Vietnam to raise regional minimum salary by 6% next year

HANOI: Vietnam will lift regional minimum salary for labourers by 6 per cent next year, local media reported on Wednesday (Dec 20).

The National Wage Council gave the green light to the increase and will submit it to the government for approval. If approved, the regional minimum wage increase will take effect on July 1, 2024.

According to the latest decision of Vietnam's National Wage Council, minimum salary for workers in Region I, urban areas of Hanoi and Ho Chi Minh City, is set to rise to 4.96 million Vietnamese dong (US$204) a month, while that in Region II, rural areas of the two cities along with major urban areas in the country like Can Tho, Danang and Hai Phong, is set to increase to 4.41 million dong ($181).

Minimum salary for workers in Region III, cities and districts of northern Bac Ninh, Bac Giang and Hai Duong provinces, is poised to climb up to 3.86 million dong ($158), and that in Region IV, the rest of Vietnam, is poised to rise to 3.45 million dong ($141).

Le Van Thanh, deputy minister of labour, invalids and social affairs, said the increase showed difficulty sharing between enterprises and labourers.

The wage increase plan has been evaluated based on economic difficulties, world fluctuations and complex trade barriers. The council has also taken into consideration the difficult circumstances of workers in recent times due to fluctuations in prices and businesses lacking orders, he said.

Vietnam increased regional minimum salary by 7.3 per cent, 6.5 per cent, 5.3 per cent and 6 per cent in 2017, 2018, 2019 and 2022, respectively. - Xinhua