Salary payments to employees

The amount of remuneration for work must be determined in the employment agreement between an employer and an employee. The monthly amount of remuneration for an employee who has worked the full monthly norm may not be less than the minimum wage established by law in Uzbekistan, which is 1.155.000 Uzbek soums.

Salary shall be paid in the national currency of Uzbekistan – Uzbek soums. Employees of a company having residency status with the Uzbek IT-park may get their salary in foreign currency to international bank cards.

See our article on residency with IT-park.

The frequency of salary payments may not be less than once every half month. Payment for work in the form of debt obligations, receipts, or coupons is prohibited.

Salary consists of the base and additional parts. The base part of the salary represents the fixed compensation an employee receives for fulfilling its job responsibilities as defined in the employment contract. It shall be based on the employer's established salary system and should never be less than the minimum wage. The base salary shall consistently be paid out, either based on the actual hours worked or the amount of work completed.

The additional part of the salary may include supplemental payments, allowances, as well as bonuses and other payments of compensatory and incentive nature. Bonuses, allowances and other kinds of additional payments may be provided in a collective agreement or employer's policies agreed with the trade union.

When an employee's contract is terminated, the employer must pay all amounts due to the employee on the last day of its employment. If the employee did not work on that day, the employer has 3 days to make the payment after the employee requests it.

See our article on employee dismissal.

If the employer is late in paying an employee's salary, the employer is liable to pay the employee financial compensation per each day of delay, starting from the day after the payment was due and continuing until the day the payment is made.

Increased salary

When an employee works beyond its regular working hours (overtime work), the employee is entitled to at least double the standard hourly rate for each overtime hour worked. The employee may choose to be compensated with an additional day of rest instead, in which case the work shall be paid at the regular rate.

Work on a weekend or a non-working holiday shall be paid at no less than double the rate. The employee may choose to be compensated with an additional day of rest instead, in which case the work shall be paid at the regular rate.

Work done at night, from 10:00 PM to 6:00 AM, shall be paid at a rate at least 1.5 times higher than the standard rate.

Reduced salary

Employees working part-time (including a part-time day, part-time week) shall be paid proportionally to the time they worked.

The employer may not reduce an employee's salary without the employee's consent unless specific circumstances occur. In exceptional cases, an employer may reduce an employee's salary without its consent. This is allowed when the volume of work, products or services is reduced, and the previous salary terms cannot be maintained. If an employer faces financial difficulties or operational changes that necessitate cost reduction, salary reductions may be implemented.

When a salary reduction is due to economic circumstances, the employer shall be obligated to give the employee a 2-month written notice before the reduction takes effect. The employee should acknowledge receipt of this notice by signing it.

Deductions from salary

Deductions from salary are possible with the written consent of the employee. Regardless of the employee's consent, the following deductions are mandatory:

• taxes and mandatory state fees
• court-ordered payments
• repayment of advances given by the employer
• compensation for damage caused by the employee to the employer (up to the employee's average monthly earnings)
• fines for violating labor discipline
• unworked vacation days (upon termination of an employment contract)

For each payment of salary, the total amount of all deductions may not exceed 50% of the salary due to the employee. Deductions for alimony obligations may be up to 70% of the salary.

Employees can request in writing to have their wages or a portion thereof directed towards loan repayments or other expenses without any limitations.

Guarantee payments to employees

Guarantee payments, covered by the employer, ensure that employees receive their average earnings during specific periods, including:

• suspension from work due to reasons not attributable to the employee, such as mandatory training or medical examinations
• suspension from work due to internal investigations
• annual leave
• downtime or defective work caused by the employer's fault
• non-fulfillment of work duties due to the employer's fault
• transfer to lighter work or work that excludes exposure to harmful working conditions due to health reasons
• business trips
• mandatory retraining or skill enhancement for the employee
• educational or creative leave
• mandatory medical examinations
• forced leave caused by illegal suspension or unlawful termination of the employment contract
• participation in collective bargaining and preparation of collective agreement drafts
• fulfillment of state or public duties (performing deputy duties, military service, participating in pre-trial investigations or court hearings, etc.)