Quick answer: Monthly finalizing and reconciliation include: recording daily work by shift, weekly confirmation, end-of-period compilation, cross-checking data between both parties, handling discrepancies in writing, confirming, and then paying. After receiving payment, the supplying unit pays salaries and provides insurance for employees.
Most disputes in labor supply do not arise at the time of signing the contract but at the end of the month: the time sheets do not match, overtime is calculated differently, and employees ask about delayed wages. This article focuses on the monthly operational process, applicable to factories in all industrial zones in Ho Chi Minh City, Binh Duong, Dong Nai, Bac Ninh, and many other provinces.
Monthly workflow of a supply contract
- Supply and shift arrangement: hand over the correct quantity, at the correct shift, at the correct location.
- Coordinate management and assignment: the direct manager supervises, supply staff takes care of workers.
- Daily attendance recording: shift attendance sheet, record working hours, overtime, absences.
- Care and incident handling: replacement, complaints, incidents.
- End-of-month attendance finalization: compile each person's attendance sheet.
- Reconciliation: compare attendance sheets of both parties, handle discrepancies.
- Confirmation: representatives of both parties confirm the attendance sheet and payment volume.
- Payment facilitation: issue invoices, customer pays according to the contract.
- Salary payment and insurance contribution: the supply unit pays salaries and contributes mandatory insurance for workers.
Cost structure
Quotes for supply should be broken down into items for easy comparison:
| Item | Content |
|---|---|
| Salaries and allowances | Basic salary, night shift allowance, attendance allowance, heavy work allowance (if any) |
| Overtime and holidays | Calculated according to actual hours, legal regulations, and agreements |
| Compulsory insurance | Employer-contributed part according to regulations |
| Service/management fees | Costs for selection, management, care, and operation |
| Incidental expenses | Labor protection, uniforms, transportation, etc., as agreed |
Avoid quotes that only state a lump sum without specifying what it includes; when there is overtime or changes in the law, it becomes very difficult to reconcile.
How to finalize work hours and reconcile effectively
Agree on a timesheet format from the start. A common template for both parties helps quick reconciliation.
Confirm weekly. Don’t wait until the end of the month; confirming each week significantly reduces discrepancies.
Regulations on response deadlines. Each party has a deadline to review and respond to the timesheet (for example, within a few working days); after the deadline, it is considered agreed.
Keep evidence. Retain attendance data, timesheets, and confirmation emails within the prescribed period.
Handle discrepancies in writing. Clearly state the reason and how to adjust it in the following month.
Questions to ask the service provider:
- Can they provide labor contracts, the list, and insurance documents for each individual?
- How long does it take them to respond to the timesheet at the end of the month?
- Who is the contact person when an employee takes an unexpected leave?
- On which day do they pay salaries, and do they provide a payroll sheet to the employees?
- How do they handle workplace accidents?
The full list of criteria can be viewed at How to choose a reputable labor supply provider: 10 criteria and Labor supply contract: necessary clauses.
Legal notes
For labor leasing, the contract must be in writing (Article 55), the leasing enterprise must have a permit (Articles 52, 54), the maximum duration for a worker is 12 months (Article 53) according to the 2019 Labor Code; the job must be on the list according to Decree 145/2020/NĐ-CP. See also What is labor leasing.
Sample suggestion table
| Full Name | Code/Team | Day | Shift | Check-in time | Check-out time | Overtime | Notes | Confirmation |
|---|---|---|---|---|---|---|---|---|
| ... | ... | ... | Morning/Afternoon/Night | ... | ... | ... | Leave/Absent | Supervisor signature |
Just the confirmation column of daily or weekly supervision is enough to significantly reduce disputes.
Handling payroll discrepancies
- Record discrepancies: who, which day, how many hours.
- Compare data from the timekeeping machine or supervisory evidence.
- Agree on the results and method of adjustment (in the current period or the next period).
- Draft a short minutes with signatures from both parties.
Common errors in timekeeping
- Forgetting to calculate night overtime or holiday pay.
- Recording the wrong shift when the employee changes shifts.
- Not recording annual leave or paid leave.
- Reconciling only at the end of the month.
Prevention method: use a standardized form, confirm weekly, store evidence within the required period.
Frequently asked questions
When should timekeeping be finalized at the end of the month? It should be finalized immediately after the last day of the timekeeping period (or according to the closing date agreed in the contract) to ensure timely payment and payroll processing.
How to handle discrepancies in the timekeeping table? Both parties should reconcile the timekeeping data, record the reason, and agree on adjustments; the contract should specify the deadline and handling method.
Does the supplying unit have to pay insurance for the employees? Yes. If the employee signs a contract with the supplying unit, this unit must pay compulsory insurance according to regulations.
Can this process be applied to industrial zones in other provinces? Yes. The process of finalizing work, reconciling, and payment is applied generally; only the details differ according to the specifics of each factory.
Contact
Send a request at Labor supply and lease service or Contact. Hotline 0901 557 456.