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Regional minimum wage to go up by 6% from July 1

VGP - The regional minimum wage hike will take place in line with the new salary regime for the public sector from July 1.

April 15, 2024 3:48 PM GMT+7
Regional minimum wage to go up by 6% from July 1- Ảnh 1.

Illustration photo

The Ministry of Home Affairs agreed with a proposal of the Ministry of Labor, Invalids and Social Affairs (MOLISA) on the schedule of the regional minimum wage hike.

Earlier, in late March, the MOLISA proposed a 6 percent increase to Viet Nam's regional minimum wage, equivalent to VND200,000 -280,000 per month, effective from July 1, 2024.

Accordingly, monthly minimum wages will be adjusted across four regions. Region 1 will see wages increase to VND 4.960 million (US$194.50), region 2 to VND 4.410 million (US$172.90), region 3 to VND 3.860 million (US$151.30), and region 4 to VND 3.450 million (US$135.30).

The MOLISA also suggested statutory minimum wages per hour in four regions including VND23,800 in Region 1; VND21,200 in Region 2; VND18,600 in Region 3; VND16,600 in Region 4.

The regional minimum wage is the lowest level and used as the basis for businesses to negotiate and pay wages to laborers. This amount applies to individuals working under the employment contract framework of the Labor Code; working within enterprises; cooperatives, farms, households, individuals, and other Vietnamese organizations that employ staff under contracts; as well as foreign organizations and individuals in Viet Nam that employ laborers.

Region 1 covers the urban areas of Ha Noi and HCM City; Region 2 encompasses the rural areas of Ha Noi and HCM City, along with major urban areas in the country such as Can Tho, Da Nang and Hai Phong; Region 3 covers provincial cities and the districts of Bac Ninh, Bac Giang, and Hai Duong provinces; and Region 4 comprises the rest of the country./.