely settlement, and delays often lead to complaints, penalties and reputational damage.

    Poor Documentation and Record Keeping

    Missing contracts, incomplete salary history, or lack of written warnings make it difficult to justify termination decisions. This becomes a serious problem during audits or labour disputes.

    Manual Payroll and Exit Processes

    Manual calculations increase the risk of human error, especially when handling multiple employees, salary structures or locations. These errors often go unnoticed until a dispute arises.

    Businesses that use Yomly’s payroll software do not face these issues. Yomly takes care of EOS calculations, service tracking, salary updates and termination workflows automatically. Everything is documented, accurate and compliant by design.

    If you want to avoid termination mistakes and simplify payroll and final settlements, you can book a free demo. Our team will walk you through every feature in detail, answer your questions and share a custom proposal based on your business requirements.

  • A Complete List of Public Holidays In Singapore [2026 Updated]

    A Complete List of Public Holidays In Singapore [2026 Updated]

    Every year, organizations in Singapore have to plan their work schedules, payroll cycles, and leave policies around official public holidays. Singapore has a well defined holiday structure, and when employees are entitled to paid public holidays, employers must ensure accurate tracking and compliance to avoid payroll or attendance issues.

    At Yomly, we work with some of the top organizations in Singapore, helping them manage people operations using our HR and Payroll software. 

    We regularly support HR teams with holiday calendars, leave management, and payroll accuracy. By creating this guide, we aim to share a complete and updated list of public holidays in Singapore for 2026, making it easier for businesses to plan ahead and stay compliant.

    2026 Calendar For Public Holidays In Singapore At A Glance

    Let us first take a quick look at the 2026 calendar for public holidays in Singapore. This at a glance view helps employers and HR teams understand how holidays are spread across the year and plan workforce schedules more effectively.

    DateDayHoliday
    1 Jan 2026ThursdayNew Year’s Day
    17 Feb 2026TuesdayChinese New Year (Day 1)
    18 Feb 2026WednesdayChinese New Year (Day 2)
    21 Mar 2026*SaturdayHari Raya Puasa*
    3 Apr 2026FridayGood Friday
    1 May 2026FridayLabour Day
    27 May 2026*WednesdayHari Raya Haji*
    31 May 2026SundayVesak Day
    1 Jun 2026MondayVesak Day Holiday (in lieu)
    9 Aug 2026SundayNational Day
    10 Aug 2026MondayNational Day Holiday (in lieu)
    8 Nov 2026SundayDeepavali
    9 Nov 2026MondayDeepavali Holiday (in lieu)
    25 Dec 2026FridayChristmas Day

    Important Note: While the dates listed above reflect the officially announced public holidays for Singapore in 2026, some holidays such as Hari Raya Puasa and Hari Raya Haji are subject to change based on the official moon sighting. Employers should always monitor government updates and adjust leave and payroll calendars accordingly.

    Singapore’s Public Holidays In Detail (2026 Edition)

    For further clarity, here are detailed insights on Singapore’s public holidays in 2026. This section explains each holiday and its significance, helping employers and HR teams plan leave, staffing, and payroll more effectively.

    New Year’s Day – 1 January 2026 (Thursday)

    New Year’s Day marks the beginning of the calendar year and is observed nationwide in Singapore. It is a paid public holiday for all employees covered under the Employment Act. Most offices, banks, and government institutions remain closed, while essential services operate with limited staff. For employers, this holiday often sets the tone for annual leave planning, payroll cycles, and attendance policies. HR teams typically use this period to finalize yearly holiday calendars and update leave balances in HR systems.

    Chinese New Year – 17 & 18 February 2026 (Tuesday and Wednesday)

    Chinese New Year is one of Singapore’s most significant public holidays and is celebrated over two consecutive days. It marks the start of the lunar new year and is widely observed across the country. Most businesses close or operate with reduced staff, especially those with a high local workforce. Employers must account for two paid holidays and potential extended leave requests around this period. Proper scheduling and leave tracking are essential to maintain business continuity during this festive season.

    Hari Raya Puasa – 21 March 2026 (Saturday, subject to confirmation)

    Hari Raya Puasa celebrates the end of Ramadan and is an important religious holiday for Muslims in Singapore. The actual date depends on moon sighting and is officially confirmed closer to the event. If the holiday falls on a weekend, an in lieu holiday may apply depending on regulations. Employers should stay updated on official announcements to ensure accurate payroll processing. Advance planning is recommended, especially for industries with shift-based or essential operations.

    Good Friday – 3 April 2026 (Friday)

    Good Friday is a Christian holiday commemorating the crucifixion of Jesus Christ. It is a nationwide public holiday in Singapore, and most offices, schools, and government bodies remain closed. Since it falls on a Friday in 2026, employees benefit from a long weekend. Employers should account for reduced workforce availability and possible leave extensions. Payroll and attendance systems should be updated to reflect the holiday accurately, especially for hourly or shift-based employees.

    Labour Day – 1 May 2026 (Friday)

    Labour Day recognizes the contributions of workers and is a key public holiday in Singapore. It is observed across all industries, with most businesses closed or operating on limited staffing. Falling on a Friday in 2026, it creates another long weekend, which may impact productivity and attendance planning. Employers must ensure eligible employees receive paid leave or appropriate compensation if required to work. Labour Day also serves as a reminder to review HR policies and workforce benefits.

    Hari Raya Haji – 27 May 2026 (Wednesday, subject to confirmation)

    Hari Raya Haji, also known as the Festival of Sacrifice, is observed by Muslims in Singapore. Like Hari Raya Puasa, its date depends on lunar observation and is officially confirmed closer to the holiday. It is a paid public holiday, and many employees may request leave around this period. Employers should monitor government announcements and update their HR calendars accordingly. Accurate leave and payroll tracking helps avoid compliance issues and employee dissatisfaction.

    Vesak Day – 31 May 2026 (Sunday)

    Vesak Day commemorates the birth, enlightenment, and passing of Lord Buddha and is an important Buddhist holiday in Singapore. In 2026, Vesak Day falls on a Sunday, which means the following Monday is observed as a public holiday in lieu. Employers must account for the in lieu holiday when planning payroll and attendance. Businesses should ensure systems correctly reflect the holiday shift to avoid errors in salary calculations or leave balances.

    Vesak Day Holiday (In Lieu) – 1 June 2026 (Monday)

    Since Vesak Day falls on a Sunday in 2026, Monday is observed as the official public holiday. This in lieu holiday applies to all eligible employees and should be treated as a regular paid public holiday. Employers must ensure attendance systems, payroll software, and work schedules reflect this adjustment. Failure to recognize in lieu holidays can lead to compliance risks. Proper automation helps HR teams manage such calendar changes smoothly without manual errors.

    National Day – 9 August 2026 (Sunday)

    National Day celebrates Singapore’s independence and is one of the most important national holidays. In 2026, it falls on a Sunday, triggering an in lieu public holiday on the following Monday. Many businesses close, and public celebrations take place across the country. Employers should plan for limited workforce availability and ensure accurate holiday marking in HR systems. National Day often sees higher leave requests, especially when combined with the in lieu holiday.

    National Day Holiday (In Lieu) – 10 August 2026 (Monday)

    The in lieu holiday for National Day applies because the official date falls on a Sunday. This Monday is treated as a paid public holiday for eligible employees. Employers must update payroll and attendance records to reflect the shift correctly. For organizations with continuous operations, staff working on this day may be entitled to additional compensation or time off. Clear communication with employees helps prevent confusion around entitlement and scheduling.

    Deepavali – 8 November 2026 (Sunday)

    Deepavali, also known as the Festival of Lights, is celebrated by the Hindu community in Singapore. In 2026, it falls on a Sunday, which results in an in lieu holiday on the next working day. Many employees may also request leave around this time for family and religious observances. Employers should plan staffing accordingly and ensure compliance with public holiday rules. Accurate holiday calendars help manage attendance and payroll without disruption.

    Deepavali Holiday (In Lieu) – 9 November 2026 (Monday)

    Since Deepavali falls on a Sunday in 2026, the following Monday is observed as a public holiday. This in lieu arrangement must be reflected in payroll and leave systems. Employers should ensure employees receive their entitled paid holiday or appropriate compensation if they are required to work. In lieu holidays are commonly missed if calendars are not updated properly, making automated HR systems valuable for compliance and accuracy.

    Christmas Day – 25 December 2026 (Friday)

    Christmas Day marks the celebration of the birth of Jesus Christ and is observed nationwide in Singapore. Falling on a Friday in 2026, it creates a long weekend for employees. Most offices and government institutions are closed, while retail and hospitality sectors may operate with adjusted staffing. 

    Employers should anticipate higher leave requests and ensure payroll systems reflect the holiday accurately. Christmas often coincides with year end planning, making scheduling especially important.

    Also Read:

    How Yomly Helps You Manage Singapore Public Holidays?

    Yomly is an all in one HR and payroll platform designed for modern organizations. It is one of the trusted platforms used by businesses across the MENA, GCC, and SEA regions, including leading organizations in Singapore. Yomly helps HR and finance teams manage public holidays, leave, attendance, and payroll without manual effort or errors.

    Singapore’s top organizations use Yomly to solve common payroll and compliance challenges related to public holidays and in lieu rules. The platform is 100 percent cloud based and mobile ready, allowing teams to manage everything from anywhere. Payroll is fully automated and configured as per your company policies and local regulations, ensuring accurate salary processing even during complex holiday cycles.

    With Yomly, public holiday calendars are easy to set up, leave balances stay updated, and payroll calculations remain compliant, giving HR teams complete control and peace of mind.

    Frequently Asked Questions

    1. Are employees entitled to paid public holidays in Singapore in 2026?

    Yes, employees covered under the Singapore Employment Act are entitled to 11 paid public holidays each year, including those listed for 2026. If an employee is required to work on a public holiday, the employer must provide an extra day’s salary or grant a day off in lieu, based on mutual agreement. This applies to full time employees as well as eligible part time employees, calculated on a pro rated basis.

    2. What happens if a public holiday in Singapore falls on a Sunday?

    If a public holiday falls on a Sunday, the next working day becomes a public holiday in lieu. In 2026, holidays such as Vesak Day, National Day, and Deepavali fall on a Sunday, so the following Monday is observed as the official holiday. Employers must update payroll, attendance, and leave records accordingly to remain compliant and avoid salary calculation errors.

    3. Are part time employees entitled to public holidays in Singapore?

    Yes, part time employees are entitled to public holidays if they meet eligibility requirements under the Employment Act. Their public holiday pay is calculated based on their average daily working hours. Employers must ensure accurate tracking of work schedules and apply the correct payroll formula to avoid underpayment or disputes, especially when public holidays fall on regular working days for part time staff.

    4. How can HR teams avoid payroll errors during public holidays in Singapore?

    Payroll errors usually occur due to missed in lieu holidays, incorrect overtime calculations, or outdated holiday calendars. Using an automated HR and payroll system like Yomly helps prevent these issues by maintaining an updated public holiday calendar, automating leave adjustments, and calculating salaries accurately based on company policies and Singapore regulations. This reduces manual work and ensures compliance throughout the year.

  • Payroll Process In Bahrain (With Guidelines & Best Practices

    Payroll Process In Bahrain (With Guidelines & Best Practices

    Bahrain has a well regulated labor system that aims to protect employees and ensure fair and transparent salary practices. 

    Employers are expected to follow clear rules for salary calculation, GOSI contributions, WPS submissions and end of service benefits. Accurate payroll processing is not only a legal requirement but also important for maintaining trust and smooth HR operations.

    As an employer, you have to deal with multiple compliance steps every month, especially when managing a mixed workforce of Bahraini and expatriate employees. We are already helping Bahrain’s leading organizations streamline these processes with our cloud based HR and payroll platform. To support you further, we have created this guide to explain the full payroll process in Bahrain. It covers regulations, calculations, best practices and compliance steps so you can manage your payroll with confidence and accuracy.

    Understanding Payroll Regulations in Bahrain

    Bahrain’s Labor Law outlines clear rules for how employers must manage salaries, benefits, deductions and employee records. 

    Employers are expected to apply these rules consistently for both Bahraini and expatriate employees to ensure fair treatment and legal compliance. These regulations apply to all private sector companies operating in Bahrain, regardless of size or industry.

    To understand how payroll works in Bahrain and avoid compliance issues, take a look at the key components of payroll in Bahrain, including basic salary rules, allowances, GOSI contributions, WPS requirements and overtime calculations.

    Key Components of Payroll in Bahrain

    As per Bahrain’s Labor Law and payroll regulations, several core elements must be calculated correctly each month. Here are the key components every employer should understand before running payroll.

    Basic Salary and Wage Structure

    The basic salary is the fixed amount agreed in the employment contract. It is the foundation for calculating overtime, leave salary and end of service benefits. Employers must ensure the basic salary is paid on time every month and matches what is stated in the official contract submitted to authorities.

    Allowances (transport, housing, job allowance)

    Allowances are fixed monthly payments added to the basic salary. Common allowances in Bahrain include transport allowance, housing allowance and job-related allowance. These must be clearly mentioned in the contract and paid consistently. Allowances may or may not be included in GOSI calculations depending on the classification.

    Overtime Rules and Calculation Requirements

    Overtime in Bahrain must be paid according to Labor Law. Employees working more than 8 hours per day or 48 hours per week must receive overtime pay.
    Overtime is calculated as:

    • 125 percent of the hourly rate for regular overtime
    • 150 percent for overtime during weekly rest days
    • 200 percent for overtime on public holidays

    Employers must keep accurate attendance and work-hour records to calculate overtime correctly.

    Deductions

    Deductions must follow Bahrain’s Labor Law. Only approved deductions are allowed, such as:

    • Social insurance contributions
    • Employee loans with written consent
    • Absences without pay
    • Penalties allowed under company policy and the law

    Unauthorized deductions can lead to penalties and disputes.

    Leave Salary Entitlements

    Employees in Bahrain are entitled to 30 days of paid annual leave after completing one year of service. Annual leave is paid based on the employee’s basic salary. Public holidays that fall during annual leave do not count as leave days. Sick leave and maternity leave are also governed by legal guidelines and must be compensated according to the Labour Law structure.

    End of Service Benefits and Gratuity

    End of Service Benefits (ESB) are calculated based on the employee’s last received wage. For employees who are not covered by GOSI pension, the standard formula applies:

    • Half a month’s wage for each year of service for the first three years
    • One month’s wage for each additional year after the third year

    If the employee is a Bahraini national covered by GOSI, ESB follows GOSI retirement rules instead of the standard gratuity structure.

    Bahrain Wage Protection System (WPS) Explained

    The Wage Protection System in Bahrain is a digital salary monitoring system that ensures employees are paid accurately and on time. 

    It works in a similar way to the UAE’s WPS and was introduced to bring more transparency and accountability to private sector salary payments. All companies registered with the Ministry of Labour must follow WPS when submitting monthly salary data.

    Why WPS Was Implemented

    WPS was introduced to:

    • Make sure employees receive their salaries on time
    • Reduce salary-related disputes
    • Protect the rights of expatriate and Bahraini workers
    • Allow authorities to track salary payments digitally
    • Ensure employers follow proper payroll and contract rules

    By monitoring payments electronically, Bahrain aims to improve workplace fairness and ensure that workers are paid the exact amount stated in their employment contracts.

    How Bahrain WPS Works (Workflow)

    Let us break down how the Wage Protection System functions in Bahrain so you can clearly understand each step of the process. This will help ensure your payroll is always prepared and submitted correctly.

    1. Prepare the Monthly Payroll

    The employer calculates salaries for all employees, including basic salary, allowances, overtime, deductions and any leave salary. All values must match the details stated in the employee’s contract.

    2. Generate a WPS-Compliant Salary File

    A salary file is created in the exact format required by Bahrain’s WPS. This file includes employee names, CPR numbers, bank account details and the net salary to be paid.

    With Yomly, you get an automated WPS-ready salary file every month. The platform prepares the file in the correct format, validates all employee data and ensures there are no errors before submission.

    3. Submit the File Through an Approved Bank or Financial Institution

    The employer uploads the WPS file to the company’s bank. The bank checks if the file format is correct and whether salary amounts match the approved payroll records.

    4. Bank Transfers the Salaries to Employees

    Once the WPS file is validated, the bank processes the payments and transfers the correct salary amounts to each employee’s bank account.

    5. Ministry Receives Salary Data Automatically

    After the bank processes the payments, the salary data is sent electronically to the Ministry of Labour. This allows the government to verify that all employees were paid correctly and on time.

    6. Non-Compliance Triggers Alerts or Penalties

    If a company delays payment, submits incorrect salary amounts or fails to pay employees through WPS, the system flags the issue. Continued non-compliance may result in fines, inspections or restrictions on new work permits.

    Yomly’s automated payroll software allows you to handle the entire WPS process without manual work or file formatting issues.

    The platform calculates salaries based on Bahrain’s labour laws, applies all allowances and deductions correctly and generates WPS compliant files automatically every month. This ensures every payment is accurate, on time and fully aligned with government requirements, helping your business stay compliant with confidence.

    Understanding GOSI in Bahrain

    GOSI is an important part of payroll compliance in Bahrain. It stands for the General Organization for Social Insurance, and it ensures that employees receive financial protection for retirement, workplace injuries, unemployment and other social insurance benefits. 

    Every employer in Bahrain must calculate and contribute to GOSI correctly each month for both Bahraini and expatriate employees.

    Contribution Breakdown for Bahrainis

    GOSI contributions for Bahraini nationals cover retirement, insurance, workplace injury protection and unemployment support. The standard breakdown is:

    • Employee contribution: 7 percent of the insured salary
    • Employer contribution: 14 percent of the insured salary
    • Total contribution: 21 percent

    These contributions go toward the employee’s pension and social security benefits.

    Contribution Breakdown for Expatriates

    Expatriate employees are not part of the Bahraini pension system, so their GOSI contribution covers only workplace injury insurance.

    • Employer contribution: 3 percent of the employee’s insured salary
    • Employee contribution: 0 percent

    Employers must pay this amount every month on behalf of expatriate employees.

    How to Calculate the GOSI Salary Base?

    The insured salary used to calculate GOSI includes the following:

    • The basic salary stated in the employment contract
    • Any fixed allowances that are guaranteed every month
    • Fluctuating or performance-based allowances are not included

    The insured salary has a cap, meaning GOSI contributions will not exceed a maximum salary limit set by the authority. Employers must ensure the declared insured salary is correct and updated when the employee’s contract changes.

    Best Practices for Payroll Management in Bahrain

    If you want to run accurate and compliant payroll in Bahrain, you need to follow a few important practices consistently. Here are the key best practices that every employer should keep in mind.

    Maintain Updated Employee Records

    Keep all employee information updated, including personal details, contract changes, salary revisions and allowance updates. Accurate records make payroll processing easier and ensure that WPS and GOSI submissions match the official data.

    Track Attendance Accurately

    Attendance is the base for overtime, leave salary and deductions. Use reliable systems to record working hours, approved leave and absences. Accurate attendance data prevents payroll mistakes and ensures employees receive the correct payments.

    Review Salary Components Regularly

    Salary structures should be reviewed to ensure that basic salary, allowances and deductions follow Bahrain’s labor rules. If an employee’s contract changes, update the payroll system immediately so contributions and entitlements remain correct.

    Submit WPS Files Before Deadlines

    WPS files must be submitted on time each month to avoid penalties and compliance issues. Always prepare the payroll in advance, check the file format and confirm that all bank details are correct before submission.

    Stay Updated on Labor Law Changes

    Bahrain’s labor regulations, GOSI rules and WPS requirements may be updated from time to time. Employers should stay informed and adjust payroll processes accordingly. This helps you avoid non-compliance and maintain smooth HR operations.

    Why Use Yomly for Payroll in Bahrain

    We have shared all the key steps, rules and best practices for running payroll in Bahrain, but managing everything manually can still be challenging. That is why many organizations choose Yomly. 

    It is an all in one HR and payroll platform where everything is centralized, automated and fully compliant with Bahrain’s labour and WPS requirements. All calculations are handled by the system, and you get clear reporting, accurate data storage and full visibility across your entire workforce.

    Here are some reasons companies trust Yomly:

    • 250+ enterprise organizations trust our platform
    • 99.9% system uptime
    • 100% mobile and cloud ready
    • Localized solution for Bahrain’s payroll and WPS rules
    • Easy to set up with full onboarding support

    If you want to simplify payroll and ensure full compliance in Bahrain, you can book a free demo and our team will walk you through how Yomly can transform your HR operations.

  • 10 Best Payroll Management Software For Malaysia

    10 Best Payroll Management Software For Malaysia

    Payroll shouldn’t take hours or cause your team stress every month.

    Yet many Malaysian businesses still struggle with manual calculations, confusing spreadsheets, and constant compliance checks for EPF, SOCSO, EIS, PCB, and HRDF.

    The good news? 

    Modern payroll software can handle all of this automatically. It pays your staff on time, reduces errors, and keeps your business fully compliant.

    But with so many tools available, it can be hard to know which one is actually worth using.

    In this listicle roundup, we have handpicked top 10 payroll management tools made for Malaysia.

    1. Yomly

    Yomly is the best payroll software for Malaysian enterprises with 250+ employees because it automates complex salary structures, ensures full statutory compliance, and supports multi-country payroll with high accuracy. 

    It is built for large organisations that need a dependable system to manage high-volume payouts, multi-currency teams, and strict approval workflows. 

    With 250+ enterprise clients and more than 60,000 daily users, Yomly is trusted by brands like Isuzu Motors, Kärcher, and Nord Anglia Education to deliver fast, reliable, and error-free payroll processing at scale.

    Key features for managing payroll:

    • Multi-country and multi-currency payroll support for Malaysian enterprises with regional teams
    • Automated salary calculations for basic pay, overtime, bonuses, allowances, EPF, SOCSO, and EIS
    • Real-time sync with attendance, leave, shift schedules, and expense data to prevent payroll mistakes
    • Bulk processing tools for mass updates across departments, grades, and contract types
    • Malaysian-compliant bank files, statutory reports, and finance-ready payroll exports
    • Layered approval flows, audit logs, and role-based access for secure enterprise governance
    • Automatic payslip generation delivered through email and mobile app
    • Deep payroll reporting, including GL mapping, pay run history, and cost allocation summaries
    • ERP and accounting integrations for streamlined month-end reconciliation
    • Dedicated enterprise onboarding and payroll migration support

    Pricing: Custom pricing based on employee size, number of regions, and selected payroll modules.

    Why we proudly promote Yomly ❤️

    Yomly gives large Malaysian companies a payroll engine that handles complexity without effort. It keeps every pay run accurate, compliant, and fully automated, while offering clear visibility for HR and finance teams. Its scale, speed, and reliability make it a standout choice for enterprises managing 250+ employees.

    ???? Explore our handpicked list of best HR Software For Malaysia 

    2. BrioHR

    BrioHR is a payroll software that helps Malaysian companies run fast, accurate, and fully compliant payroll in just a few minutes. It automates statutory calculations, prepares bank and tax files, and connects payroll with attendance, claims, and leave for clean monthly processing. The system gives HR full control with smart access rules, built-in security, and reliable cloud performance.

    Key features for managing payroll:

    • Auto-calculates EPF, SOCSO, EIS, HRDC, and PCB with LHDN-ready payslips
    • Prepares EA, CP8D, PCB2(II), Form E, CP39, and other statutory files automatically
    • Generates bank files and contribution files in one click
    • Supports multiple pay cycles for weekly, monthly, and off-cycle runs
    • Compares pay runs to spot changes in allowances, deductions, and gross pay
    • Syncs payroll with Time & Attendance, Claims, and Leave modules for accurate payouts
    • Delivers payslips through email and the employee dashboard
    • Offers strong data protection with encryption, MFA, SSO, and role-based access
    • Provides powerful reporting with filters by department, pay item, or cost centre
    • Pushes payroll data directly into accounting tools and Power BI

    Pricing: Modular pricing. You pay only for the features you need.

    What we love about BrioHR:

    It makes payroll feel effortless. The system eliminates manual work, ensures compliance, and provides clear visibility into every pay run. Its fast reporting, seamless integrations, and strong security make it a practical choice for Malaysian companies seeking clean, error-free payroll each month.

    3. Swingvy

    Swingvy offers a quick and flexible way for SMEs to manage monthly salary runs without complicated steps. The platform focuses on speed, letting users edit pay items instantly, run multiple pay cycles, and generate all statutory files in the correct format. It also connects payroll with claims, attendance, and leave, so payout changes appear automatically.

    With built-in compliance, automated calculations, and one-click payslip delivery, Swingvy reduces the time teams spend checking numbers and fixing errors. Its clean interface and practical tools make payroll easier to manage each cycle.

    Key features for managing payroll:

    • Automatic EPF, SOCSO, EIS, HRDF, and PCB calculations
    • Monthly, mid-month, and ad hoc pay runs with full edit controls
    • GIRO-ready bank files for smooth salary payments
    • Revert function to fix payroll errors without reprocessing
    • Auto-generated payslips sent by email and mobile app
    • Detailed payroll reports for taxes, bank transactions, and pay history
    • Expense claims sync directly into payroll
    • Fast updates to individual pay lines during processing
    • LHDN-certified tax calculations and statutory forms
    • Xero integration for accounting sync

    Pricing: Subscription-based. Pricing varies based on the modules selected.

    What we love about Swingvy:

    It keeps payroll light and manageable. The quick pay-run flow, mobile payslips, and flexible ad hoc runs make it a practical choice for SMEs that want to finish payroll in minutes rather than hours.

    4. QuickHR

    QuickHR streamlines payroll by combining automated calculations, strong data protection, and full Malaysian statutory compliance in one clean platform. It eliminates manual work by instantly computing EPF, SOCSO, EIS, and PCB while preparing all required payroll reports in the correct format. Payroll connects seamlessly with attendance, claims, and scheduling, so every update is reflected during salary processing. The system also integrates with accounting tools such as QuickBooks and Xero, enabling seamless payroll-to-finance workflows. QuickHR is suitable for SMEs and enterprises that want fast, accurate, and well-organised payroll every cycle.

    Key features for managing payroll:

    • Auto-calculations for EPF, SOCSO, EIS, HRDF, and PCB
    • Integrated Leave, Claims, Attendance, and Timesheets
    • Bank GIRO file generation
    • Statutory forms and monthly reports can be generated automatically
    • Accounting integrations with QuickBooks and Xero
    • Secure cloud hosting with enterprise-level encryption
    • Flexible role-based access for payroll and approvals
    • Real-time updates across pay items
    • Mobile access for employees to view payslips and details
    • Supports multi-branch and multi-shift environments

    Pricing: Based on subscription plans. Pricing varies by modules and employee count.

    What we love about QuickHR:

    It combines ease of use with strong compliance, making payroll smooth even for larger teams. The real-time syncing and accounting integrations help reduce errors and speed up monthly processing.

    5. SQL Payroll

    SQL Payroll focuses on fast processing, deep statutory compliance, and flexible salary management for companies that handle many employee groups. The system lets users manage monthly payroll, ad hoc payouts, and multi-cycle processing without complexity. It supports real-time recalculations, secure payslip delivery, and detailed reporting for both finance and statutory needs. With strong device syncing and unlimited record storage, SQL Payroll suits businesses that want long-term payroll history, custom reports, and reliable control over every pay change.

    Key features for managing payroll:

    • Auto-calculation of EPF, SOCSO, EIS, HRDF, and PCB
    • Supports more than 25 Malaysian banks for GIRO salary transfers
    • Real-time payroll amendments with instant statutory recalculation
    • Batch email payslips with password protection
    • Unlimited payroll history and year-end records
    • Full suite of statutory forms (EA, CP39, EIS, Borang A, CP8D, and more)
    • Ad hoc payroll runs for bonuses, commissions, and separate payouts
    • Pending transactions for OT, claims, allowances, and deductions
    • Custom and comprehensive reporting options
    • Integration with time attendance systems for OT and leave sync

    Pricing: Custom pricing based on company size and required modules.

    What we love about SQL Payroll: 

    Its flexibility stands out. You can amend pay anytime, process different groups separately, and manage unlimited payroll records, ideal for companies that need accurate calculations and long-term data storage.

    6. Info-Tech

    Info-Tech offers a streamlined payroll platform that automates processes, ensures compliance, and provides clear, synchronised data in a single system. The software automatically calculates all statutory items and links payroll to attendance, claims, and leave, ensuring salary updates remain consistent. Its multi-user access, built-in reminders, and extensive library of reports make it suitable for teams managing many employee records. With cloud security, encrypted data, and automatic form generation, Info-Tech helps companies maintain accurate payroll while reducing manual checks and repeated entries across HR tasks.

    Key features for managing payroll:

    • Auto-calculation of EPF, SOCSO, EIS, HRDF, and PCB
    • Direct sync with attendance, leave, claims, and scheduling
    • Over 50 customizable payroll and HR reports
    • Automated reminders for employee updates and statutory deadlines
    • Online payslip access via web and mobile
    • Multi-user access with permission control
    • Auto-generated EA, CP21, CP39, and PCB forms
    • API integration with third-party platforms at no extra cost
    • Accounting sync for clean reconciliation
    • Cloud storage with full data encryption and ISO-certified security

    Pricing: Subscription-based. Pricing varies depending on modules and company size.

    What we love about Info-Tech:

    Its automation is strong and consistent. Every update flows across modules without extra effort, making payroll fast to run and easy to verify each month.

    7. Employment Hero

    Employment Hero brings payroll, attendance, and HR data together so companies can manage salaries, statutory updates, and employee changes from one place. The platform automates PCB, EPF, SOCSO, and EIS, and provides users with tools to set custom pay rules, perform bulk updates, and apply date-based adjustments. With built-in time tracking, rostering, and employee self-service, payroll stays aligned with actual hours and shifts. Its cloud design lets teams run payroll from anywhere, supported by detailed reports, online forms, and smooth integrations with accounting systems.

    Key features for managing payroll:

    • Automated PCB, EPF, SOCSO, EIS, and HRDF calculations
    • Access to EA forms, EIS forms, EPF files, and statutory reports
    • Custom pay rules with triggers for allowances or rate changes
    • Employee self-service for payslips, updates, OT, and leave requests
    • Real-time attendance, timesheet, and shift data pushed into payroll
    • Bulk salary adjustments and editable pay items
    • Mobile payroll access through the Employment Hero app
    • Detailed payroll summaries and compliance-ready reports
    • Integrations with Xero, Zoho Books, NetSuite, and other systems
    • Easy migration from existing payroll tools

    Pricing: Plan-based pricing depending on HR and payroll modules selected.

    What we love about Employment Hero:

    Its strength lies in how well payroll connects with attendance, scheduling, and employee updates. Everything stays in sync, making each payroll run cleaner, faster, and easier to verify.

    8. Omni

    Omni offers a clean, structured payroll workflow that updates automatically whenever employee information changes. Salary details, adjustments, and new-hire data are entered directly into payroll, reducing manual checks and redundant steps. The system automatically calculates statutory deductions, highlights any variations from the previous cycle, and prepares ready-made reports for quick review. Payslips are published inside the platform, giving employees instant access through desktop or mobile. Omni suits teams that want payroll to run smoothly without switching between multiple systems.

    Key features for managing payroll:

    • Auto-calculation of statutory deductions and net pay
    • Direct sync with employee records for accurate updates
    • Variation alerts for new hires, adjustments, or changes
    • One-click payslip publishing to desktop and mobile
    • Prebuilt payroll reports plus custom reporting options
    • Integrated HR modules for time off, attendance, and expenses
    • Easy step-by-step payroll processing flow
    • Multi-country payroll support for regional teams
    • Secure cloud access with permission controls
    • Simple export options for finance and audit needs

    Pricing: Custom pricing based on team size and selected features.

    What we love about Omni:

    Its clarity stands out. Each step of payroll is organized, easy to follow, and updated automatically, which helps teams avoid mistakes and finish their pay runs faster.

    9. Voyon Folks

    Voyon Folks is an AI-driven HRMS designed for Malaysian companies that want faster workforce decisions and smoother HR automation. The platform brings payroll, compliance, performance tracking, and attendance into a single cloud system, so teams can manage HR tasks without switching tools. Its AI engine supports intelligent hiring, smart scheduling, and real-time workforce insights, helping HR teams cut errors and improve efficiency. It is built to comply with Malaysian laws, and Voyon Folks ensures EPF, SOCSO, EIS, and statutory processes remain accurate and fully compliant at every cycle.

    Key features:

    • AI-powered recruitment and applicant tracking
    • Real-time attendance management with shift automation
    • EPF, SOCSO, EIS, and Malaysian labour law compliance
    • AI-based performance and workforce analytics
    • Employee self-service for faster updates and approvals
    • Cloud payroll automation with secure data storage
    • Custom workflows for HR operations
    • Multi-location workforce tracking

    Pricing: Custom quote based on modules and number of employees.

    What we love about Voyon Folks:

    Its AI capabilities make HR operations noticeably smarter, helping Malaysian businesses run payroll, manage teams, and stay compliant with far less manual work.

    10. Bukku

    Bukku is a cloud accounting platform that also supports payroll tasks through its integrations, making it easy for SMEs to keep their financial and salary data aligned. Businesses can manage invoices, expenses, reconciliations, and payroll records in one place without switching tools.

    The system handles e-invoicing, automatically generates financial reports, and lets companies sync salary information directly into accounting workflows. With automated entries, real-time insights, and mobile-friendly access, Bukku helps small businesses stay organised and compliant with Malaysian requirements.

    Key features for managing payroll:

    • Payroll data sync through connected payroll integrations
    • Automated expense and receipt capture linked to salary records
    • Bank reconciliation that matches payroll payouts
    • Real-time financial reports reflecting payroll costs
    • Support for LHDN e-invoice compliance
    • Multi-device access for on-the-go updates
    • Over 50 auto-generated financial and cost reports
    • Smooth data migration and easy onboarding

    Pricing: Plans range from RM0 to RM135/month, depending on features. All plans support e-invoice compliance.

    What we love about Bukku:

    It keeps payroll costs, payouts, and financial records perfectly aligned, giving SMEs clearer insights and cleaner books without manual data entry.

    Final words

    Finding the right payroll software depends on what your business needs today and how much you plan to grow in the future. Once you compare the features, try the demos, and check how each tool handles compliance, it becomes easier to choose the right fit.

    If your company is scaling quickly or already manages a large workforce, you may want to explore options built for larger teams. Yomly is one platform worth trying, especially if you want a system that stays accurate even with high-volume payroll. 

    ???? A quick demo can help you see how it works in your setup and whether it matches your goals.

  • ???? 70+ Important Performance Management Statistics for 2026

    ???? 70+ Important Performance Management Statistics for 2026

    Looking for the most reliable performance management statistics for 2026? 

    This listicle roundup brings together 70+ data points from trusted sources like Gallup, Willis Towers Watson, and McKinsey. 

    These insights cover employee experience, manager behaviour, feedback habits, goal setting, technology use, hybrid work changes, and real performance outcomes. Every statistic helps you understand where performance systems succeed or fail. 

    Note: All source URLs are listed at the end of the article.

    Key performance management data and insights

    1. 72% of employees want performance reviews to focus more on strengths, not weaknesses.
    2. 63% of employees say reviews fail to reflect their real work, showing a major trust gap.
    3. 59% of managers experience stress from review deadlines, affecting quality.
    4. Many companies increased how often they give feedback after shifting to remote work, with 54% reporting a noticeable rise in frequency.
    5. 57% of companies improved review transparency with technology, helping employees understand decisions.
    6. 67% of high-performing teams rely on continuous feedback, proving its impact.
    7. Continuous performance models are now preferred by many high-performing companies, with 69% adopting them over traditional annual reviews.
    8. Hybrid work has pushed many HR leaders to change their approach, leading 46% to redesign their review systems for better alignment.
    9. 39% of employees find their goals unclear, slowing alignment and performance.
    10. 74% of high-growth companies use real-time evaluation models, showing where the future is heading.

    Employee Perception and Experience

    Employee experience shapes the success of any performance system, and this category focuses on how workers feel during reviews. The statistics here show whether employees believe reviews are fair, helpful, stressful, or outdated. You will also see data on goal clarity, feedback quality, trust in managers, and how well reviews reflect real work.

    1. Only 20% of employees strongly agree that performance is managed in a way that helps them do great work.
    1. About 15% of employees feel the review process takes time but gives very little value.
    2. Managers provide helpful feedback to just 17% of employees based on their own responses.
    3. A total of 22% of employees believe their performance system supports real improvement.
    4. Annual reviews help only 26% of employees improve their work.
    5. Fair reviews are reported by 29% of employees across companies.
    6. Just 32% of employees say their managers track performance in a fair way.
    7. 35% of employees feel their performance review system is outdated, showing a clear need for more modern and effective review practices.
    8. Clear goals are missing for 41% of employees during reviews.
    9. Nearly 45% of employees feel their manager does not understand their daily tasks.
    10. 48% of employees request frequent check-ins to stay aligned with expectations.
    11. Stress from performance reviews affects 52% of employees during review periods.
    12. Continuous feedback is preferred by 58% of employees instead of yearly reviews.
    13. Performance reviews fail to reflect real work for 63% of employees.
    14. The review process feels too time-consuming for 68% of employees.
    15. A large portion, nearly 72%, want reviews to focus more on strengths.

    Manager Behavior and Impact

    Manager behavior shapes how performance management works in everyday situations. This category focuses on statistics that show their confidence levels, skill in giving feedback, time limits, and comfort with difficult conversations. The data also explains how manager actions influence fairness, employee motivation, and the overall quality of performance reviews.

    1. Only 13% of managers feel confident in guiding their team’s performance.
    2. Lack of proper review training affects 24% of managers.
    3. 26% of managers struggle to deliver clear and useful feedback, which affects how well employees understand their performance.
    4. 36% of managers avoid tough performance conversations, making it harder to address issues and guide improvement.
    5. Regular check-ins are hard to maintain for 38% of managers due to time limits.
    6. Review work pulls 42% of managers away from their key tasks.
    7. Better performance tools are needed, according to 47% of managers.
    8. Review deadlines create stress for 59% of managers.
    1. Outdated systems frustrate 61% of managers who want a modern process.

    Goal Setting and Alignment

    Performance management depends heavily on clear and stable goals, and this section focuses on how well companies handle this. These goal-setting statistics show how often goals change, how clear they are to employees, how well they align with company priorities, and how many organizations use structured goal-setting systems like OKRs.

    1. Goal setting changes happened in only 11% of companies to improve clarity.
    2. Aligned goals are reported by just 21% of employees in their companies.
    3. Quarterly goal cycles are used by 27% of organizations.
    4. Frequent goal changes confuse 33% of employees.
    5. 39% of employees say their goals are hard to understand, showing that goal clarity is missing in many performance systems.
    6. Inconsistent goal systems are seen by 44% of managers.
    7. OKRs or similar frameworks are used by 56% of companies to improve alignment.

    Feedback Frequency and Quality

    Feedback drives improvement, and this category looks at how often it happens and how helpful it feels. This includes weekly, monthly, and annual feedback patterns, as well as employee preferences for coaching-style conversations. You will also see how remote work changed feedback habits and why consistent feedback matters.

    1. 14% of companies simplified their rating systems to make reviews easier for employees and managers.
    2. Monthly feedback cycles are now used by 19% of companies to keep performance discussions more frequent.
    3. Weekly feedback reaches 23% of employees, giving them faster guidance on their work.
    4. Annual feedback still affects 31% of employees, which limits timely improvement.
    5. Coaching-style discussions are preferred by 37% of employees, showing a need for supportive review conversations.
    6. Feedback frequency increased in 54% of companies after they shifted to remote work environments.
    1. Continuous feedback drives performance for 67% of high-performing teams, making it a key success habit.

    Technology and Tools

    Modern performance management relies heavily on digital tools, and this category shows how companies use them. You will see how technology improves speed, transparency, accuracy, and employee understanding.

    1. 16% of companies use mobile performance tools to make reviews easier on phones and tablets.
    2. AI-driven evaluation supports 25% of organizations, helping them analyze performance more accurately.
    3. Analytics dashboards help 28% of companies track goals and progress in real time.
    4. Automated reminders and scoring systems are used by 34% of companies to speed up the review process.
    5. New performance software investments are planned by 49% of HR teams, showing a push for better tools.
    6. Technology improved review transparency for 57% of companies, giving employees clearer insights.
    1. Advanced tools shortened review cycles for 73% of companies, making the process faster and smoother.

    Remote and Hybrid Work Impact

    Remote and hybrid work changed how companies manage performance. Our remote and hybrid work study shows issue with issues with virtual clarity, new check-in patterns, tracking challenges, and the rise of digital-first performance tools. The data also explains how hybrid teams pushed companies to update and redesign their review systems.

    1. Hybrid work changes led 18% of companies to update their review cycles to fit flexible schedules.
    2. Virtual reviews feel unclear for 22% of remote employees, making communication a challenge.
    3. More frequent check-ins started in 29% of companies as teams adjusted to remote work.
    4. Remote performance tracking is difficult for 33% of managers, mainly due to visibility issues.
    5. Hybrid teams pushed 46% of HR leaders to redesign their review systems for a better fit.
    1. Digital-first review tools are preferred by 62% of hybrid workers, showing a shift toward online platforms.

    Organizational Strategy and Adoption

    Many companies are updating old review systems, and this category explains how they approach improvement. The statistics show how often organizations redesign their processes, remove traditional annual reviews, adopt new frameworks, and move toward continuous performance models. This data highlights broader trends in modern performance strategy.

    1. 14% of companies introduced new performance frameworks to update and modernize how reviews work.
    2. Traditional annual reviews were removed in 18% of organizations, making space for continuous models.
    3. Full system redesigns happened in 30% of companies in the past 3 years to improve fairness.
    1. 42% of HR teams report ineffective performance processes, showing a clear need for better and more reliable systems.
    2. A complete rebuild of performance systems is supported by 51% of leaders, showing strong demand for improvement.
    3. Continuous management models are used by 69% of high-performing companies, highlighting their impact on results.

    HR and Leadership Challenges

    HR teams face heavy pressure when managing performance, and this category focuses on those difficulties. The statistics reveal issues with manual workload, rating inconsistencies, data accuracy, bias, and lack of manager training. You will also see how these challenges affect fairness and the reliability of performance decisions.

    1. Manual performance tasks overwhelm 20% of HR leaders, slowing down their work.
    2. Calibration meetings take too much time for 28% of HR teams, creating workflow delays.
    3. Rating inconsistency is a problem for 35% of HR departments, leading to fairness issues.
    4. 40% of HR leaders have low trust in review data, which makes performance decisions harder and less reliable.
    5. 40% of HR leaders have low trust in review data, which makes performance decisions harder and less reliable.
    1. Review bias is reported in 64% of HR departments, showing a major weakness in rating systems.
    2. Manager training needs improvement for 71% of HR teams, making it a top priority.

    Outcomes and Performance Results

    Strong performance systems create measurable gains, and this category shows the results companies experience. These insights highlight improvements in productivity, engagement, teamwork, and retention. You will also see how clear goals and continuous feedback drive better business outcomes.

    1. Clear goals improve team performance by 17%, making alignment a key driver.
    2. 21% of employees show higher productivity with continuous feedback, proving how important regular guidance is.
    3. Strong performance programs reduce turnover by 26%, helping companies keep talent longer.
    4. Monthly check-ins increase employee engagement by 39%, showing the power of frequent contact.
    1. Modern performance systems boost team collaboration by 47%, improving teamwork.
    2. Ending annual reviews increases employee retention by 59%, showing a preference for more flexible systems.
    3. Real-time evaluation models are used by 74% of high-growth companies, making them the new standard.

    Employee Development and Growth

    Employee growth depends on the support they receive, and this category examines how well companies provide it. These statistics include access to development plans, skill-building opportunities, coaching support, and the impact of training on long-term retention. 

    1. Personal development plans reach 18% of employees, giving them targeted growth support.
    2. Skill development is poorly supported for 29% of employees, based on their review experience.
    3. 21% of employees show higher productivity with continuous feedback, proving how important regular guidance is.
    4. 52% of employees lack coaching support, which slows their growth and limits their development.
    1. Companies that invest in development improve employee retention by 66%, showing strong long-term benefits.

    ???? Further research articles:

    Final words

    These performance management statistics give you a full view of how modern teams work, what employees expect, and where HR systems fall short. 

    You can use these insights to improve your review cycles, set clearer goals, support managers, and build a fairer and more effective performance process. The data also shows how important technology, continuous feedback, and coaching support are for better results.

    If your enterprise wants to improve performance reviews, automate HR tasks, and give teams a smoother experience, you can explore how Yomly helps. Yomly is an enterprise HR and payroll platform that makes it easier to manage people, track performance, and keep everything compliant—all in one place.

    ???? Start your Free Yomly Trial

    Data sources

  • How to Calculate End of Service Gratuity In Bahrain [Updated]

    How to Calculate End of Service Gratuity In Bahrain [Updated]

    Bahrain has always maintained a structured and transparent labour system that protects both employers and employees. With clear rules for salaries, contributions and final settlements, companies need to follow proper guidelines when managing payroll. 

    Like other GCC countries, Bahrain requires employers to calculate End of Service gratuity correctly, as it plays an important role in employee offboarding, financial security and legal compliance.

    Employers often face confusion about which formula to use, how to treat expatriate and Bahraini employees differently and how to apply the correct salary components. 

    At Yomly, we offer an end to end HR and payroll platform in Bahrain that helps businesses automate every part of payroll. Companies in Bahrain use Yomly to calculate EOS with accuracy, store employee data, track service duration and generate final settlement reports without manual work. 

    Our team has created this guide to explain how EOS works, who is eligible and how to calculate it in a simple and practical way.

    Disclaimer: Please understand that this blog is only for general guidance and educational purposes. While we try our best to share accurate and up to date information, you should not rely on this article as professional or legal advice. 

    Gratuity calculations can vary based on your contract, policies, and Bahrain labour regulations. We suggest consulting a certified HR professional or legal advisor for decisions related to your employment. Yomly is not liable for any actions taken based on this content.

    What Is End of Service Gratuity in Bahrain?

    End of Service gratuity in Bahrain is a mandatory financial benefit paid to employees when their employment ends, as long as they meet the minimum service requirements. 

    Under the Bahrain Labor Law, EOS is designed to reward employees for their service and provide financial support at the end of their contract. It is a key part of the offboarding process and must be calculated accurately using the employee’s last received wage.

    EOS gratuity is applicable when an employee completes at least one full year of continuous service with the employer. It applies in cases of contract completion, resignation or termination, except in specific situations where the law allows termination without benefits.

    Who is eligible?

    • Expatriate employees who are not part of the GOSI pension system receive EOS gratuity based on the standard labour law formula.
    • Bahraini nationals may fall under different rules because they contribute to the GOSI pension system. In many cases, their end benefits come through GOSI rather than the standard gratuity formula.
    • Employees on both fixed term and indefinite contracts are eligible as long as they complete the minimum service requirement.

    Understanding who qualifies for EOS is the first step before applying the correct calculation method.

    Who Is Eligible for EOS in Bahrain?

    Here are some of the key eligibility conditions employers must understand before calculating End of Service gratuity in Bahrain.

    a. Eligibility for Expatriate Employees

    Expatriate employees who are not enrolled in the GOSI pension system are eligible for EOS gratuity under the standard Bahrain Labor Law. Their gratuity is calculated based on their last received wage, including fixed allowances. 

    As long as they complete the required service period, expatriates receive EOS whether they resign, complete their contract or are terminated.

    b. Eligibility for Bahraini Nationals

    Bahraini nationals are enrolled in the GOSI pension system, which replaces the standard EOS gratuity for most cases. Instead of receiving gratuity from the employer, their end benefits come through social insurance. 

    EOS under labour law only applies to Bahrainis for any period not covered by GOSI, such as service before GOSI enrollment or specific contract types.

    c. Contract Completion, Resignation, Termination

    EOS is payable when an employee completes their contract, resigns or is terminated, provided they meet the service requirement. EOS may not apply if the employee is dismissed for reasons allowed under the Labor Law, such as misconduct under Article 107. In all other normal exit cases, EOS must be calculated based on the employee’s last wage.

    d. Minimum Service Period

    An employee must complete at least one full year of continuous service with the employer to qualify for EOS gratuity. Any service less than one year does not qualify. Once the first year is completed, EOS must be calculated for all full years and any partial year of employment.

    Salary Components Used for EOS Calculation

    To understand how EOS gratuity is calculated correctly in Bahrain, let us take a look at the specific salary components that must be used in the final calculation. These components determine the exact gratuity amount owed to the employee.

    1. Last Received Wage (Core Component)

    Bahrain Labour Law states that EOS must be calculated using the employee’s last wage, which includes:

    • Basic salary
    • Fixed monthly allowances

    This “last wage” reflects the total guaranteed monthly earnings an employee receives as part of the employment contract.

    Important Insight: Only fixed allowances are included. These are payments that are guaranteed every month and listed in the contract.

    2. Fixed Allowances That Must Be Included

    The following allowances must be included in the EOS base if they are fixed and paid every month:

    • Housing allowance
    • Transport allowance
    • Cost of living allowance
    • Job or position allowance
    • Any other contractual fixed allowance

    Rule: If the allowance appears in the contract and is paid consistently every month, it forms part of the EOS wage.

    3. Variable Allowances That Are Excluded

    EOS does not include variable or performance-based payments.

    These include:

    • Overtime payments
    • Bonuses
    • Commissions
    • Sales incentives
    • Travel reimbursements
    • One-time payments

    These amounts may be part of total monthly earnings but do not count toward EOS calculations.

    4. Salary Updates Must Be Reflected in EOS

    If an employee received a salary increment right before resigning or termination, the updated salary must be used. Delays in updating salary records can cause incorrect EOS calculations and lead to disputes.

    EOS Formula for Expat Employees (Standard Gratuity System)

    Let us take a look at the exact End of Service (EOS) formula used for expatriate employees in Bahrain. Expat employees who are not enrolled in the GOSI pension system fall under the standard gratuity system defined in the Bahrain Labor Law. 

    Their EOS is calculated using their last received wage, which includes basic salary and all fixed monthly allowances.

    1. First Three Years of Service

    For the first three years, expatriate employees are entitled to half a month’s wage for each completed year.

    Formula: Half month’s wage per year = Last wage ÷ 2

    If an employee has completed two full years, the calculation is: Half month wage × number of completed years

    2. After the First Three Years

    From the fourth year onward, expatriate employees receive one full month’s wage for each completed year.

    Formula: One month’s wage × number of additional years after year three

    This significantly increases the EOS amount for long-term employees.

    3. Partial Years of Service

    If the employee has worked additional months beyond full years, the employer must calculate EOS proportionally for those months.

    Formula: (Annual EOS entitlement ÷ 12) × number of extra months

    This ensures employees are compensated fairly for any part-year service.

    Example Overview (No Numbers Yet)

    • First 3 years → Half month wage per year
    • From year 4 onward → One month wage per year
    • Add pro-rated amount for partial months

    This formula applies only to expatriate employees who do not receive pension benefits under GOSI. Yomly automatically applies the correct calculation based on expatriate status, service duration and the latest salary records, making EOS processing accurate and effortless for Bahrain employers.

    EOS Calculation Rules for Bahrain’s Employees Under GOSI

    Bahraini nationals are enrolled in the GOSI pension system, which means their end-of-service benefits are handled differently from expatriates. In most cases, Bahraini employees do not receive EOS gratuity from the employer, because their retirement and social insurance benefits are paid through GOSI.

    However, EOS under labour law may apply in limited cases such as:

    • Service periods before the employee was enrolled in GOSI
    • Specific contract types that are not covered by GOSI
    • Situations where a role is partially outside the pension system

    Employers must always review the employee’s GOSI enrollment status and ensure the correct rules are applied. Yomly automatically detects whether an employee is Bahraini or expatriate and applies the correct EOS or GOSI benefit structure accordingly.

    Step-by-Step EOS Calculation Examples

    Our team has prepared a few simple examples to help you understand exactly how EOS gratuity is calculated for expatriate employees in Bahrain. Here are clear, practical examples using the official Labour Law formulas and real salary figures.

    Example 1: Expat Employee with 2 Years 8 Months of Service

    Employee details:

    • Last received wage (basic + fixed allowances): BHD 600
    • Service duration: 2 years 8 months

    Step 1: Calculate half-month wage

    Half-month wage = 600 ÷ 2 = BHD 300

    Step 2: Apply for the first three years

    Since the employee worked less than three years, use the half-month formula.

    Full years: 2 years × 300 = BHD 600

    Partial year: 8 months of service → prorated

    300 ÷ 12 × 8 = BHD 200

    Final EOS:

    600 + 200 = BHD 800

    Example 2: Expat Employee with 6 Years of Service

    Employee details:

    • Last received wage: BHD 750
    • Service duration: 6 full years

    Step 1: Calculate half-month wage and one-month wage

    Half-month wage = 750 ÷ 2 = BHD 375

    Full-month wage = BHD 750

    Step 2: First three years at half-month wage

    3 years × 375 = BHD 1,125

    Step 3: Next three years at full-month wage

    3 years × 750 = BHD 2,250

    Final EOS: 1,125 + 2,250 = BHD 3,375

    Special Cases That Affect EOS Calculation

    There are some situations where the standard EOS formula does not apply directly. You will find some cases where the final amount may change depending on contract terms, salary updates or legal conditions. Here are the most common cases employers should be aware of:

    • Salary changes shortly before employee exit
    • Periods of unpaid leave
    • Termination for reasons allowed under Labour Law
    • Service before GOSI enrollment for Bahraini nationals
    • Part time employment cases
    • Fixed term contracts ending early
    • Misconduct or termination under Article 107
    • Service gaps or rejoining after a break

    Yomly makes sure that every custom requirement and rule is applied correctly. All salary updates, service duration and contract details are calculated automatically, so your payroll and EOS settlements are always accurate and fully compliant.

    Calculate EOS in Bahrain With Confidence

    There are tens of components, rules and processes you need to manage when calculating End of Service gratuity in Bahrain. 

    As an employer, you must follow the correct formulas, use the right salary components, apply the proper rules for expatriate and Bahraini employees and stay updated on all labour regulations. Missing any of these steps can lead to payroll disputes, compliance issues or fines.

    This is one of the main reasons why organizations across Bahrain choose Yomly. Our 100 percent cloud based HR and payroll platform makes payroll easy, compliant and fully automated. 

    You get accurate EOS calculations, GOSI processing, WPS ready files, attendance syncing and centralized employee records all in one system. Over 1 million payslips are processed every year through Yomly for users across 50+ countries, proving that the platform is built to operate at scale.

    If you want to simplify EOS and the entire payroll process, book your free demo today and get started with Yomly.

  • 9 Best Payroll Management Software For Vietnam 2026

    9 Best Payroll Management Software For Vietnam 2026

    Payroll in Vietnam is complex because companies must follow strict rules for taxes, social insurance, health insurance, unemployment insurance, minimum wages, and regional labor laws.

    Many businesses still rely on manual calculations, which increases errors and slows down monthly payroll cycles. Modern payroll software solves these problems by automating salary calculations, generating compliant payslips, preparing bank transfer files, and keeping all records secure.

    This roundup covers the top 9 payroll management tools used by businesses across Vietnam for 2026. Each tool offers different features, so you can compare them and find the one that fits your company’s needs.

    1. Yomly

    Yomly is the best payroll management software for Vietnam, designed especially for enterprises with 250+ employees. It automates salary calculations, tax withholding, social insurance, and end-of-service benefits for local rules. The system supports VND payroll, multi-currency payments, bulk uploads, and multiple pay cycles. HR teams can preview and approve pay runs, generate bank transfer and payroll files, and produce WPS-compliant exports where needed.

    Yomly stores payroll records securely in the cloud and helps Vietnam companies run accurate, compliant payroll every cycle with confidence.

    Key features

    • VND payroll support with local tax and social security rules.
    • Auto calculate gross to net pay, tax withholding, and social contributions.
    • Bulk upload for allowances, deductions, bonuses, and retro pay via CSV or XLS.
    • Multiple pay cycles in one system: monthly, weekly, fortnightly, and ad hoc runs.
    • Bank transfer file generation is ready for local payroll banks.
    • Payslip generation and secure delivery by email and mobile app.
    • Payroll approval workflow with role-based permissions and audit logs.
    • Detailed payroll reports: pay run summary, variance, salary history, and GL export.
    • End-of-service and gratuity calculations for accurate final settlements.
    • API is ready to sync payroll data with accounting and ERP systems.

    Pricing

    Yomly uses modular pricing based on employee count and payroll modules. Request a demo to get a custom quote.

    Why we proudly promote Yomly ❤️

    Yomly makes payroll easy for Vietnam businesses by automating every step, from calculations to pay slip delivery. It handles complex salary rules with high accuracy and gives teams full control over approvals and reports.

    2. Portcities

    Portcities Vietnamese Payroll & Attendance Software is built to help companies in Vietnam run payroll faster and stay compliant with local labor laws. It handles multi-shift workers, overtime rules, and contract-based pay without manual checks. HR teams can calculate payroll in minutes by entering employee details and letting the system apply the correct rules set by the Vietnam Labor Code.

    Key features

    • Statutory payroll compliance for Vietnam, including PIT, overtime, leave rules, and social insurance
    • Automatic payroll calculation based on contract type and attendance data
    • Quick generation of payslips and reports for tax and social insurance departments
    • Real-time integration with Odoo Accounting for smooth financial tracking
    • Support for company-specific payroll rules, allowances, and wage structures

    Pricing: Available on request.

    Why we selected Portcities

    It reduces manual validation and supports complex shift-based payroll, which helps Vietnamese companies save many hours each month.

    3. Smart HR Software

    Smart HR Software offers a simple payroll system that helps companies manage salary calculations without stress. It keeps all employee data in one place, lets teams process monthly payroll in minutes, and reduces errors caused by manual work. The tool supports payslip downloads through the employee portal and keeps payroll history easy to access whenever needed.

    Key features

    • Centralised payroll data for accurate and fast monthly salary calculations
    • Employee self-service access to payslips from any device
    • Easy expense entry with details like date, amount, and payment mode
    • Secure storage of payroll history for quick reference
    • Web-based access for payroll processing from any location

    Pricing: One-time lifetime license. No monthly fee.

    Why we selected Smart HR Software

    It offers a simple and affordable payroll setup that works well for companies with basic salary needs. The one-time license removes ongoing costs, and the self-hosted system gives businesses full control over their payroll data.

    4. HRMSJoy

    HRMSJoy is a payroll module that helps Vietnam teams run accurate salary runs. It automates salary structure setup, tax and deduction calculations, and payslip generation. The system keeps employee salary records in one place and links attendance, overtime, and bonuses to payroll.

    HRMSJoy supports secure digital payslips and payment tracking. Reports export to common formats for accounting and audits. It aims to cut manual work and speed up payroll processing for organisations of any size in Vietnam.

    Key features

    • Pre-defined and custom salary structure heads for VND payroll
    • Automated payroll calculations for earnings, deductions, taxes, and net pay
    • Secure payslip generation and employee download via self service portal
    • Centralised employee salary records and lifecycle updates
    • Payroll reports and analytics with export to Excel, CSV, and PDF
    • Real-time tracking of payroll payments and transaction status
    • Error handling for failed or pending payments and simple resolution steps
    • Mobile-friendly access for payslip view and basic self-service tasks
    • Integration options with the attendance and time sheet modules

    Pricing: Details available upon request.

    Why we selected HRMSJoy

    It simplifies salary structure setup and links pay runs to attendance and bonuses. The payment tracking feature gives clear visibility on processed and pending salary transactions.

    5. Deel

    Deel offers a global payroll system that helps companies manage employee salaries and compliance in Vietnam without setting up a local entity. It automates payroll processing, tax calculations, social security contributions, and required local documents. Deel also supports companies that already have an entity by running their entire payroll cycle end-to-end. It consolidates all payments, deductions, and benefits into a single online dashboard, enabling teams to manage payroll in Vietnam with less manual work.

    Key features

    • Automated Vietnam payroll with accurate tax and social insurance calculations
    • Support for hiring with or without a local entity
    • Localised benefits such as social security and healthcare options
    • End-to-end payroll management for direct employees
    • Employee self-service access for documents and salary information
    • Clear visibility of Vietnam payroll costs, rules, and salary components
    • Online onboarding, document collection, and compliance workflows

    Pricing: Starts at $599 per month.

    Why we selected Deel

    It simplifies payroll and compliance for companies hiring in Vietnam, especially when they need support without setting up a local entity. It brings payroll, taxes, and benefits into one platform for easy management.

    6. Mercans

    Mercans provides a global payroll SaaS platform that enables companies to run payroll in Vietnam and 160 other countries from a single system. It automates salary, tax, and social security calculations and integrates with leading HR, ERP, and time tracking tools. Its payroll engine processes data in real time and reduces manual entry by pulling information directly from attendance, expenses, and HR modules. 

    Mercans gives teams full visibility and control over each pay run with audit logs, custom exports, and a single dashboard.

    Key features

    • Automated Vietnam payroll calculations, including salary, taxes, and deductions
    • Direct integration with systems like SAP, Oracle, Workday, and other HR or time tracking tools
    • One dashboard for real-time payroll control, edits, and approvals
    • Secure payslip access for employees and multi-user workflows
    • General ledger reports, variance reports, bank files, and statutory records
    • Built-in security certifications, including GDPR, SOC, and ISO standards
    • Error-free automation with reduced manual entry and connected attendance data

    Pricing: Custom pricing available on request.

    Why we selected Mercans

    It supports complex multi-country payroll needs while giving clear control over each Vietnam pay run. Its strong integrations help teams automate more steps and reduce manual work.

    7. Better HR

    Better HR offers an online payroll system made for companies in Vietnam. It automates monthly salary calculations, taxes, social insurance, health insurance, and other statutory payments based on local rules. The platform lets teams prepare payroll in minutes, view salary data by employee or department, and generate accurate payslips. Better HR also supports bank transfer files, statutory forms, and a mobile app for employees to check their salary, tax, and insurance details.

    Key features

    • Automated payroll under the Vietnam labour laws, including PIT and social insurance
    • Fast monthly payroll processing and editable salary details
    • Payslip generation with clear breakdowns of pay, overtime, and deductions
    • Mobile app for employees to view contributions and salary information
    • Statutory reports, such as Form 13 HSB, for compliance
    • Bank transfer exports for clean and accurate salary payouts
    • Support for unpaid leave, overtime, and multiple pay groups

    Pricing: Free trial available. Full pricing on request.

    Why we selected Better HR

    It offers a simple way to manage Vietnam payroll in minutes and automates all statutory rules. The mobile app provides clarity for employees by showing their tax and contribution information.

    8. Akrivia HCM

    Akrivia HCM offers a native Vietnam payroll engine built to comply with local laws and statutory rules. It automates calculations for Social Insurance, Health Insurance, Unemployment Insurance, and progressive Personal Income Tax. The system connects payroll with attendance, leave, benefits, and employee data to ensure all salary elements flow into one unified platform.

    It supports real-time validation, fast payroll runs, multi-level approvals, statutory reporting, and flexible pay cycles for full-time and contract staff.

    Key features

    • Native Vietnam payroll engine with automatic SI, HI, UI, and PIT calculations
    • Real-time compliance updates and statutory reporting
    • Integration with attendance, leave, benefits, and HR data
    • Configurable salary structures and a unified dashboard for payroll runs
    • Multi-level approval workflows for data accuracy
    • Automated pre-payroll validations and post-payroll reconciliations
    • Payslips, contribution summaries, and employee self-service access
    • Scalable setup for large teams and diverse pay cycles

    Pricing: Custom pricing available on request.

    Why we selected Akrivia HCM

    It provides a fully native Vietnam payroll system with instant compliance updates and strong links to attendance and HR modules. The unified dashboard supports accurate, fast payroll runs for companies with complex structures.

    9. MiHCM

    MiHCM provides a payroll system designed to meet Vietnam’s statutory rules, including Social Insurance, Health Insurance, Unemployment Insurance, and Personal Income Tax. It automates salary calculations for different industries, locations, and wage structures.

    The platform supports complex components, including allowances, overtime, minimum wages, dependent deductions, bonuses, and foreign staff salaries. MiHCM also centralizes payroll for companies with multiple branches and offers tools to validate attendance, arrears, and other income before running payroll.

    Key features

    • Automated Vietnam payroll covering SMUI, PIT, allowances, bonuses, and leave pay
    • Weekly, monthly, and piecework pay options with flexible salary scheduling
    • Advanced salary formula tool for custom rules and salary components
    • Centralized payroll management across multiple branches or companies
    • Pre-payroll checks for timekeeping, arrears, and deductions
    • Notifications for paydays, tax changes, and filing deadlines
    • Custom interface options and integrations through the extension manager
    • Exportable salary, attendance, and overtime reports with flexible filters
    • Support for bank transfers and electronic submission of statutory reports

    Pricing: Pricing available on request.

    Why we selected MiHCM 

    It supports complex payroll needs across different regions and industries in Vietnam. The system also makes multi-branch payroll easier with centralised control and flexible reporting.

    ???? FURTHER RESOURCES

    Final words

    Choosing the right payroll software makes a major difference for Vietnam businesses. Each tool in this list offers useful features, but the best fit depends on your company’s size, salary structure, and compliance needs. 

    To help you make a quick decision, here is a simple comparison table with the key points from every tool.

    Payroll SoftwareBest ForKey Capability
    YomlyLarge and multi-country teamsFull-cycle Vietnam payroll automation with strong reporting
    PortcitiesCompanies with complex shiftsPayroll linked to attendance and Odoo modules
    Smart HR SoftwareSmall teams needing simple payrollSelf-hosted payroll with lifetime license
    HRMSJoyCompanies needing a structured salary setupSalary heads, payment tracking, and detailed analytics
    DeelCompanies hiring without a local entityGlobal payroll and compliance support
    MercansOrganisations using ERP systemsReal-time payroll engine with deep integrations
    Better HRLocal companies needing fast payroll runsMobile app, statutory reports, and auto calculations
    Akrivia HCMEnterprises with compliance-heavy needsNative Vietnam payroll with instant regulatory updates
    MiHCMMulti-branch organisationsFlexible formulas and centralised payroll management

    Now that you understand how each tool works, review your company’s payroll needs, workforce size, and compliance requirements. Shortlist two or three platforms, explore their demos, and compare how well they handle taxes, social insurance, overtime, and bank transfers.

    A structured comparison will help you choose the payroll system that saves time, reduces errors, and supports your business growth in Vietnam.

  • 10 Best Payroll Management Software For Singapore (Compared)

    10 Best Payroll Management Software For Singapore (Compared)

    Choosing the right payroll software is important for Singapore businesses that want accurate CPF calculations, compliant IRAS filings, and fast salary processing. The tools on this list help companies reduce manual work, minimise errors, and manage multiple pay cycles with ease.

    Each option supports core features such as digital payslips, automated tax forms, leave syncing, and secure employee access, but their strengths vary in terms of complexity, pricing, and flexibility.
    In this listicle roundup, you’ll find the top payroll systems in Singapore that make payroll simpler, faster, and more reliable for growing teams.

    Best Payroll software for Singapore

    1. Yomly

    Yomly is the best cloud payroll software built for Singapore businesses with 250+ employees that need fast, accurate, and fully compliant salary processing. It automates MOM and IRAS payroll rules, CPF contributions, itemised payslips, multi-entity structures, and approval workflows in one secure platform.

     We help large companies run accurate and compliant payroll across multiple countries, currencies, and pay structures. It is built for enterprise teams that manage complex payouts, various entities, and strict approval workflows. With 250+ enterprise clients and 60,000+ daily users, Yomly is trusted by global brands like Isuzu Motors, Kärcher, Nord Anglia Education, ExecuJet, and Lufthansa Technik to run payroll at scale with zero errors.

    Key features for managing payroll:

    • Automated CPF, IRAS, and MOM compliance with correct CPF rates, statutory deductions, and local payroll formats
    • Multi-entity and multi-currency payroll for Singapore companies operating across regions and subsidiaries
    • Smart salary calculations for bonuses, claims, prorated pay, shift-linked payouts, and end-of-service calculations
    • Attendance-linked payroll sync that pulls overtime, unpaid leave, and shift data directly into payroll
    • WPS and bank file creation for cross-region teams, with ready-to-upload formats for financial institutions
    • Instant payslip generation through email and mobile, with full access to records
    • Finance-ready reports, including GL codes, variance breakdowns, salary history, and exportable formats (CSV, Excel, PDF)
    • Bulk upload support for additions, deductions, commissions, and incentives to speed up monthly processing
    • Secure payroll approvals with custom workflows, role-based access, and full audit trails
    • API-first integration with ERP, HR, and accounting systems to align payroll with finance operations

    Pricing: Custom pricing based on workforce size, number of regions, and modules.

    What we love promoting Yomly ❤️

    Yomly makes Singapore payroll stress-free with accurate CPF automation, fast calculations, and clean approval flows. The platform runs on a secure cloud with 99.9% uptime, supports complex enterprise structures, and gives HR teams real-time visibility into every pay cycle. Large enterprises also praise Yomly for its flexibility and strong customer support, backed by a global team of 80+  engineers and HR experts.

    ???? Explore our list of handpicked HR Software For Singapore (2026 Updated) 

    2. QuickHR 

    QuickHR is payroll software built for Singapore businesses that need accurate, compliant salary runs without manual work. It connects payroll with leave, attendance, claims, and shift scheduling, so every payout uses real data. The platform automatically handles CPF, IRAS, and MOM rules, making it easier for HR teams to stay compliant.

    Companies can run payroll for different employee types, manage multiple pay cycles, create itemised payslips, and submit statutory files in just a few clicks. QuickHR also offers strong security controls and a mobile app so that teams can manage payroll tasks from anywhere.

    Key features for managing payroll:

    • Payroll calculations pull live numbers from leave, attendance, claims, and schedules.
    • CPF, SDL, IRAS AIS files, and MOM rules are applied without any manual entry.
    • Multilingual payslips can be produced for diverse teams.
    • Businesses can choose monthly, daily, hourly, or mixed payroll cycles
    • The system adapts easily to part-timers, contract workers, freelancers, and shift teams.
    • Year-to-date insights and tax-ready summaries help HR review each pay period.
    • Accounting platforms such as Xero and QuickBooks connect directly with the system.
    • Payroll processing and payslip distribution can be done from the mobile app.
    • Data is protected with Singpass authentication and multi-tier cloud security.

    Pricing: Custom pricing. Comes with a free 14-day trial.

    What we like about QuickHR:

    It removes heavy manual work by automating CPF, IRAS, and MOM steps. The tool is flexible for different employee types and pay cycles, and its strong integrations make payroll smooth and predictable for Singapore companies.

    3. Info-Tech

    Info-Tech is a Singapore payroll software that helps businesses manage salaries, deductions, taxes, and statutory submissions from one platform. It automates CPF, IRAS, and MOM reporting, and keeps payroll fully synced with attendance, leave, claims, and accounting data. The system supports detailed reporting, reminders, and mobile access, which makes payroll easier to manage for teams of all sizes.

    Key features for managing payroll:

    • Every statutory item, CPF, CDAC, SINDA, MBMF, SDL, and levies, is computed based on built-in logic.
    • CPF, IRAS (IR8A, IR8S, IR21), and OED submissions can be filed from a single location.
    • Attendance, leave, and claims feed directly into the payroll engine to prevent errors.
    • Users can access more than 50 detailed reports with multiple export options.
    • Important dates, such as pass expiry or tax deadlines, trigger automated reminders.
    • The mobile app gives employees instant access to payslips and tax forms.
    • Integration with accounting tools ensures payroll aligns with financial records.
    • Employees can update their details through ESS rather than relying on HR.
    • Payroll data is stored securely with SSO and certified cloud hosting.

    Pricing: Custom pricing. Eligible SMEs may get up to 50% PSG support.

    What we like about Info-Tech:

    It gives companies strong automation and compliance tools for CPF, IRAS, and MOM needs. The reports are detailed, the reminders reduce mistakes, and the platform syncs smoothly with other HR modules to keep payroll accurate every cycle.

    4. JustLogin

    JustLogin is payroll software that helps Singapore companies manage salaries, deductions, taxes, and payouts smoothly and compliantly. It automates CPF and IRAS submissions, updates statutory changes in real time, and connects payroll with leave, attendance, expenses, and employee data. The system also supports flexible pay schedules, custom pay items, and real-time payouts via InstantPay, enabling HR teams to run payroll faster and more conveniently.

    Key features for managing payroll:

    • CPF files are created automatically and made ready for e-submission.
    • IR8A, IR21 and Appendix forms are generated with pre-filled employee data.
    • InstantPay lets companies transfer salaries in real time, eliminating the need to upload bank files.
    • Any number of pay elements—allowances, deductions, reimbursements—can be added.
    • Teams may run payroll monthly, fortnightly, or ad hoc, depending on their structure.
    • Over 20 payroll reports provide clear visibility into each pay cycle.
    • Itemised payslips follow MOM’s guidelines and are available via mobile and web.
    • Attendance systems send overtime hours directly to the payroll module.
    • Bulk pay updates can be done manually or through spreadsheet imports.
    • Multiple bank accounts and split-payment rules are supported.

    Pricing: Custom pricing. Free trial available.

    What we like about JustLogin:

    It provides companies with a flexible payroll setup, real-time payout options, strong compliance tools, and seamless integrations. The platform reduces manual work, ensures accurate calculations, and makes payroll easier to manage for teams with mixed schedules and varied pay elements.

    5. Access EasyPay (Access Group)

    Access EasyPay is a payroll system designed to help Singapore companies manage salaries, deductions, and statutory requirements with less manual work. The platform automates tax and contribution calculations, updates policies across Asian markets, and keeps payroll in sync with leave, attendance, and employee data. It supports cloud access, secure approvals, detailed reporting, and employee self-service, making payroll easier to run for teams of different sizes.

    Key features for managing payroll:

    • Salary, deduction, and contribution rules are automatically applied to all employee types.
    • Statutory updates for Singapore and other Asian markets are frequently pushed into the system.
    • Government deductibles and leave entitlements are factored into each calculation.
    • Sensitive payroll data is managed inside a secure, cloud-protected environment.
    • Time attendance entries sync with payroll to prevent incorrect hour calculations.
    • Payslips clearly reflect every earning, deduction, and contribution.
    • Employees can retrieve payslips and update details through self-service access.
    • HR teams get access to analytics and reports for planning and budgeting.
    • Payroll can be processed remotely because the system runs fully online.
    • Workforce, expense, and HRIS modules connect effortlessly with payroll.

    Pricing: Custom pricing based on company size and modules.

    What we like about Access EasyPay: 

    It provides companies with a secure, reliable payroll setup and automated compliance updates. The system connects payroll with attendance, leave, and employee data, helping HR teams reduce errors and save time while ensuring all payouts are accurate and consistent.

    6. SimplePay

    SimplePay is a cloud payroll system built to make payroll and compliance easy for Singapore companies. It automates CPF, IRAS, and MOM forms, so HR teams spend less time on manual work. The platform keeps calculations accurate, updates statutory rules on time, and provides a clean interface for managing salaries, leave, and employee records. SimplePay focuses on simplicity while still supporting detailed features such as allowances, deductions, approvals, and secure access controls.

    Key features for managing payroll:

    • CPF, tax forms, and MOM rules are handled automatically without manual checks.
    • Updates to CPF rates and statutory policies are applied as soon as they change.
    • Salary, overtime, allowances, and deductions are shown with clear individual breakdowns.
    • Leave deductions sync directly with payroll for accurate salary calculations.
    • User logins are secured with OTP and strong cloud protection.
    • Payslips list every pay item in a clean, easy-to-read format.
    • Pricing scales by employee count, making it cost-friendly for small teams.
    • Pay history and tax records are stored for quick reference during audits.
    • Built-in support material helps teams onboard faster.
    • Accounting systems like Xero and QuickBooks can receive payroll data instantly.

    Pricing: From S$12 per month for the first 3 employees, then S$4 per employee (4–25 staff) and S$3 per employee (26+ staff).

    What we like about SimplePay:

    It removes payroll complexity with a clean interface and automatic compliance updates. The tool keeps calculations accurate, reduces manual admin work, and gives companies an affordable, flexible way to manage payroll with a simple pay-as-you-go model.

    7. Talenox

    Talenox is a cloud payroll software that helps Singapore businesses automate salary calculations, CPF contributions, and IRAS tax forms. It updates statutory rules in real time and keeps payroll connected with employee profiles and leave data. The platform supports different pay schedules, custom pay items, batch pay runs, and automatic tax rules for CPF, SDL, FWL, and community fund contributions.

    Key features for managing payroll:

    • CPF, SDL, FWL, and community fund contributions are calculated using preset rules.
    • Compliance updates are pushed live, so no manual adjustments are required.
    • Monthly, hourly, and contract-based staff can all be managed in the same system.
    • Teams can process payroll in batches or run it for individual staff when needed.
    • Payslips include all allowances and deductions with clear breakdowns.
    • Link leave balances and employee profiles directly to salary calculations.
    • Reports can be filtered by department, date range, job role, and other criteria.
    • Integrations with banks, HR tools, and accounting software keep data aligned.
    • Staff can access payslips and personal information from any device.
    • The dashboard remains simple, allowing payroll to be completed quickly.

    Pricing: Free 30-day trial available. Paid plans are based on employee count and modules.

    What we like about Talenox:

    It removes manual work by automating all statutory rules and tax items. The interface is clean, the calculations are accurate, and the system stays up to date with every regulatory change. It is simple to use yet powerful enough for varied pay structures.

    8. Employment Hero

    Employment Hero is a cloud payroll platform that helps Singaporean businesses automate salaries, CPF contributions, IRAS submissions, and payroll approvals. It connects payroll with time attendance, leave management, employee profiles, and scheduling, so all pay calculations stay accurate. The system supports AI-powered automation, custom pay rules, real-time reports, and employee self-service through a mobile app that handles payslips, overtime, and personal details.

    Key features for managing payroll:

    • AI-powered calculations handle CPF, SDL, tax forms, and configurable pay rules.
    • Monthly CPF summaries and lodgement files are created automatically.
    • IR8A and related forms remain in the system for fast AIS submissions.
    • Time, overtime, shifts, and leave all feed directly into payroll.
    • Rate changes and date-based salary adjustments can be set in advance.
    • Employees use the mobile app to submit overtime requests, update their details, or view payslips.
    • Real-time attendance data, including GPS location, supports payroll accuracy.
    • Rostering tools help HR manage shifts across departments.
    • Xero, NetSuite, Zoho Books, and more connect smoothly with payroll.
    • Payroll can be processed remotely through the cloud-based dashboard

    Pricing: Custom pricing. Free trial and demo available.

    What we like about Employment Hero:

    It consolidates payroll, attendance, leave, and employee data into a single system, eliminating extra administrative work. The custom pay rules, automated CPF and IRAS handling, and strong mobile experience make payroll easier to manage for growing Singapore teams.

    9. SMEPayroll

    SMEPayroll is a cloud payroll system for Singapore businesses. It automates salary calculations, CPF contributions, IRAS filings, and payslip delivery. The platform links payroll with attendance, leave, claims, and scheduling, so calculations use live data. SMEPayroll supports multiple pay cycles, overtime rules, leave encashment, and secure self-service for employees via app or portal.

    Key features for managing payroll:

    • CPF, IR8A, IR21, SDL, and other statutory items are computed without manual work.
    • Bank GIRO files and submission-ready CPF/IRAS documents are produced automatically.
    • Attendance, leave, shifts, and claims feed into salary calculations to prevent mistakes.
    • Various pay cycles, monthly, weekly, ad-hoc, or prorated, can be executed with ease.
    • Employees receive digital payslips through mobile or web access.
    • The system reminds users to verify data before finalising each pay run.
    • Two-factor authentication and role-based permissions protect payroll information.
    • Xero, QuickBooks, biometric devices, and rostering tools integrate smoothly.
    • Bulk updates help HR change pay elements for many employees at once.

    Pricing: Custom plans. Contact sales for a quote.

    What we like about SMEPayroll:

    It turns manual payroll into a simple flow by automating statutory work and syncing all HR data, so payroll runs fast and accurate every cycle.

    10. Swingvy

    Swingvy is a cloud payroll software that helps Singapore SMEs automate salary calculations, CPF contributions, IRAS filings, and payslip delivery. It connects payroll with leave, time tracking, claims, and employee data, so all calculations stay accurate. The platform supports bulk updates, multiple pay runs, automated tax forms, and bank file creation for easy payment processing. Swingvy also provides a clean view of every payroll item and lets employees access their payslips through email or the mobile app.

    Key features for managing payroll:

    • Salary items like OT, allowances, and prorated pay are processed automatically.
    • CPF contributions from all payroll runs within a month are combined correctly.
    • IR8A and tax files are generated and prepared for IRAS submission.
    • Companies can run monthly, mid-month, or one-time payroll cycles.
    • Each employee’s pay breakdown can be expanded during processing.
    • HR can update multiple payroll items together through bulk-edit tools.
    • Bank files, GIRO files, and payroll summaries are created automatically.
    • Employees receive digital payslips through email or mobile notifications.
    • Approved leave, claims, and OT data flow directly into payroll.
    • Xero, StaffAny, and other tools connect with payroll for smoother workflows.

    Pricing: Custom pricing. Free demo and trial available.

    What we like about Swingvy: 

    It speeds up payroll by automating key steps, including CPF, tax forms, and bank files. The tool gives clear visibility into calculations, supports flexible pay cycles, and keeps payroll accurate by syncing leave, time, and claim data into every run.

    ???? FURTHER RESOURCES

    Final Words

    Running payroll in Singapore requires strict compliance, multiple contribution rules, and varied pay structures. The right software removes guesswork, speeds up payouts, and gives your HR team more time to focus on important work. Each tool in this guide offers a strong set of features, but the best fit depends on your company size, workflows, and level of complexity.

    Review your current payroll processes, shortlist 2–3 tools that match your needs, and start a trial or demo to compare accuracy, ease of use, and automation depth.

    If you want a powerful payroll system built for enterprises with 250+ employees, consider scheduling a free demo of Yomly. It offers fast, compliant, multi-entity payroll automation designed for large teams that need accuracy at scale.

  • How to Calculate End of Service Gratuity In Qatar [Updated]

    How to Calculate End of Service Gratuity In Qatar [Updated]

    Employee offboarding is an important part of HR operations, and one of the key steps in this process is calculating End of Service gratuity. 

    EOS gratuity is a mandatory benefit that every eligible employee in Qatar should receive when their employment ends. As an employer, you must understand how the calculation works to stay compliant and avoid disputes.

    In Qatar, the laws for gratuity calculation are clear and follow specific rules under the Labour Law. Our HR and Payroll software in Qatar is being used by businesses across the region to automate EOS calculations with accurate formulas and updated salary records. In this guide, we will cover how EOS works, who is eligible and how to calculate it step by step so you can manage final settlements with confidence.

    Disclaimer: The information shared in this article is only for general guidance and educational purposes. While we aim to provide accurate and updated details, Yomly will not be liable for any decisions made based on this content. We strongly suggest consulting your HR team, legal advisor or the official Qatar Labour Law for specific guidance related to your organisation.

    What Is End of Service Gratuity in Qatar?

    End of Service gratuity is a mandatory financial benefit paid to employees when they complete their employment in Qatar. It is designed to recognise their service and provide financial support at the end of their contract. 

    Its purpose can be understood through these key points:

    • Reward long term service
    • Support employees financially after job separation
    • Protect workers under Qatar Labour Law
    • Ensure fair final settlement for every eligible employee

    Eligibility for End of Service Gratuity

    Before you calculate EOS for any employee, take a look at the eligibility rules set by Qatar Labour Law. These rules decide who qualifies for gratuity and how the entitlement is applied.

    Minimum One Year of Continuous Service

    An employee becomes eligible for EOS only after completing at least one full year of continuous service. Any service less than one year does not qualify. Once the first year is completed, gratuity must be calculated for every full year and any additional partial year.

    Eligibility for Resignations and Terminations

    Employees are entitled to EOS whether they resign or are terminated, as long as they have completed the minimum service requirement. The reason for leaving the job does not cancel the entitlement unless the employee is dismissed under very specific conditions defined by law, which are rare and clearly outlined in the Labour Law.

    Applicable for Fixed Term and Unlimited Contracts

    Both fixed term and unlimited contracts qualify for EOS as long as the employee meets the one year service requirement. The end of the contract, whether through completion, resignation or termination, triggers the requirement to calculate and pay gratuity.

    Applies to Private Sector Employees Under Qatar Labour Law

    EOS gratuity applies to all private sector employees covered under Qatar Labour Law. Employees in government or semi-government entities may follow separate rules under their respective regulations.

    Salary Components Used for EOS Calculation

    When calculating End of Service gratuity in Qatar, it is important to understand which salary components are included and which are not. Qatar Labour Law uses a very simple and clear rule for determining the base amount used in the gratuity formula.

    Only the Basic Salary Is Used

    EOS gratuity is calculated only on the employee’s basic salary. This is the fixed amount written in the employment contract and does not include additional benefits or allowances. The basic salary must be accurate and updated in the payroll system, especially if the employee has received any increments.

    Allowances Are Not Included

    Fixed allowances such as housing, transport, food or any other contractual benefits are not included in EOS calculation. These allowances may be part of the employee’s monthly wage but do not count toward gratuity.

    Use the Latest Basic Salary Before Termination

    The gratuity must be calculated using the most recent basic salary paid to the employee. If a salary change happened shortly before resignation or termination, that updated amount must be used in the EOS formula.

    Partial Month Adjustments

    If an employee has worked beyond full years of service, the partial year must also be calculated based on the basic salary. This ensures fair compensation for every completed month.

    Yomly’s automated payroll software keeps salary records updated and applies the correct EOS formula every time, so you do not need to worry about missed updates or manual mistakes. This ensures accurate and compliant EOS settlements for every employee.

    Gratuity Formula Under Qatar Labour Law

    To calculate End of Service gratuity correctly, you must follow the formula defined in Qatar Labour Law. The calculation is straightforward, but you must apply it carefully using the employee’s basic salary and total years of service. Below is the exact method used across all private sector companies in Qatar.

    Standard EOS Calculation

    The standard gratuity calculation is based on three weeks of basic salary for every completed year of service.

    (Last Basic Salary / 21) * Number of years of service

    This applies once the employee has completed at least one continuous year with the company.

    Partial Years of Service

    If an employee has worked for additional months after completing full years, the employer must calculate a proportionate amount for the partial year.

    For example, if an employee worked 4 years and 6 months, the 6 months must be added as half of the yearly entitlement.

    Maximum Cap

    Qatar Labour Law does not specify a maximum cap on the number of years that can be used for EOS calculation.

    The only limits that may apply are those outlined in internal company policies or specific contract agreements, but these cannot be lower than the legal minimum.

    With Yomly, you do not need to calculate EOS manually. The platform automatically uses the correct formulas, tracks service duration and applies the latest basic salary. It lets you generate accurate EOS reports instantly, ensuring error free and compliant final settlements for every employee.

    Step-by-Step EOS Calculation Example

    To understand how End of Service gratuity is calculated in Qatar, let us look at two clear and simple examples. These examples use the exact formula defined in Qatar Labour Law so you can apply the method without confusion.

    Example 1: Employee Worked 3 Years with a Basic Salary of QAR 5,000

    Step 1: Calculate the daily wage

    Daily wage = 5,000 ÷ 30 = QAR 166.67

    Step 2: Calculate the value of three weeks (21 days)

    Three weeks salary = 166.67 × 21 = QAR 3,500.07

    Step 3: Multiply by the total years of service

    EOS = 3,500.07 × 3 = QAR 10,500.21

    Final EOS gratuity = QAR 10,500.21

    Example 2: Employee Worked 4 Years and 6 Months with a Basic Salary of QAR 6,500

    Step 1: Calculate the daily wage

    Daily wage = 6,500 ÷ 30 = QAR 216.67

    Step 2: Calculate the value of three weeks (21 days)

    Three weeks salary = 216.67 × 21 = QAR 4,550.07

    Step 3: Apply full years of service

    Full years = 4, EOS for 4 years = 4,550.07 × 4 = QAR 18,200.28

    Step 4: Add the partial year (6 months = 0.5 year)

    EOS for partial year = 4,550.07 × 0.5 = QAR 2,275.04

    Final EOS gratuity = 18,200.28 + 2,275.04 = QAR 20,475.32

    Important Note

    In the examples above, we used the standard Labour Law formula for clarity. However, many HR teams and payroll systems in Qatar, including online EOS calculators, use the exact number of calendar days between the start and end date to calculate service duration. This method gives a more precise result because it counts every working month and day.

    You can use either approach, but it is always best to consult your HR team, review your company policy or speak with a legal advisor to confirm which calculation method your organization follows.

    Special Cases That Affect EOS Calculation

    While the standard EOS formula is straightforward, there are some situations where the final gratuity amount may change. These cases depend on employee status, contract terms and specific rules under Qatar Labour Law. Let’s take a look at the most common situations employers should be aware of.

    Salary Changes During Employment

    If an employee has received a salary increase, EOS must be calculated using the latest basic salary before their last working day. Employers must update payroll records on time to avoid incorrect EOS amounts.

    Unpaid Leave Adjustments (When Applicable)

    If an employee has taken long periods of unpaid leave, some companies exclude those days from total service duration. This must always align with internal HR policy and labour law guidelines.

    Termination During Probation

    Employees terminated during probation are not entitled to EOS gratuity, as they have not completed the minimum one-year service requirement.

    Death of an Employee

    If an employee passes away, the employer must calculate EOS based on the employee’s total service and pay the amount to the legal heirs according to official procedures.

    Also Read: Best HR Software In Qatar

    Calculate EOS Accurately With Yomly

    EOS is a legal requirement in Qatar, and every employer must calculate it correctly to stay compliant, avoid disputes and ensure a smooth offboarding process. You should always follow the official Labour Law guidelines and consult your HR team or legal advisor if there is any confusion about eligibility, salary components or special cases.

    Yomly, a leading payroll software in Qatar, helps businesses automate EOS calculations with full accuracy. The platform tracks service duration, updates salary changes, applies the correct formulas and generates clear EOS reports for final settlements. Along with payroll, Yomly also offers integrated HR features such as shift scheduling, recruitment, employee self service and document management, bringing everything into one simple and powerful system.

    You can book a free demo and get started with Yomly to simplify EOS, payroll and all your HR operations across Qatar.

  • Labor Laws In Vietnam [Complete Guide For The Employers]

    Labor Laws In Vietnam [Complete Guide For The Employers]

    Vietnam is considered one of the fastest growing labor markets in Southeast Asia. It has clear laws that guide how employers should manage contracts, working hours, salaries, benefits and employee rights. 

    As an employer, it is common to face confusion about what is required, what is optional and how to stay fully compliant while managing a growing team.

    This guide is created to help you understand the key labor laws in Vietnam in a simple and practical way. It comes from our experience of helping Vietnamese companies streamline their HR and payroll operations using our all in one HR and payroll platform in Vietnam. 

    The guide covers employment contracts, working hours, overtime, leave entitlements, payroll compliance, social insurance, personal income tax and important employer obligations.

    Overview of Vietnam Labor Code

    The Labor Code in Vietnam governs how employers and employees should work together in the private sector. It sets the rules for hiring, managing and compensating employees. It applies to Vietnamese nationals, foreign employees working in Vietnam and companies operating in the country. The law ensures that both employers and employees follow fair and transparent practices.

    Here are the key compliance areas you must understand:

    • Employment contracts
    • Working hours and rest periods
    • Overtime rules
    • Minimum wage and salary structure
    • Taxes and payroll compliance
    • Social insurance contributions
    • Leave entitlements
    • Probation and termination
    • Health and safety requirements

    Understanding these areas will help you manage your workforce properly and avoid compliance issues.

    Types of Employment Contracts in Vietnam

    As per the Vietnam Labor Code, employers must use the correct employment contract type depending on the nature and duration of the job. Let us take a look at the types of contracts that are legally recognized today, based on the latest updates in the Labor Code.

    1. Indefinite Term Labor Contract

    This contract has no end date. It is used when the job is stable and long term. Employees on indefinite term contracts receive the highest level of protection. Termination rules are stricter, and employers must follow proper notice periods and lawful termination grounds.

    2. Definite Term Labor Contract (12 to 36 months)

    This is the most commonly used contract type in Vietnam. It must have a clear start date and end date and can be signed for a period between 12 and 36 months. A definite term contract can only be renewed once. After the second term, it automatically becomes an indefinite term contract unless specific legal conditions apply.

    3. Seasonal or Project-Based Contract

    Seasonal or project-based contracts are used for short term jobs that last less than 12 months. These contracts apply only when the work is genuinely seasonal or tied to a specific project with a fixed duration. Employers must not use these contracts to avoid long term obligations.

    4. Mandatory Elements in Every Contract

    Vietnamese law requires all contracts to include key information such as:

    • Job role and responsibilities
    • Basic salary and allowances
    • Working hours and rest periods
    • Social insurance and health insurance details
    • Workplace location
    • Contract duration
    • Terms for salary increases and evaluations
    • Conditions for termination

    All employment contracts must be signed before work begins and must be provided to the employee in writing.

    Working Hours, Rest Periods and Overtime

    Like every regulated labor market, Vietnam has clear rules for working hours, rest periods and overtime to protect employees and help employers manage work schedules fairly. Here are the key requirements all employers must follow under the Vietnam Labor Code.

    Standard Working Hours

    The standard working hours in Vietnam are 8 hours per day and 48 hours per week.
    However, employers are encouraged to apply a 40-hour workweek where possible.
    For jobs involving heavy, hazardous or dangerous conditions, working hours may be reduced according to sector specific rules.

    Overtime Rules

    Overtime is allowed, but strict limits apply:

    • Maximum 40 overtime hours per month
    • Maximum 200 hours per year for most industries
    • Up to 300 hours per year only for specific sectors approved by the government

    Overtime pay rates:

    • 150 percent of the hourly wage for regular overtime
    • 200 percent for weekly rest day overtime
    • 300 percent for public holiday or Tet overtime (excluding daily wages)

    Employers must obtain employee consent before assigning overtime, except in emergency situations allowed by law.

    Rest Breaks and Weekly Days Off

    Employees working 6 continuous hours must receive a minimum rest break during the shift.
    Every employee must also receive at least one day off per week, which can be a Sunday or any other day depending on the company schedule.

    For jobs with rotating or shift patterns, weekly rest can be accumulated and arranged according to operational needs.

    Night Shift Regulations

    Night shift hours in Vietnam are defined as 10:00 PM to 6:00 AM. Employees working during these hours must receive:

    • A minimum 30 percent increase on their regular hourly wage
    • Additional pay if the night shift includes overtime
    • Consideration for health and safety due to the nature of night work

    Employers must ensure proper scheduling and compensation to remain compliant with the law.

    Managing working hours, overtime and rest periods correctly is essential for staying compliant with Vietnam’s labor laws. Yomly offers an automated payroll and workforce management platform designed for Vietnamese businesses, helping you apply these rules accurately without manual calculations. 

    Want to give it a try? Book a free demo to see the entire process in action and learn how Yomly can simplify your HR and payroll operations.

    Minimum Wage and Salary Structure (Vietnam-wide + Regional Wages)

    When it comes to payroll compliance in Vietnam, salary is one of the most important areas employers must get right. Vietnam follows a region based minimum wage system, and every employer must ensure that employees are paid at or above the legally defined rates. Here are the key details you need to know.

    Region-Based Minimum Wages

    Vietnam divides its minimum wage into four regions based on economic development levels. Each region has a different minimum wage:

    • Region I: Highest minimum wage, covers major cities like Ho Chi Minh City and Hanoi
    • Region II: Covers urban districts of medium sized cities
    • Region III: Covers provincial towns
    • Region IV: Lowest minimum wage, covers rural and less developed areas

    The government reviews and updates these rates periodically, usually once a year. Employers must apply the correct regional wage based on the registered workplace location.

    Minimum Wage for Employees with Specialized Skills

    Employees who perform jobs that require training or technical skills must earn at least 7 percent higher than the standard minimum wage for their region. This applies to positions requiring vocational training, technical certificates or specialized skills.

    Salary Structure Requirements

    Vietnamese law requires that salaries must be clear, transparent and documented in the employment contract. The salary structure may include:

    • Basic salary
    • Fixed allowances (such as housing, transport, meal allowance)
    • Bonuses and performance incentives
    • Overtime payments
    • Deductions for insurance and taxes

    The basic salary must be high enough to support the calculation of social insurance, health insurance and unemployment insurance contributions.

    Mandatory Salary Payment Rules

    Employers must:

    • Pay salaries monthly through bank transfer or cash
    • Ensure payment is not delayed
    • Provide clear payslips with all breakdowns
    • Apply correct insurance deductions
    • Follow regional minimum wage rules at all times

    Late payments or incorrect wage structures may lead to compliance penalties.

    Payroll Compliance in Vietnam

    As an employer in Vietnam, you must follow strict payroll rules to stay compliant with the Labor Code and social insurance regulations. 

    If you are setting up payroll for the first time or managing a growing team, understanding these requirements will help you avoid errors and penalties. Here are the key areas of payroll compliance you need to focus on.

    Payroll Cycle

    Vietnam follows a monthly payroll cycle, which means employers must:

    • Calculate salaries once every month
    • Record all allowances, overtime and deductions
    • Prepare payslips with clear salary breakdowns
    • Pay employees on time through bank transfer or cash
    • Keep payroll records for audits and inspections

    All salary payments must match the amounts stated in the employment contract.

    Mandatory Deductions

    Vietnam requires three mandatory insurance deductions plus personal income tax (PIT). These must be calculated accurately every month:

    • Social Insurance (SI)
    • Health Insurance (HI)
    • Unemployment Insurance (UI)
    • Personal Income Tax (PIT)

    Leave Entitlements Under Vietnam Labor Law

    Employees need proper rest, recovery time and family support, and Vietnam Labor Law clearly defines the types of leave every employee is entitled to. You can check out the main leave categories below to understand what employers must provide and how they should be managed.

    Annual Leave

    Employees who complete 12 months of service are entitled to:

    • 12 days of paid annual leave for regular jobs
    • 14 to 16 days for heavy, hazardous or dangerous jobs

    Annual leave increases by one additional day for every five years of service with the same employer.

    Sick Leave

    Sick leave is covered by the Social Insurance Fund, not the employer.

    Entitlement depends on:

    • Employee’s working conditions
    • Total social insurance contribution years

    Employees can receive between 30 to 70 days per year with payment from Social Insurance.

    Maternity Leave

    Female employees are entitled to 6 months of maternity leave.

    If expecting twins or more, an extra 1 month is added for each additional child.

    The allowance is paid by Social Insurance, based on the employee’s average salary used for insurance contributions.

    Paternity Leave

    Male employees receive paternity leave depending on the delivery method:

    • 5 days for normal birth
    • 7 days for surgical birth or premature birth
    • 10 to 14 days for twins or more

    Payment is covered by Social Insurance.

    Public Holidays

    Vietnam has 11 national public holidays, all fully paid.

    These include Tet, National Day, Reunification Day and others. You can check out our complete guide on public holidays in Vietnam to find the complete list. If employees work on a public holiday, they must be paid 300 percent of their normal wage.

    Personal Leave (Marriage, Funeral)

    Employees can take:

    • 3 days paid leave for their own marriage
    • 1 day paid leave for a child’s marriage
    • 3 days paid leave for the death of immediate family members

    Unpaid Leave

    Employees may request unpaid leave for personal reasons. Approval depends on company policy and must be agreed upon in writing.

    How Yomly Helps Companies Stay Compliant in Vietnam

    While this guide is only an overview of the key labor laws in Vietnam, there are many other compliance areas you must manage every month. These include tax calculations, social insurance reporting, unemployment insurance contributions, personal income tax rules, contract renewals, attendance tracking and proper payroll documentation. New organizations often find it difficult to manage all these requirements consistently and accurately.

    Yomly’s HR and payroll software takes the complexity out of Vietnamese labor compliance. It automates the entire payroll process with built in local rules for social insurance, health insurance, unemployment insurance and PIT. 

    Every calculation follows the latest Vietnam regulations, and the platform can be set up according to your salary structure, allowance policies and approval workflows. Yomly keeps your HR data organized, your payroll accurate and your business fully compliant without manual work.

    Book a free demo or get in touch with our team to take the next step towards automating your payroll.