Secondary Employment in Uzbekistan: Internal and External, Leave and Taxes

Who may not take a second job

Article 433 of the Labor Code does not allow secondary employment for persons under eighteen, or work in adverse working conditions if the main job involves the same conditions (healthcare workers excepted). In agreement with the trade union committee, the employer may set its own restrictions for certain professions if a second job could harm health or production safety.

The head of an organization, their deputies, the chief accountant and the head of a separate subdivision may hold a second job with another employer only with the permission of the authorized body or owner of the organization (Art. 487).

Documentation: contract and documents

Hiring for secondary employment is formalized by an employment contract and an employer's order (Labor Code, Art. 435). For internal secondary employment, a separate contract is concluded in addition to the main employment contract. The contract must state that the work is secondary employment, as well as working hours and the work schedule. A fixed-term contract is allowed.

An entry on external secondary employment is made in the work record book at the main place of work upon the employee's written application, based on a certificate from the second employer (Art. 436).

• passport or ID card;
• a certificate from the main place of work in the form approved by the Ministry of Employment and Poverty Reduction;
• an education document — if the work requires special knowledge;
• a certified copy of the work record book or an extract — if the position requires a certain length of service;
• a certificate on the nature and conditions of work — when hiring for work with harmful or hazardous conditions.

Internal vs external: the practical differences

The rules on the hours limit, pay and leave are the same for both types, but accounting procedures differ. It helps the accountant to keep these differences in view when hiring.

• documents: external — the list in Art. 434; internal — only an education document, if needed and not provided earlier;
• contract: separate in both cases, marked as secondary employment; internal — a second contract with the same employer;
• work record book: external — entry at the main job based on a certificate; internal — upon the employee's written application;
• timesheet: internal — separate records for the main position and the second job;
• average earnings: always calculated separately for each contract;
• PIT: external — each employer withholds from its own payments; benefits under Art. 380 of the Tax Code apply only at the main job.

How many hours are allowed

Working time in secondary employment may not exceed half of the standard working time for the category of employees concerned (Labor Code, Art. 437); medical doctors in healthcare are an exception. On days when the employee is free at the main job, they may work a full day at the second job.

If the daily half-standard cannot be observed, cumulative time recording is allowed: over the recording period, time worked in the second job must not exceed half of the standard for that position. In internal secondary employment, timesheets for the main job and the second job are kept separately.

Pay for secondary employment

A person in secondary employment is paid in proportion to time worked, by output, or on other terms of the contract (Labor Code, Art. 438). Pay may not be lower than the statutory minimum wage recalculated in proportion to time worked — see our article on the minimum wage for details.

Average earnings for the main job and the second job are always calculated separately. Bonuses, allowances and incentive payments are accrued in the same way as for employees for whom this work is the main job, unless a collective agreement or local act provides otherwise.

Annual leave

Annual leave at the second job is granted at the same time as leave at the main place of work (Labor Code, Art. 439). If in the first working year at the second job the employee has worked less than six months, leave is paid in proportion to time worked; after six months and in later years — in the usual way, based on average earnings at the second job.

If leave at the main job is longer, at the employee's request the employer must grant unpaid leave for the difference in days.

Taxes: PIT and benefits

Each employer is a tax agent: it calculates and withholds PIT monthly on a cumulative basis from the start of the year as income is accrued (Tax Code, Art. 388). The rate for residents is 12% (Art. 381). Pay for a second job is income in the form of remuneration for work, so social tax is also charged on it (Art. 403).

Benefits reducing the aggregate income of certain categories of taxpayers (Art. 380) are applied at the main place of work. The employee must not receive the same benefit from the second employer — otherwise tax will be under-withheld.

Terminating secondary employment

In addition to general grounds, the contract may be terminated if an employee for whom this work will be the main job is hired for the position — with written notice at least two weeks in advance or proportionate compensation (Labor Code, Art. 441). On termination on this ground or on the grounds in part 2 of Art. 173, severance pay equal to two weeks' average earnings is paid (Art. 442).